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Fortress Global licenses Mondelēz xylitol technology

THURSO, Quebec (News release) -- Fortress Global Enterprises Inc. has entered, through its wholly owned subsidiary, Fortress Advanced Bioproducts Inc. ("Fortress AB"), into a Technology License and Collaboration Agreement with Mondelēz International, Inc., one of the world's largest snacking companies.

Pursuant to the terms of the License Agreement, Mondelēz has agreed to grant an exclusive worldwide license to FortressAB to use its sugar-based bioproduct manufacturing technology that was jointly developed by Mondelēz and S2G Biochemicals Inc. ("S2G"). Fortress Global acquired S2G in March of 2018 and established FortressAB to commercialize the licensed technology.

The licensed technology is the result of a multi-year collaboration between Mondelēz and S2G to provide an environmentally sustainable process to produce cost-optimized,sugar-based bioproducts, including xylitol, a premium low-calorie sweetener used in gum, candy and food products.

Fortress Global produces an ideal feedstock for the process at its Fortress Specialty Cellulose Mill located in Thurso, Québec, by rinsing hemicellulose sugars from sustainably harvested, non-GMO, hardwood trees.

Mondelēz will collaborate with FortressAB to demonstrate the technology through funding and technical support for the construction of a xylitol and complementary bioproducts demonstration plant at the Fortress Specialty Cellulose Mill scheduled to start up in 2020.

If successfully demonstrated, the licensed technology could be scaled up to commercially produce approximately 20,000 tonnes per year of xylitol and complementary bioproducts from the hemicellulose sugars available from the Thurso mill.

Fortress Global believes that a full-scale plant at the Fortress Specialty Cellulose Mill utilizing the licensed Mondelēz technology together with S2G's knowhow will be one of the lowest cost producers of xylitol globally

Fortress Global Enterprises operates its dissolving pulp business at the Fortress Specialty Cellulose mill located in Canada, which also operates in the renewable energy generation sector through its cogeneration facility.

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