Neogen® Releases CelluSmart Technology for Biofuel Industry

Rhea-AI Summary

Neogen has launched CelluSmart technology through Megazyme for measuring cellulosic ethanol in biofuel production. This innovation improves upon the NREL procedure with a yeast-degrading cocktail, enhancing the production of low-carbon fuels. Cellulosic ethanol can reduce greenhouse gas emissions by 60% compared to petroleum-based fuels, promoting progress toward climate goals. CelluSmart technology can help ethanol producers lower carbon intensity scores, potentially opening new markets such as sustainable aviation fuel. The technology is incorporated into ASTM Method E-3417-24, fulfilling EPA's approval requirements for a method from a voluntary consensus standards body.

Positive

• CelluSmart technology offers improved measurement of cellulosic ethanol, enhancing low-carbon fuel production.
• Cellulosic ethanol presents a 60% reduction in greenhouse gas emissions compared to conventional fuels.
• Potential market expansion into sustainable aviation fuel due to lower carbon intensity scores.
• Incorporation into ASTM Method E-3417-24, meeting EPA's approved method requirements.
• Strengthens Neogen's long-term partnership with the biofuel industry.

Negative

• No direct financial data or projected revenue impact provided for investors.
• Potential high costs associated with adopting new CelluSmart technology for biofuel producers.

Insights

Tech Expert

The release of Neogen's CelluSmart technology marks a significant advancement in the biofuel industry. By integrating a yeast-degrading cocktail (YDC) into the measurement of cellulosic ethanol, Neogen sets a new standard. This technology refines the outdated National Renewable Energy Laboratory (NREL) procedure, potentially boosting the accuracy and efficiency of ethanol production. One key aspect is the reduction in carbon intensity scores, which could open up new markets like sustainable aviation fuel. Essentially, this technology addresses a critical need for precision in biofuel measurement, benefiting both the industry and environmental goals.

Environmental Analyst

From an environmental perspective, CelluSmart's introduction is a notable stride forward. Cellulosic ethanol already reduces greenhouse gas emissions by 60% compared to traditional petroleum-based fuels. The improved measurement accuracy could further enhance the environmental credentials of ethanol producers. By lowering carbon intensity scores, ethanol producers may find easier compliance with regulatory standards and an opportunity to contribute more effectively to climate goals. Additionally, this aligns well with growing global emphasis on low-carbon energy solutions and showcases the ethanol industry's commitment to sustainable practices.

Market Research Analyst

Considering the market implications, CelluSmart technology could influence the biofuel sector significantly. The alignment with ASTM Method E-3417-24 and the compliance with EPA's standards make this technology highly credible and market-ready. This could translate to increased adoption among ethanol producers seeking to benefit from the D3 RINs and access new markets like sustainable aviation fuel. Investors might find this appealing as it positions Neogen at the forefront of innovation in a sector that is poised for growth due to rising environmental regulations and the global push for sustainable energy.

LANSING, Mich., June 7, 2024 /PRNewswire/ -- Neogen^® Corporation (NASDAQ: NEOG), an innovative leader in food safety solutions, announced today that it has launched the new CelluSmart technology from Megazyme^® by Neogen for the measurement of cellulosic ethanol from biofuel production.

In creating this industry-first technology, Neogen improved upon the previous National Renewable Energy Laboratory (NREL) procedure, introducing a yeast-degrading cocktail (YDC). With these improvements, CelluSmart allows the ethanol industry to fully realize its efforts to produce low-carbon fuels, represented in value by the D3 RINs generated from in-situ production.

Cellulosic ethanol represents a 60% reduction in greenhouse gas emissions from standard petroleum-based fuel and helps progress toward climate goals. The CelluSmart technology has the potential to help ethanol producers further reduce carbon intensity scores, which, in combination with other factors, may help them gain access to new markets, including sustainable aviation fuel.

"The ethanol industry is a success story in providing low-carbon renewable energy," said John Adent, Neogen's President and Chief Executive Officer. "With the new CelluSmart technology, we can continue to leverage our knowledge in fiber and carbohydrate method development to contribute to the growth of this industry and help create a more sustainable world."

"Neogen is a long-term partner with the biofuel industry, and we have worked together in the food safety space over the years," said Dr. Jason Lilly, Vice President of the Americas and Australia/New Zealand at Neogen. "We are thrilled to provide producers with this highly requested technology and strengthen our relationship with the industry as we strive to enable a more sustainable future." 

The CelluSmart technology is incorporated into ASTM Method E-3417-24, which meets the U.S. Environmental Protection Agency's (EPA) requirements for an approved method from a voluntary consensus standards body.

About Neogen

Neogen Corporation is committed to fueling a brighter future for global food security through the advancement of human and animal well-being. Harnessing the power of science and technology, Neogen has developed comprehensive solutions spanning the Food Safety, Livestock, and Pet Health & Wellness markets. A world leader in these fields, Neogen has a presence in over 140 countries with a dedicated network of scientists and technical experts focused on delivering optimized products and technology for its customers.

Contact

PR@Neogen.com 

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SOURCE Neogen Corporation

FAQ

What is Neogen's new CelluSmart technology?

CelluSmart is a technology launched by Neogen for measuring cellulosic ethanol in biofuel production, using an improved yeast-degrading cocktail.

How does CelluSmart technology impact greenhouse gas emissions?

CelluSmart technology aids in producing cellulosic ethanol, which reduces greenhouse gas emissions by 60% compared to petroleum-based fuels.

What are the potential market opportunities for Neogen's CelluSmart technology?

CelluSmart technology may help ethanol producers lower carbon intensity scores, opening new markets like sustainable aviation fuel.

How does the CelluSmart technology align with EPA requirements?

CelluSmart technology is incorporated into ASTM Method E-3417-24, meeting the U.S. EPA's requirements for an approved method from a voluntary consensus standards body.

What is the significance of the CelluSmart technology for the ethanol industry?

CelluSmart offers a significant advancement in producing low-carbon fuels and reinforces Neogen's partnership with the biofuel industry.