IRVINE, CA --- BlueFire Ethanol Fuels Inc., which produces ethanol from non-food cellulosic wastes, has decided to relocate its second planned biorefinery to Fulton, Miss. 

After drawing a $40 million dollar grant from the U.S. Department of Energy for a second planned facility in California, BlueFire Ethanol in 2007 began development and licensing work to build its second biorefinery plant. But California's business climate and licensing procedures have spurred the company to have a change of heart in where to locate the second plant. 

"We determined the Fulton site, located in north eastern Mississippi, was best suited to fulfill our requirements for our second biorefinery plant after studying various locations in several states over the past year," said BlueFire President and CEO Arnold Klann. 

The Department of Energy's approval of the site change should help BlueFire remain on track for executing its business growth strategy, Klann said. The project will allow BlueFire to use green and wood wastes available in the region as feedstock for the ethanol plant, which will be designed to produce approximately 18 million gallons of ethanol per year. 

BlueFire is receiving funding under the $40 million DOE grant it was awarded in 2007 for the development of the plant. 

Moreover, the company has completed a 20-month licensing process and is currently awaiting the final financing needed to break ground on its fully permitted ethanol biorefinery in Lancaster, Calif. The Lancaster facility will use post-sorted cellulosic wastes diverted from southern California's landfills to produce approximately 3.9 million gallons of fuel-grade ethanol per year.