Biofuels grant excites MSU-Northern

Paul Tuss, executive director of Bear Paw Development Corp., answers a question this morning about an Economic Development Agency grant headed to MSU-Northern. To his right are Tony Preite, director of university outreach and economic development; Greg Kegel, dean of the College of Technical Science; and Jim Limbaugh, Northern's new Chancellor.

As more details about the U. S. Commerce Department's Economic Development Administration's recent grant heading to Montana State University-Northern are revealed, the local leaders involved are sharing their excitement.

During a press conference in the office of Jim Limbaugh, Northern's new chancellor, the men behind the grant, including Paul Tuss, executive director of Bear Paw Development Corp. ; Tony Preite, regional economic development expert and director of university outreach and economic development; and Greg Kegel, Northern's dean of the College of Technical Sciences, met to discuss what this will mean for the area.

The $647,748 grant will contribute to the North Central Montana Renewable Industry Initiative, which, as the release states, "will commercialize green technology and create new high-skill, living-wage jobs. "

One component of the plan to accomplish those goals is the use of Northern's Bio-Energy Center as a proof of concept center. Small businesses or initiatives involved, or trying to be, with renewable biofuels will be able to test their products using Northern's unique techniques and equipment.

Kegel said there were already plans to partner with companies that make fuel additives and researchers in Missoula experimenting with algae-based biofuels to study their products at Northern's labs.

"We have a number of business partners who are hungry to test their ideas. We at MSU-Northern Bio-Energy Center have an appetite for solutions, " Kegel said. "We think this grant will help to ease some of the hunger pains often associated with the start of a new business. "

But a lot of excitement comes from who or what could eventually come to Northern for help.

"What is equally important, or more important, is the companies we don't know about, " Tuss said. "What we're doing is building capacity here. We're building the infrastructure that frankly isn't available anywhere else but MSU-Northern.

"We don't know who is going to be knocking on our door tomorrow, or next week or next year. What we do know is this is going to be a magnet for the kinds of companies that Greg is talking about: bioenergy companies, value-added ag companies and other folks involved in that industry, " Tuss said.

The center will allow Northern's existing Bio-Energy Center to upgrade equipment, such as a "scaled reactor which will help expand their research on bio-jet fuels. "

Kegel said that he had just been on the phone Monday with officials from the Boeing company, one of the world's largest aircraft manufacturers, talking about the research Northern has been doing in using local crops to produce jet fuel.

The grant, which required a one-to-one local match, was matched mostly with a $400,000 appropriation the school was able to get from last year's legislative session. The remaining $247,000 of the match was waived by the EDA at Limbaugh's request, leading to a total fund of $1,067,000 for the project.

Preite has worked in regional economic development for nearly 50 years, including his position as regional director for the EDA a decade ago. He said that this kind of grant is unusual for the agency.

"I can tell you it's very, very highly competitive, extremely highly competitive, " Preite said. "Northern has a past good record. Bear Paw has an excellent record. The activities going on now in Greg's shop across the street there are just evidence that they are moving forward.

"We need to make sure that the efforts we begin today in the new sector will continue on. "