The company said that the carbon dioxide will be purified and liquefied to produce up to 450 tons per day from Praxair’s new plant, slated for start up in the fourth quarter of 2011. The carbon dioxide will be used primarily in food freezing and processing, and for beverage applications.

Ted Trumpp, vice president of East Region for Praxair’s North American Industrial Gases business unit, said: “Our intention is to build a world-class facility at the Osage Bio Energy plant in Hopewell, which will help us better serve our growing customer base in the East Region.”

Osage Bio Energy’s first plant, Appomattox Bio Energy, located in Hopewell, Virginia, is targeted to start up in August 2010. When complete, it will be the first commercial scale barley-to-ethanol processing plant in the US, producing 65 million gallons of ethanol per year.