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Construction is set to begin in a month on a $100 million renewable fuel plant in Jeanerette that will convert sugar cane bagasse into fuel pellets.

A renewable fuels company is considering building a $70 million plant in Jeanerette that would turn sugarcane bagasse into fuel pellets.

The Delta Biofuel plant would be built on a 16 acre site off U.S. Highway 90, near the Enterprise Sugar Mill. It would create 126 direct jobs, with an average salary of $62,500, plus benefits. Louisiana Economic Development said the plant would also create 149 indirect jobs in Iberia Parish and 100 construction jobs at its peak.

Philip Keating, chief executive officer of Delta Biofuel, said the plant would provide a sustainable, long term solution for Acadiana sugar mills by utilizing the waste from sugar cane processing. This would eliminate methane emissions from discarded bagasse, reducing the cost and liability for mills. The company will harvest bagasse from Enterprise and three other nearby sugar mills.

“We see Louisiana and its sugar industry as a terrific and reliable source of biomass for alternative fuel production,” Keating said in a statement. “We have been able to collaborate with our partner sugar mills to produce a solution for their needs, while establishing a viable project that can deliver long-term economic impact for the region and reduce greenhouse gas emissions in electricity production.”

The fuel pellets would be used in European and Asian power and industrial heating plants that are transitioning away from fossil fuels. The plant would produce up to 300,000 metric tons of pellets annually.

If Delta decides to go ahead with the plant, construction would start in September and construction would take about a year. The company would start hiring in the spring.

Email Timothy Boone at tboone@theadvocate.com.