A pinksheets-traded company is ambitiously aiming for 1.5 billion gallons of cellulosic ethanol production within six years, translating into earnings of more than $1.6 billion.

BlueFire Ethanol's (PINKSHEETS: BFRE) President/CEO Arnold Klann announced today that his company has signed a Memorandum of Understanding with MECS, Inc. (formerly Monsanto Enviro-Chem Systems, Inc.) as its lead engineering procurement and construction contractor for the company's cellulosic ethanol plants.

BlueFire says its goal is to design, develop and construct 20 plants in the next 6 years, totaling 1.5 billion gallons in production and approximately $2.7 billion in gross revenue by 2012 with earnings in excess of $1.6 billion. MECS will work with BlueFire and JGC to complete design and commence construction of its first cellulosic plant by the second quarter of 2007.

MECS is known as a leader in the design and construction of chemical plants.

"BlueFire's cellulose processing technology and business opportunities together with MECS' capabilities built on a heritage of nearly 100 years is an alliance that will lead to a very competitive solution for producing cellulosic ethanol from various biomass substrates," stated P.J. Desai, President of MECS. "We are excited to be working with BlueFire on the development and demonstration of the first commercial cellulosic ethanol plant in the United States and look forward to our alliance leading the rapid growth of this industry."

BlueFire plans to use what it calls "the commercially ready, patented, and proven" Arkenol Technology Process for the profitable conversion of cellulosic green waste waste materials to ethanol. BlueFire says the Arkenol process positions it as the only cellulose-to-ethanol company worldwide with demonstrated production of ethanol from urban trash (post-sorted MSW), rice and wheat straws, wood waste and other agricultural residues. Ethanol will be produced from biorefinery facilities constructed on or near landfills, waste collection and waste separation sites.