CLE is a 50-50 joint venture between subsidiaries of Chevron Corporation and Weyerhaeuser Company.

The agreement to purchase products is dependent on satisfaction of product specification criteria and RIN certification of the products as cellulosic biofuels under the U.S. Renewable Fuel Standard.

A testing and optimization agreement has also been signed by both the companies to optimize the compatibility of KiOR’s blendstocks with Chevron’s facilities.

KiOR expects to begin production at its Columbus facility in the second half of 2012.

KiOR is a next generation renewable fuels company based in the US.