Waste Management Inc.
(WM - Free Report
) recently announced an agreement with Renmatix to explore and further develop possibilities of converting waste to low-cost sugar, which can be used for producing fuel.
Renmatix is a manufacturer of bio-based sugar intermediates, an alternative to petroleum derivates for the global chemical and fuels markets. The company’s proprietary Plantrose process converts cellulosic biomass from wood chips to agricultural residue into useful, cost-effective sugar. Renmatix’s supercritical hydrolysis technology deconstructs non-food biomass quicker than other processes and increases its cost advantage as it uses minimal consumables. Renmatix can convert three dry tons of cellulosic biomass to sugar per day.
As per the agreement, Renmatix will study different waste streams currently collected and processed by Waste Management such as source-separated recyclables, food scraps, construction and demolition debris, and pulp and paper waste. Subsequently, these will then be assessed whether it can be converted to sugar and used for production of renewable chemicals and fuels.
This investment speaks of Waste Management’s ongoing commitment of supporting innovative technologies that extract the value in waste and convert it into clean renewable energy. The company has already joined hands with other waste-conversion technology companies including the likes of Agnion, Agilyx Corp, Fulcrum BioEnergy Inc., Genomatica Inc., Enerkem Inc., InEnTec Inc. and Terrabon. The recent agreement with Renmatix will help take Waste Management a step forward toward meeting two of its sustainability goals – doubling its renewable energy production by 2020 and investing in emerging technologies for managing waste.
Waste Management is the largest provider of comprehensive waste management services in North America. The company provides collection, transfer, recycling and resource recovery, as well as disposal services, to nearly 20 million residential, commercial, industrial and municipal customers. It competes with Republic Services, Inc.
(RSG - Free Report
) and Casella Waste Systems Inc.
(CWST - Free Report
) . Waste Management currently maintains a Zacks #4 Rank (Sell) for the short term.