Cate Street buys biocoal technology rights for $20M (Maine)

http://bangordailynews.com/2011/12/01/business/cate-street-buys-biocoal-technology-rights-for-20m/

MILLINOCKET, Maine — Cate Street Capital has purchased for more than $20 million the North American rights to the technology to manufacture biocoal, a huge step toward adding the production of treated wood at its Katahdin Avenue paper mill and creating several hundred jobs, officials said Thursday.

Cate Street subsidiary Thermogen Industries LLC secured exclusive rights from Scotland-based Rotawave Biocoal to manufacture a type of machine — called Targeted Intelligent Energy System, or TIES — that makes biocoal, or torrefied wood, which would replace coal burned at electricity plants, Cate Street spokesman Scott Tranchemontagne said.

“It is the most tangible sign of our commitment to moving this project forward,” Tranchemontagne said Thursday of the $20 million deal. “We have the technology. We have a wonderful site at the end of the Golden Road and we have a labor force that is ready and willing to work. Those are some key pieces to any business looking to start up.”

If Thermogen’s plans reach fruition, Cate Street senior vice president Richard Cyr said, Thermogen’s production of biocoal would help transform the state forest products industry.

<more>