FURFURAL: THE $700M BIOCHEMICAL

What is furfural used for?

Furfural is used for multiple purposes. Its versatility as an organic compound sees it included in the production of paints, plastics, resins, bricks, fibreglass, ceramics, biofuels, pharmaceuticals and cosmetics. 

Furfural is a bio-based agent for vulcanisation – a process that transforms raw rubber into a stronger, more durable material. In the energy sector, furfural is used to manufacture cleaner and higher octane petrol and diesel, and more recently their clean alternatives. [5]

Beyond these heavier industries, furfural’s flexible application extends into food, agriculture and household goods – as a flavouring ingredient in pastries, coffee and spirits, a component of herbicides, insecticides and pesticides, and an agent in household cleaners, lubricants and detergents. 

Why is furfural a renewable product?

Furfural is a renewable and sustainable biochemical because its natural plant sources are continually replenished through growth cycles. It is derived from agricultural and forestry waste. It isn’t a petroleum-based chemical made from fossil sources but it is an excellent way to make renewable fuels, solvents and plastics. 

That furfural adds value to organic waste streams, and doesn’t compete with food crops for land and resources, and doesn’t require expensive refineries for production, only serves to heighten the biochemical's appeal to manufacturers.

Furfural can also be converted into green fuels through hydrogenation, oxidation or condensation. Methylfuran, methyltetrahydrofuran, ethylfurfuryl and ethyltetrahydrofurfuryl ethers are all staple constituents of bio jet fuel.

How is furfural made?

Power Wood Energy will produce furfural as a by-product of manufacturing its black pellets biofuel.

Harvested dead wildfire wood and diseased timber from Canada’s boreal forest will be treated with high heat steam under pressure at 220°C. This hydrolysis forces the release of acetic acid from organic materials. The acetic acid, combined with a sudden drop in pressure, breaks down the biomass' cell structures – separating xylose sugar liquid from the wood’s fibres. [6] [7]

The pulp is dried, granulated and compressed into ultra-compact energy-dense biofuel pellets. The isolated xylose sugar liquid is further treated with sulphuric acid under heat to remove water, before it’s distilled into furfural. 

All of this will take place at Power Wood Energy’s pellet production facilities, planned for construction in northern Alberta's Mackenzie County.

What is furfuryl alcohol?

Furfural is a renewable bio-based platform chemical that has already yielded an entire new family of sustainable derivative chemicals. 

Among them, Furoic acid is used to make pharmaceuticals and agrochemicals. Tetrahydrofuran is favoured in weather-resistant coatings for metals. Caprolactam and hexamethylenediamine are two distinct monomers used in the production of Nylon. All come from furfural. 

However, furfuryl alcohol is its most important commercial derivative. Almost 90 percent of furfural produced around the world becomes furfuryl alcohol – and is used extensively in the production of heat-resistant resins, reinforced plastics and modified wood products that neither decay nor burn.

What does the future hold for furfural?

The global market value of furfural is currently around US$700m while annual production of the bio-based chemical remains approximately 350,000 tons. But the numbers are expected to grow, substantially.    

Increasing demand for sustainable, bio-based chemicals is driving furfural’s success story – as nations and their industries shift from petrochemicals.

China currently dominates the global furfural market. It produces 80 percent of the world’s supply, while consuming more than half of it to feed its large foundry and pharma industries.

Other big nation consumers of China’s domestic furfural product include India and Japan, with the Asia-Pacific region accounting for the largest share of furfural’s global market by far. [8] [9]

However, Europe’s stringent commitment to developing green economies has seen its consumption of furfural grow year on year. A revived US automotive sector is also now a driving force behind western demand for furfuryl alcohol - used in vehicle resins and plastics. [8] [9]

Unstable climates for agriculture and fractured global supply chains have caused the price of raw materials needed to make furfural to fluctuate greatly. Due to the biochemical's volatile nature, the cost of transporting furfural is also expensive. These difficulties mean that importing furfural from China is rarely viable.

Nevertheless, Power Wood Energy has arranged a 20 year fixed-price feedstock of hard wood, and has access to a 15 year backlog of fire-damaged timber included within its Canadian Crown forestry rights. And our company’s position, close to naitonal rail links in northern Alberta, removes the expense of shipping and importing it from the Far East.

As such, the company aims to become a prominent supplier of furfural for western nations.