Segments of the wood preservation industry are transitioning from metal based preservatives to new carbon-based preservatives perceived as environmentally preferable. To ensure a successful transition there is a need to identify the fungi capable of detoxifying and decaying wood treated with new formulations. Traditional identification of fungi was based on morphological, physiological and biological characteristics of cultures grown on artificial media. These methods are time consuming, difficult, require extensive training and still may not lead to fungal identfication. In most laboratories fungal identification now relies on a combination of traditional techniques and molecular techniques. Provided that there is necessary equipment available, molecular identification is quick, requires less training and is often more accurate than traditional methods or significantly complementary to traditional methods. In addition, molecular methods are also used to quantify fungal colonization of wood, to study the effect of wood preservatives on fungi and succession in the decay process. FPInnovations did not have this molecular capability but realized it was critical for identification and investigation of detoxifier and decay fungi on treated wood. With funding from the Transformative Technologies program, FPInnovations identified and obtained the necessary equipment and set up appropriate lab spaces to conduct this work. Basic protocols have been put in place, staff trained and the techniques are now in use. This report addresses the progress made in laboratory set up, protocol development and molecular research now underway at FPInnovations.