USA- Archer Daniels Midland Company (ADM) has entered into a groundbreaking agreement with biochemical startup Solugen Inc. to provide dextrose, a key ingredient, for producing plant-based organic acids.
These organic acids are intended for a wide range of consumer and industrial applications, and they will be manufactured at a state-of-the-art biomanufacturing facility to be constructed in Marshall, Minnesota, USA.
As per the terms of this strategic collaboration, Solugen will establish a cutting-edge biomanufacturing facility spanning an impressive 500,000 square feet, strategically located adjacent to ADM’s existing corn processing complex in Marshall.
This facility will be powered by dextrose supplied by ADM, enabling Solugen to both expand its existing portfolio of lower-carbon organic acids and embark on the development of innovative molecules serving as sustainable alternatives to traditional fossil fuel-derived materials.
Furthermore, both companies have outlined plans for a collaborative effort to explore commercialization opportunities for these biomaterials across various sectors, including energy, water treatment, agriculture, construction materials, cleaning products, personal care items, and more.
Chris Cuddy, President of Carbohydrate Solutions at ADM, emphasized the significance of sustainability in driving ADM’s growth and shaping the strategic evolution of their Carbohydrate Solutions business.
“ADM is one of the largest dextrose producers in the world, and this strategic partnership will allow us to diversify our product stream further as we continue to support plant-based solutions spanning sustainable packaging, pharma, plant health, construction, fermentation, and home and personal care,” he stated.
Solugen, headquartered in Houston, Texas, expressed confidence in Marshall, Minnesota, as an ideal location for their new biomanufacturing facility.
The region boasts a reliable and cost-competitive supply of corn, coupled with advanced corn-to-dextrose conversion technology, making it a suitable choice for the scale of Solugen’s sustainable products.
Solugen’s construction plans include offsite work commencing in the current year, followed by onsite construction activities beginning in early 2024.
The initial phase is slated to start operations in the first half of 2025, with expectations to create a minimum of 40 permanent jobs and an additional 100 temporary construction jobs during the commissioning phase.
Solugen’s Bioforge platform converts plant-derived materials into essential components that traditionally rely on fossil fuels, leveraging a pioneering combination of computationally engineered enzymes and metal catalysts.
The efficiency and scalability of this innovative process offer a significant reduction in carbon footprint compared to conventional manufacturing methods.
Gaurab Chakrabarti, Co-Founder and Chief Executive Officer of Solugen highlighted the strategic significance of the partnership with ADM.
“The strategic partnership with ADM will allow Solugen to bring our chemoenzymatic process to a commercial scale and meet existing customer demand for our high-performance, cost-competitive, sustainable products,” he commented.
“As one of the few scaled-up and de-risked biomanufacturing assets in the country, Solugen’s Bioforge platform is helping bolster domestic capabilities and supply chains that are critical in ensuring the US reaches its ambitious climate targets.”