ClearFuels Technology Inc., an çAiea firm developing biomass-to-energy facilities, has signed a memorandum of understanding to develop a biorefinery with Hughes Hardwood of Tennessee.

The agreement calls for conversion of 1,000 tons of wood product per day into renewable diesel or jet fuel at a plant in Collinwood, Tenn, according to the Tennessee state government Web site.
The agreement calls for the development of an about $200 million plant that will be capable of producing 16 million gallons of diesel and 4 million gallons of gasoline feedstock naptha each year along with up to 8 megawatts of excess electricity.
The agreement calls for work to begin on the biorefinery late next year with commercial operation in late 2013 or 2014.