March 30, 2009

Corn Plus ethanol plant explores using city wastewater

Corn Plus is exploring the possibility of using treated wastewater from the city of Winnebago in it's ethanol plant.

The city of Winnebago discharges a minimum of about 350,000 gallons of treated wastewater into the Blue Earth River each day.

The ethanol plant just east of town uses up to 350,000 gallons of fresh groundwater daily to produce its fuel.

Ethanol plants have taken a lot of criticism lately for their water usage. This arrangement would help to divert some of that criticism and would be a new revenue source for the city of Winnebago.

Source : Mankato Free Press

March 29, 2009

Oregon State Researchers Using Algae To Produce Hydrogen

OSU researchers successfully got one type of cyanobacteria – more commonly known as blue-green algae – to live, grow and produce hydrogen while the cells were “encapsulated” in a solid state system, an important preliminary step to controlling this interaction of water, light and bacteria for practical use.

Significant progress still needs to be made in making the process more efficient and using light energy more effectively, but the advance demonstrates the feasibility of using these biological processes to produce hydrogen – which could be used directly as a fuel, or in hydrogen fuel cells to power the electric automobiles of the future.

The recent findings were published in the International Journal of Hydrogen Energy. Based on this and other progress, the U.S. Air Force Office of Scientific Research also recently awarded a grant of $938,000 to OSU, the University of Oregon and Indiana University to continue research.

Source : Oregon State Press Release

March 27, 2009

POET Chancellor Ethanol Plant Powered By Landfill Gas

Chancellor, S.D. and the city of Sioux Falls, S.D. have taken "green" to a new level with the completion of a landfill gas pipeline that is now providing methane gas to help power daily operations of the 105 million gallon per year (MGPY) POET ethanol plant.

The 10-mile, low-pressure pipeline from the Sioux Falls Regional Sanitary Landfill began supplying methane to the plant at the end of February, ahead of the expected completion date. The POET plant will utilize the landfill gas in a wood waste-fuel boiler to generate process steam. Combined, the two alternative energy sources will initially offset up to 90 percent of the plant’s process steam needs currently met using natural gas and has the potential to replace 90 percent of the plant’s total energy needs (combined with waste wood) over time.

The methane is produced when solid waste decomposes at the landfill. According to the Environmental Protection Agency, the annual environmental benefits from using this gas for power is equal to removing emissions from more than 27,000 passenger vehicles, removing carbon dioxide emissions from more than 344,000 barrels of oil or sequestering carbon with nearly 34,000 acres of pine or fir forests. Besides reducing greenhouse gasses, the partnership provides additional revenue to Sioux Falls and lowers energy costs at the Chancellor plant.

"At POET, we take a lot of pride in helping reduce the human impact on our environment," POET CEO Jeff Broin said. "Ethanol already cuts greenhouse gasses significantly compared to gasoline. This partnership makes that process even cleaner."

Sioux Falls Mayor Dave Munson said the new Methane Gas Compressor system provides a benefit for everyone in the area.

"Not only is this now allowing us to reuse the methane, but with POET as our customer we have added a revenue stream to the landfill which is going to keep rates low for the entire region," Munson said.

POET and the City of Sioux Falls are members of the U.S. Environmental Protection Agency’s Landfill Methane Outreach Program (LMOP). The program aims to reduce methane emissions from landfills by encouraging development of cost-effective and environmentally sound landfill gas projects.

Source : POET Press Release

March 25, 2009

Minnesota State Study : E20 No Harder On Engines Than Gasoline

The fruits, so far, of a $497,000 grant to Minnesota State University to study ethanol: A 20 percent blend appears to be no harder on vehicles than regular gasoline.

The study, led by Bruce Jones and Jim Rife in MSU’s automotive engineering technology department, has tested the effects of differ­ent blends of ethanol on the raw materials of a vehicle as well as fuel system parts.

Today all gas sold in Minnesota includes 10 per­cent ethanol. Some gas is 85 percent ethanol ( called E85). It’s the intermediate blends — between 10 per­cent and 85 percent — that MSU is studying.

It’s using regular vehi­cles, not the “flex fuel” mod­els specifically designed to run on high ethanol blends. Jones said research into the 20 percent blend has just been completed.

Tests on raw materials — the metals, plastics and rub­ber- like substances — found no problems with the E20 blend.

Likewise, fuel pumps using regular gasoline, E10 and E20 were run for 5,000 hours and there was no more wear and tear on the higher- ethanol blend.

The research is being done to support a Minnesota proposal to move to a 20 percent blend in all gasoline by 2012.

Source : Minnesota State

March 22, 2009

Kohler Introduces Industry’s First E85 Compatable Small Engine Line

Fuel efficient, cleaner burning engines will soon be the standard – not an option – on all KOHLER Command PRO® and Aegis® twin-cylinder engines.

Starting with its Command PRO 30 gasoline, twin-cylinder model in March, Kohler will introduce the first flex-fuel, electronic fuel injection(EFI) engine. Over the next two years, Kohler will convert its entire Command PRO air-cooled and Aegis liquid-cooled engines with this technology. And at a competitive price with traditional carbureted engines.

Kohler partnered with Delphi – a leading global supplier of mobile electronics and transportation systems – to design this new flex-fuel EFI system with patent-pending technology that will offer significant fuel savings, improved performance and reduced emissions.

KOHLER flex-fuel EFI models will be available on 26 twin-cylinder models ranging from 19-41 hp, and will operate efficiently and without excessive wear on the engine when E-85 or any other alternative fuel is used. An additional benefit of the new Kohler flex-fuel EFI engines is instant load response. The Kohler exclusive EFI system allows the engine to respond with peak Kohler performance even in changing altitudes and load requirements, which in turn, operates at top efficiency.

Kohler also designed this new line of engines within the same footprint as its current Command PRO and Aegis models, so that OEMs can easily drop in the newest Kohler engine without altering the end equipment design to accommodate the engine.

This is accommodated by Kohler’s exclusive self-contained EFI design, which features only one fuel line rather than an additional return fuel line with a special harness. The fuel module, electronic control unit and sensors are also all engine-mounted.

“Kohler introduces this new technology not only at a time when fuel prices are hitting all-time highs, but there’s also been movement of diesel-powered users looking more carefully at spark-ignited engines and what they can now bring to the table,” said Rich Koehl, director of marketing and quality, Kohler Engines. “Depending on the application, end users can realize a 17% to 28% fuel efficiency savings. And, Kohler will be within the EPA phase 3/CARB Tier 3 levels immediately, with extremely low levels of HC and NOx being produced. If the engines run on E-85, those emissions levels are reduced even further compared to operating with gasoline.”

Also true to Kohler Engines, the “closed-loop” system will continue to be a standard feature on these new engines. In most EFI engines, when an EFI engine is started, it operates in an “open loop” mode mapped by the electronic control unit (ECU). Only KOHLER EFI engines include an oxygen sensor that analyzes the air/fuel mixture in the exhaust. If the oxygen level strays from the ideal air/fuel mixture, the sensor triggers adjustments in the ECU map to adjust the amount of fuel injected into the system. Only KOHLER EFI engines then “close the loop” between the air/fuel intake and the exhaust output to provide a constant steam of critical feedback - and optimal power and fuel economy. The closed loop advantage also means that only KOHLER EFI engines automatically adapt to air cleaner conditions and altitude changes.

Kohler was the first small-engine manufacturer to introduce EFI with closed loop on its engines in the mid 1990s, featuring the EFI system as an option and just a few select air- and liquid-cooled models, which carried a higher price tag over its carbureted models. Since then, KOHLER has found a way to take the EFI technology – long used in the automotive industry – and integrate it among multiple horsepower levels at an extremely competitive price.

Source : Kohler

Update June 2010 : The above press release is no longer available on the Kohler website but according to this February 2010 press release the flex fuel option is still planned but won't be available until sometime later this year.

Flex fuel program forthcoming
In 2008, Kohler also announced plans to develop the industry’s first EFI engines with a flex-fuel option. According to Litt (Cam Litt, marketing manager), this alternate fuel option, such as E-85, could be available to OEMs some time in 2010, once the business has completed the EFI conversion across the entire Command PRO twin-cylinder line. Added Litt: “In the future, our KOHLER EFI engines will also be E-85 capable, meaning the engine will be more adaptable to varying fuel formulations.”

March 20, 2009

Landfill to build power plant run on methane gas

Waste Management Inc. plans to build Arkansas' second "gas-to-energy plant" near its Tontitown landfill.

The plant will convert methane gas to generate about 5 megawatts of electricity, which could power 5,000 homes, said George Wheatley, a spokesman for the Houston based company. Methane gas is created naturally as waste decays in landfills.

"It's green electricity," Wheatley said. "It moves your landfill from being just a landfill to being a component of renewable energy."

The Tontitown landfill should have an ample supply of methane to provide 5 megawatts of electricity for about 30 years, Wheatley said.

March 17, 2009

VeraSun Energy Selects Valero as Successful Bidder for Seven Facilities

VeraSun Energy Corp. today announced that it has selected Valero Renewable Fuels as the successful bidder for assets contained in the “VSE Group”, in addition to ethanol production facilities in Albion, Neb., and Albert City, Iowa, following an auction in Wilmington, Del. The secured lenders submitted successful credit bids for each of the remaining facilities.

The VSE Group consists of production facilities in Aurora, S.D.; Charles City, Fort Dodge and Hartley, Iowa, and Welcome, Minn., and a development site in Reynolds, Ind.

Upon the conclusion of the auction, VeraSun selected Valero as the successful bidder to purchase the VSE Group facilities for a base purchase price of $350 million, $72 million for the US Bio Energy facility in Albert City, Iowa and $55 million for the ASA facility in Albion, Neb., plus working capital and other certain adjustments.

The secured lenders for the remaining facilities submitted successful credit bids. Dougherty Funding, LLC submitted a credit bid of $93 million for the Marion, S.D. production facility. A group of lenders led by AgStar Financial Services submitted a credit bid of $324 million for the remaining “US BioEnergy Group”, which includes ethanol production facilities in Central City and Ord, Neb.; Dyersville, Iowa; Hankinson, N.D.; Janesville, Minn., and Woodbury, Mich. A group of lenders led by West LB AG submitted a credit bid of $99 million for the remaining “ASA Group” facilities, consisting of production facilities in Bloomingburg, Ohio and Linden, Ind.

VeraSun will seek approval of the successful bids at a sale hearing conducted by the US Bankruptcy Court on Wednesday, March 18, 2009 at noon. The sales are expected to close in April.

Source : VeraSun Press Release

March 16, 2009

POET And Magellan To Assess Dedicated Ethanol Pipeline

Magellan Midstream Partners, L.P. today announced that it has signed a joint development agreement with POET to continue assessing the feasibility of constructing a dedicated ethanol pipeline. The proposed ethanol pipeline system would safely and efficiently deliver ethanol from the Midwest to distribution terminals in the northeastern United States.

The proposed common carrier pipeline system would gather ethanol from production facilities in Iowa, South Dakota, Minnesota, Illinois, Indiana and Ohio to serve terminals in major Northeastern markets. The project, preliminarily estimated to cost in excess of $3.5 billion, would span approximately 1,700 miles and would take several years to complete.

Although there are many hurdles to overcome to make this ethanol pipeline project a reality, Magellan and POET are optimistic that the obvious need for a pipeline to deliver ethanol from the Midwest to distribution terminals in the northeastern United States may lead to a viable and successful project. A positive assessment will allow one or both partners to enter into a subsequent agreement to construct a dedicated ethanol pipeline.

Source : POET Press Release

March 15, 2009

Sapphire Energy Algae to Fuel Demonstration Project Receives Funding

The omnibus appropriations bill President Obama signed into law last week contained $951,000 for the Sapphire Energy Algae to Fuel Demonstration Project.

Sapphire Energy Algae to Fuel Demonstration Project - $951,000

This funding establishes a demonstration project in Portales, New Mexico, to create and grow a fuel-producing algae using technology that genetically enhances algal organisms. It is estimated that 100 local jobs will be created from this funding and could help in significantly reducing our nation’s dependence on fossil fuels.

Source : Senator Tom Udall Press Release

March 13, 2009

Ethanol Fact Check Needed In The Bird Seed Aisle

This is another post about how the media is all too willing to place the blame on ethanol without even checking the facts.

An article in the news talks about how the price of bird seed has gone up and points the blame at ethanol.

Another factor driving the price of sunflower seeds up over the past few years has been farmers planting less sunflowers as many planted more corn instead to reap government dollars during the ethanol boom, Willard said.

A check of the data at the USDA shows that this assumption is incorrect.

Sunflower Seed Acres Planted

2008 - 2,516,500 acres
2007 - 2,070,000 acres
2006 - 1,950,000 acres

Somebody needs to clue reports in on the fact that just because something has gone up in price doesn't always mean that it lost acres to corn production.

March 11, 2009

2008 Gasoline Consumption

The Energy Information Administration (EIA) recently released the final numbers for 2008 gasoline consumption.

Finished Motor Gasoline

2008 - 3,290,057,000 barrels x 42 = 138,182,394,000 gallons
2007 - 3,389,269,000 barrels x 42 = 142,349,298,000 gallons
2006 - 3,377,174,000 barrels x 42 = 141,841,308,000 gallons
2005 - 3,343,131,000 barrels x 42 = 140,411,502,000 gallons
2004 - 3,332,579,000 barrels x 42 = 139,968,318,000 gallons
2003 - 3,261,237,000 barrels x 42 = 136,971,954,000 gallons
2002 - 3,229,459,000 barrels x 42 = 135,637,278,000 gallons

As you can see after years of steady increases the amount of Finished Motor Gasoline consumed dropped off last year. The decrease is probably mostly due to the high prices seen through the early part of the year and the sagging economy in the latter part of the year.

The number that the EIA provides for Finished Motor Gasoline includes all the ethanol blended into the gasoline supply. So to get the number for just the amount of petroleum gasoline consumed the ethanol needs to be subtracted out.

Ethanol Used : Domestic Production + Imports

2008 - 9,838,374,000 gallons
2007 - 6,960,240,000 gallons
2006 - 5,615,484,000 gallons
2005 - 4,040,190,000 gallons
2004 - 3,551,142,000 gallons
2003 - 2,816,688,000 gallons
2002 - 2,153,004,000 gallons

Gasoline Used : Finished Motor Gasoline - Ethanol

2008 - 128,344,020,000 gallons
2007 - 135,389,058,000 gallons
2006 - 136,225,824,000 gallons
2005 - 136,371,312,000 gallons
2004 - 136,417,176,000 gallons
2003 - 134,155,266,000 gallons
2002 - 133,484,274,000 gallons

As you can see the amount of petroleum gasoline consumed peaked in 2004 and was in steady decline through 2007 before really dropping off in 2008.

Source : Energy Information Administration

Update : 2010 Gasoline Consumption

March 09, 2009

Ethanol Fact Check Needed In The Dairy Isle

Remember the days when information was given to a reporter and they checked the facts before they printed the story? Well, those days are long gone. A story in the news today about the troubles facing the dairy industry highlights this fact. One quote stood out to me.

Also, the high prices of corn, partly fueled by an increase in demand for ethanol, decreased the amount of acreage for barley and other grains dairy farmers purchase.

Over the last couple of years ethanol has been wrongly blamed for decreasing the acreage of many crops. A quick check of the USDA data shows this claim to be false also.

Barley Acres Planted

2008 - 4,234,000 acres
2007 - 4,018,000 acres
2006 - 3,452,000 acres

Looking up this information took less than a minute. Surely asking that reporters take a few minutes and check the facts of their stories isn't too much to ask.

March 06, 2009

Kansas State Study Finds No Link Between E. Coli And Distillers Grains

Researcher at Kansas State University have conducted another study on the effects of feeding distillers grains and the prevalence of E. coli 0157 in cattle. The conclusions of this study are that feeding distillers grains had no significant effects on the prevalence of E. coli.

Source : Nebraska Corn Kernels

March 05, 2009

December Biodiesel Production Falls Sharply

December biodiesel production fell by about 14 million gallons from the number posted in November to 48,584,837 gallons. That number is about 19 million gallons lower than the peak established in July and the lowest level since February 2008.

December 2008 - 48,584,837 gallons
November 2008 - 62,218,170 gallons
October 2008 - 61,718,000 gallons
September 2008 - 64,134,000 gallons
August 2008 - 66,696,000 gallons
July 2008 - 67,410,000 gallons
June 2008 - 63,378,000 gallons
May 2008 - 52,500,000 gallons
April 2008 - 52,836,000 gallons
March 2008 - 49,056,000 gallons
February 2008 - 43,260,000 gallons
January 2008 - 50,736,000 gallons

2007 - 489,804,000 gallons

Source : U.S. Census Bureau

Aurora Biofuels Pilot Algae Plant Produces Biodiesel

Aurora Biofuels, Inc. today announces that it has successfully operated a pilot plant in Florida for 18 months. The biodiesel produced from the Aurora Biofuels pilot facility has successfully passed ASTM standards, and the consistency of fuel production over the trial period marks a success in perfecting the company's chosen pathway of low-cost open pond algae production systems. The achievement showcases the company's pathway to cost-effectively producing consistent-quality biofuels from algae in industrial-scale volumes, and points to the company's readiness to pursue the commercialization of its biofuel process.

At the Florida facility, Aurora Biofuels has stably cultivated high-oil producing algae since August of 2007, overcoming the contamination problem commonly reported to hinder algae biofuel efforts. Company scientists and engineers have utilized new technological screening processes combined with microbial biology to identify natural algae strains best suited for biofuel production.

In addition, the pilot facility highlights the success of patent-pending engineering processes designed by Aurora Biofuels to allow for environmentally friendly, low-cost production of algae biomass and extraction of bio-oil. At the Aurora Biofuels pilot plant, algae are cultivated in seawater on non-arable land and are harvested in an energy-efficient cost-effective manner. Further, the pilot facility demonstrates that Aurora Biofuels' process can sequester more than 90 percent of carbon dioxide fed into the system.

"Our results prove that large-scale outdoor production of biodiesel from microalgae is entirely within our reach, and that our technology can be optimized and is ready to scale," said Aurora Biofuels Chief Executive Bob Walsh. "In the near-term we expect to demonstrate that the economics of this process can produce biodiesel that is price-competitive with fossil fuels and our first commercial plant will be in operation by 2012."

Source : Aurora Biofuels

March 04, 2009

DOE Announces Investment of up to $84 Million in Geothermal Energy

U.S. Department of Energy Secretary Steven Chu today announced the release of two Funding Opportunity Announcements (FOAs) for up to $84 million to support the development of Enhanced Geothermal Systems (EGS). Geothermal energy technologies use energy from the earth to heat buildings and generate electricity. Enhanced Geothermal Systems offer the potential to extend geothermal resources to larger areas of the western United States, as well as into new geographic areas of the entire country. These projects will help support the Administration’s efforts to invest in clean energy technologies, create millions of new jobs, end our addiction to foreign oil, and address climate change.

“President Obama has laid out an ambitious agenda to put millions of people to work by investing in clean energy technology like geothermal energy,” said Secretary Chu. “The Administration is committed to funding important research like this to transform the way we use and produce energy and reduce our dangerous dependence on foreign oil.”

Conventional geothermal energy systems must be located near easily-accessible geothermal water resources, limiting its nationwide use. EGS technology would allow power generation in a broad variety of geographic locations. EGS makes use of available geothermal resources to heat engineered reservoirs, which can then be tapped to produce electricity.

The FOAs will explore two specific areas: component research and development/analysis; and support for EGS demonstration projects.

The first FOA seeks advanced technology to address important aspects of engineered geothermal reservoir creation, management, and utilization. DOE anticipates making 20 to 30 awards for a total value of up to $35 million under this FOA, based on annual appropriations. Proposals will be evaluated based on their applicability to the program’s multi-year research, development, and demonstration plan; level of technical innovation; and ability to introduce new technologies into the marketplace. Research teams comprised of academia, industry, or both are expected to apply. The FOA can be found on Grants.gov.

In addition, DOE will continue its partnership with the geothermal community to support field demonstrations of EGS technologies. The second FOA seeks domestic projects in a variety of geologic formations that will quantitatively demonstrate and validate reservoir creation techniques that sustain sufficient fluid flow and heat extraction rates for 5-7 years and that produce at least 5 MWe per year per project. DOE anticipates making 5 to 10 awards under this announcement for up to $49 million, based on annual appropriations. Applicants eligible to apply include institutions of higher education, non-profit entities, for-profit private entities, State/Local Governments, and Indian tribes. The FOA can be found also be found on Grants.gov.

For each of the Financial Opportunity Announcements, DOE and non-DOE Federally Funded Research and Development Centers (FFRDCs), National Laboratories, and federal agencies will be allowed as subcontractors only with any of the previously mentioned entities.

Learn more information about the U.S. Department of Energy’s Geothermal Technologies Program.

March 01, 2009

E85 Stations Continue To Rise, Reaching 1969

The number of E85 stations across the country continues to rise. For the month of February 42 new locations were added bringing the total number of E85 stations to 1969. From March 1, 2008 to March 1, 2009 a total of 468 new stations were added.

March 1, 2009 - 1969
February 1, 2009 - 1927
January 1, 2009 - 1899
December 1, 2008 - 1868
November 1, 2008 - 1837
October 1, 2008 - 1782
September 1, 2008 - 1743
August 1, 2008 - 1663
July 1, 2008 - 1627
June 1, 2008 - 1579
May 1, 2008 - 1560
April 1, 2008 - 1521
March 1, 2008 - 1501
February 1, 2008 - 1475
November 9, 2007 - 1378
May 7, 2007 - 1200

The current number plus the locations of all E85 stations can be found at the National Ethanol Vehicle Coalition.

Imported Oil Major Source of 2008 Trade Deficit

Americans spent a record $453.3 billion on imported petroleum in 2008, a figure representing two-thirds of the U.S. trade deficit of $677.1 billion, according to new statistics from the U.S. Census Bureau.

The 2008 import average price per barrel of crude oil was also a record high of $95.23.

“The hundreds of billions of energy dollars sent to dangerous regimes abroad could be spent to build a new energy economy here,” Sen. Dick Lugar said. “A simple and effective means of strengthening U.S. national security is to dramatically reduce our oil dependence.”

According to the new Census report, the U.S. had record goods and services exports last year of $1,843 billion. This included record exports of foods, feeds, and beverages; industrial supplies and materials; capital goods; petroleum and consumer goods. However, the balance of payments deficits came in a record year of $2,520 billion of imports, led by the same categories.

Source : Senator Dick Lugar Press Release