Video: KIOR Debt Issues Mounting

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JACKSON, Miss. (AP) – Biofuel maker KiOR says missing a $1.8 million loan payment to the state of Mississippi means it now owes more than $312 million immediately.

The company was supposed to make the payment to the Mississippi Development Authority by midnight Wednesday, the end of a grace period.

Even before then, Mississippi sent a default notice saying KiOR owed the $69.4 million in principal, and $9 million-plus in interest triggered by the default, for a total of $78.6 million.

KiOR, of Pasadena, Texas, said in a Friday stock filing that default notice triggered provisions making another $234 million in loans immediately due.

An entity controlled by financier Vinod Khosla loaned KiOR another $1.1 million Friday, but it’s unclear what KiOR will do next.

Company officials couldn’t immediately be reached for comment.