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S2G BioChem finds partner for sweetener

S2G BioChem, a Vancouver-based developer of natural biotechnology conversion processes, entered into a license and collaboration agreement with candy and chocolate producer Mondelēz International to help commercialize a sustainably-sourced supply of the food ingredient xylitol using a proprietary co-production technology.

Under the agreement, S2G will receive financial support for project development of the first commercial production facility for sustainably-sourced xylitol and exclusive worldwide rights to the technology for its supply. Xylitol is valued as a food ingredient for its distinct flavour and beneficial properties, while containing only one-third the calories of a similar amount of table sugar.

“S2G’s conversion process maximizes the value of challenging ‘C5’ sugars derived from wood and agriculture residues,” said Jeff Plato, director, corporate and business development of S2G BioChem. “And we’re excited to build new relationships with interested suppliers, those who want to join our growth strategy and make our products commercially available in North America and beyond.”

S2G’s conversion technology uses sustainably-sourced renewable plant materials to concurrently produce two bio-based products – xylitol and bioglycols. The company says the ability to co-produce these products results in the lowest production costs for xylitol and bioglycols available today. Bioglycols (EG & PG) are sustainable drop-in replacements for petrochemicals that can be used to make countless everyday products such as packaging, lotions, liquid detergents, deicing fluids and antifreeze.

“Our work with S2G reflects our focus on helping us drive extraordinary value through innovative products of the highest quality at competitive costs, as well as our efforts to protect the well-being of the planet and its people,” said Shrijeet Desai, director global sweeteners procurement, Mondelēz International.

Following more than seven years of development and commercial-scale demonstration of S2G’s patented chemical conversion processes, the company is now focused on securing investors and partners interested in participating in projects based on the technology, including suitable suppliers of raw materials.