Braskem, Lallemand Launch Bio-Acetone Coproduction for Ethanol Plants

Lallemand Biofuels & Distilled Spirits and Braskem have developed a technology that lets corn-ethanol plants produce bio-acetone as a second revenue stream alongside ethanol. The platform combines Lallemand's proprietary yeast strain with Braskem's separation and recovery process. After five years of joint development and validation, the companies are making it available to the U.S. ethanol industry.

Bio-acetone is a drop-in replacement for fossil-based acetone, which has global demand of more than 8 million tons per year. It is 100% renewable, benzene-free and phenol-free, verifiable through a carbon-14 test. End markets include cosmetics, paints and coatings, acrylics, adhesives and personal care products.

"Pairing Lallemand Biofuels & Distilled Spirits' expertise in yeast and fermentation with Braskem's knowledge of biochemicals and biopolymers is a natural fit," said Craig Ammann, vice president of business development for LBDS. He said the company has served ethanol producers for decades and looks for options to help boost their bottom lines and shield them from market volatility. "This is a unique way to do that, based on strategic partnerships."

Braskem engineered the bolt-on technology that separates bio-acetone from ethanol during fermentation and will handle all sales and market development. The company is the largest polyolefins producer in the Americas and a global leader in industrial-scale biopolymers. Lallemand Biofuels & Distilled Spirits, a unit of privately held Lallemand Inc., is the global leader in biotechnology for alcohol production.

For ethanol producers, the technology creates a second product stream without sacrificing ethanol output. The companies said the yeast strain does not affect fermentation performance. That matters because ethanol margins have been under pressure from low corn prices and volatile fuel demand. A coproduct with guaranteed offtake from Braskem could improve plant economics and reduce exposure to single-market risk.

"The team at LBDS brought their expertise in yeast and their extensive knowledge of the ethanol industry, complemented by our experience in chemicals and bioproducts, to make this collaboration a success," said Cirilo Vieira, business development director for renewables and biochemicals at Braskem. "We are eager to offer this sustainable acetone alternative to our customers."

The acetone market is mature and dominated by fossil-based production from cumene oxidation. Renewable alternatives have been limited by cost and scale. Braskem's existing biopolymer production and distribution network give it a ready channel to sell bio-acetone into industrial supply chains. The company said it will guarantee demand for all bio-acetone produced under the partnership.

The technology is available now to the U.S. ethanol industry. Braskem trades on the NYSE under BAK.