BROOMFIELD - Range Fuels Inc., a Broomfield-based producer of cellulosic ethanol, has secured more than $100 million of Series B private financing, which will go toward first-phase construction of its cellulosic ethanol plant in Soperton, Ga.

The round of financing was led by San Francisco-based Passport Capital. Other investors include BlueMountain, Kholsla Ventures, Leaf Clean Energy and Pacific Capital Group.

Previously, Range Fuels received a $76 million grant from the U.S. Department of Energy and a $6 million grant from the state of Georgia.

Range Fuels will use $50 million of the Department of Energy's grant for the first phase of construction of the plant that will have a capacity to produce 20 million gallons of ethanol. The remaining $26 million will be for the next phase of the project.

Range Fuels will create cellulosic ethanol from Georgia wood waste. The ethanol will be mixed with petroleum to create a more sustainable fuel.

"Range Fuels has an enormous market opportunity and is the company closest to commercializing cellulosic ethanol," said Walther Lovato, portfolio manager of Passport Capital, in a statement. "Their technology and feedstock flexibility keeps costs low as they can deploy their plants near feedstock sources and quickly scale their business."

Range Fuels broke ground on the plant in November.

The company has plans for an initial public offering, which it announced in August 2007. Mitch Mandich, chief executive of Range Fuels, said the company is "going to continue to raise funds in the private sector throughout 2007 and 2008.