Bluefire Ethanol Issued IR By CPCFA For Tax-Exempt Bond Financing

Irvine, CA - On December 3rd BlueFire Ethanol Fuels, Inc. was notified its application submitted to the California Pollution Control Financing Authority (CPCFA) at the end of November 2007 for the Lancaster Project was approved and was issued an Initial Resolution (IR). This is the first step in being able to access the tax-exempt debt market in California.

The CPCFA provides tax-exempt bond financing for pollution control projects. Its tax-exempt bond financing Program gives California businesses help with acquisition or construction of qualified pollution control, waste disposal, or waste recovery facilities, and the acquisition and installation of new equipment.

"We have cleared the first hurdle toward an additional financing alternative for our cellulosic ethanol plants at the project level," said BlueFire CFO Christopher Scott.

BlueFire was assisted in this application process by Westhoff, Cone & Holmstedt, based in Walnut Creek, CA. Westhoff, Cone & Holmstedt has consistently ranked as one of the top firms nationally in environmental finance, and in California they are the #1 ranked Underwriter in the number of solid waste disposal revenue bonds for 12 years in a row. The firm has over 70 industry clients and has completed over $1.4 billion in solid waste and environmental transactions since its founding in 1989.

Issuance of the inducement is not a commitment by CPCFA that bonds will be issued. The CPCFA Board will consider issuing a Final Resolution (FR) only after many criteria are met, and in no case are they under any obligation to do so.

SOURCE: BlueFire Ethanol Fuels, Inc