Denver, Colo.-based West Hawk Development (TSX: WHD) said today it signed an agreement to grab a 10 percent stake in a North Carolina gasification project.

West Hawk is acquiring the interest in the facility from Arvada, Colo.- based Power Ecalene Fuels. Financial terms were not disclosed.

West Hawk said the project consists of a primary train whereby the syngas will be liquefied and premium fuels, such as jet fuel and ethanol fuel, will be developed using a process from Power Ecalene.

The plant is expected to use coal, biomass and waste as feedstocks, with the initial cost of the facility pegged at under $50 million, according to West Hawk.

The company said the project should be operational within a year.

West Hawk said it plans to work with Power Ecalene on the development of the syngas to liquids demonstration plant, and to market and license the technology on a commercial scale.

Under today's deal, West Hawk said it also has the right to develop, construct, and operate the technology at its coal sites and in its own plants in certain territories in North America and Asia.