A biofuels pilot plant is to be constructed in Ontario, Canada by a Toronto-based company.
Woodland Biofuels is building its new facility at the Bioindustrial Innovation Centre in the University of Western Ontario's Sarnia-Lambton Research Park and the province will be investing $4 million (£2.5 million) into the project.
According to Woodland Biofuels, it will be using its patented technology to produce energy sources from "virtually any type of biomass".
This will enable sustainability without the need for corn-based biofuels to be used, the organisation noted, which will benefit food crops.
Greg Nuttall, president and chief executive officer at the firm, said: "We expect to be, by a significant margin, the lowest cost producer of automotive fuel in North America."
According to Mr Nuttal, the move will boost Ontario's reputation on the global scene regarding biofuels.
The enterprise recently received funding for one of its proprietary thermo-chemical processes for biomass conversion.
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