USDA – Biorefinery Assistance Program
|Incentive Type:||Loan Program|
|Governing Body:||US Department of Agriculture|
|What’s it worth?:||$250 million|
This program provides loans of up to $250 million for the development of Advanced Biofuels, Renewable Chemicals, and Biobased Product Manufacturing. These loans may fund the development, construction and retrofitting of: Commercial-Scale Biorefineries, Biobased Product Manufacturing Facilities, or refinancing.
Eligible participants include lenders who are defined as “Well Capitalized” by the FDIC. Projects must be located in a U.S. state and may not exceed the amount of 80% of the projected cost of the project. A significant cash equity contribution must be made by the borrower and any other principle entities. Loan terms and agreements are in accordance to 7 CFR 4279.233 and 4279.234.
Prior to applying applicants must be pre-registered with the System for Award Management (SAM) and have a Data Universal Number System (DUNS). Applicants must submit a Letter of intent at least 30 days prior to the deadline before completing the two-phase application process. Phase 1 and 2 applications are outlined below:
- Project Summary
- Application Form
- Financial Statements
- Feasibility Study
- Business Plan
- Description of Borrower’s ownership structure
- Any other relevant information determined by the Agency
- Loan Agreement
- Environmental Assessment
- Evaluation and Rating of Project’s Indebtedness
- Lender’s Analysis
- Loan Note Guarantee
- Technical Assessment
Applicants that are not invited to submit Phase 2 will be pushed to one additional cycle.