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A start-up wants to transform sugarcane waste into cell ulosic ethanol. Later this year, northeastern Brazil will host one of the most ambitious biofuel experiments ever. There, in the small town of São Miguel dos Campos, surrounded by sprawling sugarcane fields, a commercial-scale ethanol plant is expected to start operating in December. Unlike the nearby ethanol plants, which use sugarcane as feedstock, this new facility will consume the leftovers of those plants-bagasse and straw-to produce a holy grail of biofuel: cellulosic ethanol.