Abengoa has been selected by Fulcrum BioEnergy to build the first biorefinery using gasification technologyto convert municipal solid waste (MSW) into syncrude that will be upgraded into jet fuel, the company announced today.

The contract is worth approximately $200 million.

Abengoa will be responsible for the turnkey execution of the plant including engineering, design andconstruction, as well as participating significantly in the development of the project. 

This project is expected to generate more than 500 jobs during the construction phase and 100 more jobs during plant operation. The biorefinery is located in the Tahoe-Reno Industrial Center, approximately 20 miles east of Reno, Nevada.

This initiative provides a sustainable alternative for the large volumes of municipal solid waste generated in the area every year, which would otherwise be disposed of in a landfill, according to project officials.

The process of converting MSW into renewable transportation fuels will significantly reduce the number of landfills, a growing concern in the US because of the chemical pollutants released into the air and seeping into the groundwater. This poses an increasing problem because, as the US population grows, the amount of waste generated is increased proportionately. 

In addition, thanks to the use of this sustainable fuel, the dependence on foreign energy and the carbonfootprint of the aviation industry will be reduced, according to project representatives.