Sundrop Fuels Inc. has finalized a licensing agreement to use ExxonMobil Research and Engineering Co.’s methanol-to-gasoline technology

to be incorporated into Sundrop’s planned “green gasoline” production facility near Alexandria.

Sundrop plans to break ground late this year on the commercial plant, which will be able to produce up to 50 million gallons of renewable gasoline annually. Sundrop said the plant, which turns forest waste into methanol, is the first of its kind in the United States.

“ExxonMobil Research & Engineering’s MTG technology gives Sundrop Fuels a proven fuels synthesis method to maximize the economic and environmental benefits gained through our company’s production of clean, bio-based renewable gasoline,” Sundrop CEO Wayne Simmons said in a news release. “This combination of technologies represents an important milestone in America’s path to energy independence and the integration of environmentally beneficial, domestic gasoline into our nation’s transportation fuel supply.”

Sundrop plans to increase its production capacity to more than 1 billion gallons by 2020, a significant percentage of the non-corn biofuels goal set by the nation’s Renewable Fuels Standar.