June biodiesel production continued it's slide lower. For the month production was 23 million gallons in June, down from 29 million gallons in May and 31 million gallons in April.
That is also down from 32 million gallons in June 2009 and 61 million gallons in June 2008.
Source : EIA Biodiesel Overview
September 30, 2010
Lignol Receives Funding from the US Department of Energy
Lignol Energy Corporation, a leading technology company in the cellulosic ethanol, biochemicals and biorefining sector, is pleased to report that its U.S. based subsidiary, Lignol Innovations Inc. has been informed by the DOE, of a modification to its Cooperative Agreement whereby approximately US$4.0 million (previously US$1.56 million) has now been obligated by the DOE as a contribution in phase one of the Agreement. Of this obligated amount, US$0.34 million has recently been received by Lignol and approximately US$1.2 million is currently available to be claimed in respect of expenses incurred to date. A further US$0.46 million is expected to be made available shortly by the DOE. The balance of the obligated amount of approximately US$2.0 million, is subject to Lignol achieving certain project development milestones.
On October 28, 2008 Lignol announced that it had signed a US$30 million Agreement with the DOE relating to the construction of a commercial demonstration cellulosic ethanol plant. The first phase of the Agreement relates to the development and design phase leading up to construction; including preliminary plant engineering and design as well as environmental documentation and permitting. Upon the satisfactory completion of the milestones outlined within the first phase of the Agreement, the second phase of funding will commence with the DOE contributing up to fifty percent of total plant construction costs up to a maximum of US$26 million. As with many similar federally funded programs, such contributions are subject to the availability of appropriated funding for each fiscal year.
Source : Press Release
See Also :
Novozymes and Lignol sign deal to make ethanol from wood
On October 28, 2008 Lignol announced that it had signed a US$30 million Agreement with the DOE relating to the construction of a commercial demonstration cellulosic ethanol plant. The first phase of the Agreement relates to the development and design phase leading up to construction; including preliminary plant engineering and design as well as environmental documentation and permitting. Upon the satisfactory completion of the milestones outlined within the first phase of the Agreement, the second phase of funding will commence with the DOE contributing up to fifty percent of total plant construction costs up to a maximum of US$26 million. As with many similar federally funded programs, such contributions are subject to the availability of appropriated funding for each fiscal year.
Source : Press Release
See Also :
Novozymes and Lignol sign deal to make ethanol from wood
July 2010 Ethanol Production Rises Slightly
Ethanol Production in July rose slightly to 857,000 barrels per day, up from 854,000 barrels per day in June. Total production for July was higher at 1,116,402,000 gallons versus 1,076,502,000 in June.
Ethanol imports were lower at 756,000 gallons from 1,680,000 gallons in June.
Source : Energy Information Administration
Ethanol imports were lower at 756,000 gallons from 1,680,000 gallons in June.
Source : Energy Information Administration
Former Alchem Ethanol Plant Sells For $525,000
The former Alchem ethanol plant in Grafton, ND sold yesterday at auction for $525,000. Jim Borchart, owner of Borchart Steel Inc. was the winning bidder.
It’s still unclear what Borchart will do with the 10.5 MMgy plant, which has been sitting idle for years. He intends to winterize it and make a final decision this March or April, he said. One possible option is that he will sell off the equipment, piece by piece. Or, he’ll modernize and streamline the plant and then restart it.
Source : Ethanol Producer Magazine
See Also :
Former Alchem Ethanol Plant To Be Auctioned
It’s still unclear what Borchart will do with the 10.5 MMgy plant, which has been sitting idle for years. He intends to winterize it and make a final decision this March or April, he said. One possible option is that he will sell off the equipment, piece by piece. Or, he’ll modernize and streamline the plant and then restart it.
Source : Ethanol Producer Magazine
See Also :
Former Alchem Ethanol Plant To Be Auctioned
ACE Releases 2010 Congressional Survey
The American Coalition for Ethanol (ACE) has just released their 2010 congressional survey.
The candidates were presented with two questions:
1) Do you support extending the Volumetric Ethanol Excise Tax Credit beyond 2010? Why or why not?
2) Do you support legislation in Congress to require an increasing number of autos sold in the U.S. to be Flexible Fuel Vehicles and to provide incentives for gas stations to install blender pumps? Why or why not?
2010 Congressional Survey
The candidates were presented with two questions:
1) Do you support extending the Volumetric Ethanol Excise Tax Credit beyond 2010? Why or why not?
2) Do you support legislation in Congress to require an increasing number of autos sold in the U.S. to be Flexible Fuel Vehicles and to provide incentives for gas stations to install blender pumps? Why or why not?
2010 Congressional Survey
September 29, 2010
Verenium Announces New Enzyme For Ethanol Production
Verenium Corporation, a pioneer in the development and commercialization of high-performance industrial enzyme solutions, today announced that it will now market and sell DELTAZYM(R) GA L-E5, a high performance enzyme for the saccharification of liquefied starch in the fuel ethanol production process. The DELTAZYM(R) GA L-E5 enzyme has demonstrated high ethanol yields at industrial scale using multiple substrates including corn, milo, barley, wheat and cassava."Verenium is pleased to be able to enhance our starch processing product offering with this best-in-class glucoamylase enzyme for fuel ethanol production," said Janet Roemer, Verenium's President and Chief Operating Officer. "Customers using both Verenium's Fuelzyme(R) alpha-amylase and DELTAZYM(R) GA L-E5 have reported increased ethanol yields due to demonstrated synergies between the two enzyme products providing fuel ethanol processing plants with superior cost-performance benefits."
Verenium estimates the addressable global market for DELTAZYM(R) GA L-E5 for fuel ethanol production to be approximately $200 million annually.
Source : Press Release
See Also :
Verenium Closes Sale of Cellulosic Biofuels Business to BP
BP and Verenium Form Cellulosic Ethanol Venture
Verenium's Cellulosic Ethanol Plant Begins Production
Verenium Jennings Pilot Facility, America's first Cellulosic Plant
September 28, 2010
Green Plains Renewable Energy to Acquire Global Ethanol
Green Plains Renewable Energy, Inc. announced today that it has entered into a definitive agreement to acquire Global Ethanol, LLC. Global owns two operating ethanol plants which are located in Lakota, IA and Riga, MI and have a combined annual production capacity of approximately 157 million gallons ("mmgy"). The acquisition will increase Green Plains' capacity by 31% to approximately 657 mmgy. Once the transaction is closed, Green Plains will market and distribute more than one billion gallons of ethanol production on an annual basis.Green Plains estimates the total value of the transaction at approximately $169.2 million, including approximately $147.6 million for the ethanol production facilities and the balance in working capital. The definitive agreement provides that the proposed acquisition will be accomplished through a merger of a newly formed wholly-owned subsidiary of Green Plains with Global. Upon closing of the merger, the outstanding units of Global will be exchanged, in the aggregate, for 4,386,027 shares of restricted common stock of Green Plains, warrants to purchase 700,000 shares of restricted common stock of Green Plains and $20.0 million in cash. The total value of the transaction includes the assumption of approximately $98.7 million of outstanding debt. The warrants will not be transferable, except in certain limited circumstances, and will be exercisable for a period of three years from the closing date at a price of $14.00. The closing of the transaction, which is expected to occur during the fourth quarter of 2010, is subject to customary closing conditions and regulatory approvals.
"This transaction demonstrates our ability to make acquisitions at attractive valuations utilizing a combination of our strong balance sheet and our stock, allowing us to meet the differing objectives of ethanol plant owners," stated Todd Becker, President and CEO of Green Plains Renewable Energy. "The addition of the Global plants enables us to lower our average cost of ethanol production assets and to achieve greater economies of scale in our marketing, risk management and back office operations. We believe this acquisition will be accretive to 2011 earnings. Consistent with our strategy to expand our operations throughout the ethanol value chain, we continue to seek out consolidation opportunities within each of our business segments," Becker concluded.
Source : Press Release
See Also :
Green Plains Renewable Energy to Implement Corn Oil Extraction Technology
Green Plains Renewable Energy and BioProcess Algae to Break Ground on Phase II of Algae Project
Two Iowa Ethanol Plants Getting Wind Power
New Generation Biofuels Files A New Patent Application For Pyrolysis Oil Based Biofuel
Renewable fuels provider New Generation Biofuels Holdings, Inc. (NGBF) today announced that it has filed for a patent application for their new pyrolysis oil based biofuels.
“I believe that this is truly a technical breakthrough to have a pyrolysis oil based biofuel that we can offer our customers,” stated Cary J. Claiborne, CEO and President of NGBF. “Pyrolysis oil has great potential but until now has been a technical challenge for many to incorporate into their biofuel technology. We believe NGBF’s emulsion technology is a perfect fit.”
“We have been able to readily and successfully incorporate pyrolysis oil in our emulsions with excellent results,” commented Dr. Andrea Festuccia, Chief Technology Officer for NGBF. “Many of the challenges faced by others are mitigated by our patent pending formulation technology. Through our R&D efforts we have been able to take a challenging raw material and enhance its natural properties with our technology. Customers will be able to use our pyrolysis oil based products in a multitude of applications including commercial and industrial heating, cofiring in power generation applications, and other processes where diesel and distillate fuels are used.”
Dr. Festuccia continued, “Pyrolysis oil can be made from a wide range of biological and other energy containing products that would normally be waste materials. The supply opportunities are great. Plant wastes, items normally heading to a landfill, and other waste streams that are often difficult to dispose of can now become energy sources for our biofuel formulations. Pyrolysis oil adds another differentiating advantage for us. We believe this is a significant addition to our product portfolio.”
Mr. Claiborne added, “I applaud Dr. Festuccia and his developmental team for this technology breakthrough. We add yet another viable feedstock with outstanding potential to yield lower cost, while enhancing our environmental and performance advantages by way of our formulation technology. We add value by using a potential waste stream converted to pyrolysis oil which we utilize in producing a renewable biofuel with outstanding environmental benefits. It is an exciting addition to our slate of renewable products at NGBF.”
Source : Press Release
“I believe that this is truly a technical breakthrough to have a pyrolysis oil based biofuel that we can offer our customers,” stated Cary J. Claiborne, CEO and President of NGBF. “Pyrolysis oil has great potential but until now has been a technical challenge for many to incorporate into their biofuel technology. We believe NGBF’s emulsion technology is a perfect fit.”
“We have been able to readily and successfully incorporate pyrolysis oil in our emulsions with excellent results,” commented Dr. Andrea Festuccia, Chief Technology Officer for NGBF. “Many of the challenges faced by others are mitigated by our patent pending formulation technology. Through our R&D efforts we have been able to take a challenging raw material and enhance its natural properties with our technology. Customers will be able to use our pyrolysis oil based products in a multitude of applications including commercial and industrial heating, cofiring in power generation applications, and other processes where diesel and distillate fuels are used.”
Dr. Festuccia continued, “Pyrolysis oil can be made from a wide range of biological and other energy containing products that would normally be waste materials. The supply opportunities are great. Plant wastes, items normally heading to a landfill, and other waste streams that are often difficult to dispose of can now become energy sources for our biofuel formulations. Pyrolysis oil adds another differentiating advantage for us. We believe this is a significant addition to our product portfolio.”
Mr. Claiborne added, “I applaud Dr. Festuccia and his developmental team for this technology breakthrough. We add yet another viable feedstock with outstanding potential to yield lower cost, while enhancing our environmental and performance advantages by way of our formulation technology. We add value by using a potential waste stream converted to pyrolysis oil which we utilize in producing a renewable biofuel with outstanding environmental benefits. It is an exciting addition to our slate of renewable products at NGBF.”
Source : Press Release
September 27, 2010
Study Finds Algae Biodiesel Life Cycle Analysis Better Than Petroleum Diesel, Soy Biodiesel
The transformation of algae into a biofuel – from the photobioreactor where it’s grown to the factories where it’s processed – is more environmentally friendly than the process for petroleum diesel or soy biodiesel, according to a groundbreaking Colorado State University study.
The research, by Professors Thomas Bradley and Bryan Willson, relied on data from the world renowned Engines and Energy Conversion Laboratory at Colorado State and spinoff Solix Biofuels Inc. With technical support from the university, Solix has developed a technology production platform for the large-scale commercialization of microalgae-based biofuels and co-products. The company has expanded into a multi-acre test facility on the Southern Ute Indian Reservation in Durango.
The study appears in this week’s Journal of Environmental Science and Technology. The work was financially supported by Solix and the Colorado Center for Biorefining and Biofuels, which is part of a statewide collaboration between the National Renewable Energy Laboratory, CSU, Colorado School of Mines and CU-Boulder.
“There has been some research indicating that algae might be more energy intensive, but this study is the first to directly compare the complete manufacturing process of algae, petroleum diesel, and soybean biodiesel,” Bradley said. “We made an apples-to-apples comparison and the results show that algae is net beneficial - it reduces greenhouse gas emissions more than soy biodiesel and is more scalable and it has lower energy consumption than soy biodiesel.”
Bradley and the team assessed the entire “life cycle” of the algae-to-biodiesel process including such factors as the energy used to grow algae, the diesel burned by trucks used to move the algae biodiesel from processing facilities to the pump to the energy used to make fertilizer for growth.
“We have access to the most up-to-date data and industrial-scale understandings of how this works in the real world,” Bradley said. “We’re very lucky to be doing this work here at Colorado State University.”
“We’re doing system-level analysis that can help policymakers and people who are trying to design our next energy system and help them make decisions about how to do this,” Bradley said. “We’re trying to understand the impact of this new algae energy system that everybody’s interested in.”
Also working on the paper were doctoral students Liaw Batan and Jason Quinn.
Source : Press Release
The research, by Professors Thomas Bradley and Bryan Willson, relied on data from the world renowned Engines and Energy Conversion Laboratory at Colorado State and spinoff Solix Biofuels Inc. With technical support from the university, Solix has developed a technology production platform for the large-scale commercialization of microalgae-based biofuels and co-products. The company has expanded into a multi-acre test facility on the Southern Ute Indian Reservation in Durango.
The study appears in this week’s Journal of Environmental Science and Technology. The work was financially supported by Solix and the Colorado Center for Biorefining and Biofuels, which is part of a statewide collaboration between the National Renewable Energy Laboratory, CSU, Colorado School of Mines and CU-Boulder.
“There has been some research indicating that algae might be more energy intensive, but this study is the first to directly compare the complete manufacturing process of algae, petroleum diesel, and soybean biodiesel,” Bradley said. “We made an apples-to-apples comparison and the results show that algae is net beneficial - it reduces greenhouse gas emissions more than soy biodiesel and is more scalable and it has lower energy consumption than soy biodiesel.”
Bradley and the team assessed the entire “life cycle” of the algae-to-biodiesel process including such factors as the energy used to grow algae, the diesel burned by trucks used to move the algae biodiesel from processing facilities to the pump to the energy used to make fertilizer for growth.
“We have access to the most up-to-date data and industrial-scale understandings of how this works in the real world,” Bradley said. “We’re very lucky to be doing this work here at Colorado State University.”
“We’re doing system-level analysis that can help policymakers and people who are trying to design our next energy system and help them make decisions about how to do this,” Bradley said. “We’re trying to understand the impact of this new algae energy system that everybody’s interested in.”
Also working on the paper were doctoral students Liaw Batan and Jason Quinn.
Source : Press Release
BlueFire Renewables Signs 15 Year Feedstock Supply Contract for Cellulosic Ethanol Plant
BlueFire Renewables, Inc., a company focused on changing the world's transportation fuel paradigm through the production of renewable fuels from non-food cellulosic wastes, announced a contract with Cooper Marine & Timberlands to provide feedstock for BlueFire's planned cellulosic ethanol facility in Fulton, MS for a period of up to 15 years.Under the agreement, Cooper Marine & Timberlands ("CMT") will supply BlueFire's Fulton, Mississippi project with all of the feedstock required to produce approximately 19-million gallons of ethanol per year from locally sourced cellulosic materials such as wood chips, forest residual chips, pre-commercial thinnings and urban wood waste such as construction waste, storm debris, land clearing; or manufactured wood waste from furniture manufacturing.
"This agreement is another significant step forward for BlueFire and we are excited to have CMT's participation in our Fulton Project. Coupled with our recently-announced off-take agreement with Tenaska BioFuels, LLC, the key input and output contracts required for financing are now resolved," stated Arnold Klann, CEO of BlueFire Renewables, Inc. "This is a very exciting time for BlueFire Renewables as we complete the final steps to bringing cellulosic ethanol to fruition in the U.S. marketplace."
Under the Agreement, CMT will pursue a least-cost strategy for feedstock supply made possible by the project site's proximity to feedstock sources and the flexibility of BlueFire's process to use a wide spectrum of cellulosic waste materials in pure or mixed forms.
Cooper Marine Timberlands (CMT), with several chip mills in operation in Mississippi and Alabama, is a member company of Cooper/T. Smith one of America's oldest and largest stevedoring and maritime related firms with operations on all three U.S. coasts and foreign operations in Central and South America.
"Responsible biomass production has an important role to play in improving the state of local economies. We look forward to utilizing our extensive experience in biomass feedstock procurement and logistics in establishing a sustainable biomass feedstock supply chain for BlueFire's Fulton Project," stated Phil Willingham, Executive Vice President of Cooper Marine and Timberlands.
The Fulton, MS project will put to work Mississippi's significant biomass resources to create economic development and job creation in Mississippi. It will establish the platform for developing American energy self-sufficiency from readily available local resources.
Source : Press Release
See Also :
BlueFire Renewables Announces Agreement with Tenaska BioFuels for Mississippi Cellulosic Ethanol Facility
BlueFire Ethanol Changes Name To BlueFire Renewables
September 24, 2010
Alltech Acquires Algae Fermentation Facility From Martek Bioscience
Alltech Inc. a global leader in natural animal nutrition based in Nicholasville, Kentucky, announced today that it has acquired a state-of-the-art algae fermentation facility in Winchester, Kentucky from Martek Bioscience Corporation for approximately $14 million.
“For Alltech, algae fermentation presents our latest technological platform from which we expect incredible opportunities in the areas of food, feed and fuel to arise.” said Alltech Founder and President, Dr Pearse Lyons. “We have worked in this area for several years and see it playing a major role in both human and animal health and nutrition as one of the world’s more renewable food and energy sources. As with virtually all facilities we acquire, we expect to start an expansion phase here in Winchester within the next 18 months. I am confident that this will be one of the key pieces that will help our company pass the $1 billion revenue threshold in 2015,” Lyons continued.
The purchase price will be paid over four years and will include the majority of the assets on the 23 acre site. The site will be renamed Alltech Winchester and will represent a further increase of over 1 million liters of fermentation capacity for the company and become its 5th primary production site in North America and 10th globally. Alltech also has 21 further production sites, which tailor its products for its 120 local markets.
Algae are some of the fastest growing plants in nature and have the ability to convert large amounts of carbon dioxide into oxygen, a characteristic that makes it particularly interesting in today’s more environmentally conscious world.
“Alltech is actively developing processes that are derived from a variety of different algae types,” said Becky Timmons, Alltech’s Director of Applications and Quality Assurance. “Algae are one of the most diverse organisms in the world and their potential for product development is tremendously exciting for us. Alltech currently has the largest carbon dioxide sequestering algae pilot plant system in the state of Kentucky and this new acquisition will allow us to move our research yet further towards true implementation.” she continued.
The facility will allow for continued work with Alltech’s carbon dioxide sequestering algae strains as well as strains that are grown with other carbon sources. The algae will then be used for value-added feed products, algae derived bio-fuel, and the production of ethanol.
The laboratory and pilot plant fermentation facilities in the acquisition are of particular interest as they will allow for quick product and process development. The automated control and monitoring systems on the fermenters will allow Alltech to make advances in new and current fermentation processes. One of the main focuses of the facility will be the development of products derived from algae.
Autotrophic algae require CO2, water, nutrients and sunlight during biomass growth. Each 100 tons of algal biomass fixes about 183 tons of CO2. Heterotrophic algae, which cannot use photosynthesis to generate its own food, can be grown in large closed tank systems present in the Winchester facility.
Algae biomass is mainly composed of lipids, proteins and starches. The composition is dependent on the strain as well as growth conditions and can vary greatly. Fat content can range from 2% to as high as 84%. Protein content can range from 5%-70% and starch from 5%-50%.
Source : Press Release
See Also :
Alltech to create large algae farm in Ky.
“For Alltech, algae fermentation presents our latest technological platform from which we expect incredible opportunities in the areas of food, feed and fuel to arise.” said Alltech Founder and President, Dr Pearse Lyons. “We have worked in this area for several years and see it playing a major role in both human and animal health and nutrition as one of the world’s more renewable food and energy sources. As with virtually all facilities we acquire, we expect to start an expansion phase here in Winchester within the next 18 months. I am confident that this will be one of the key pieces that will help our company pass the $1 billion revenue threshold in 2015,” Lyons continued.
The purchase price will be paid over four years and will include the majority of the assets on the 23 acre site. The site will be renamed Alltech Winchester and will represent a further increase of over 1 million liters of fermentation capacity for the company and become its 5th primary production site in North America and 10th globally. Alltech also has 21 further production sites, which tailor its products for its 120 local markets.
Algae are some of the fastest growing plants in nature and have the ability to convert large amounts of carbon dioxide into oxygen, a characteristic that makes it particularly interesting in today’s more environmentally conscious world.
“Alltech is actively developing processes that are derived from a variety of different algae types,” said Becky Timmons, Alltech’s Director of Applications and Quality Assurance. “Algae are one of the most diverse organisms in the world and their potential for product development is tremendously exciting for us. Alltech currently has the largest carbon dioxide sequestering algae pilot plant system in the state of Kentucky and this new acquisition will allow us to move our research yet further towards true implementation.” she continued.
The facility will allow for continued work with Alltech’s carbon dioxide sequestering algae strains as well as strains that are grown with other carbon sources. The algae will then be used for value-added feed products, algae derived bio-fuel, and the production of ethanol.
The laboratory and pilot plant fermentation facilities in the acquisition are of particular interest as they will allow for quick product and process development. The automated control and monitoring systems on the fermenters will allow Alltech to make advances in new and current fermentation processes. One of the main focuses of the facility will be the development of products derived from algae.
Autotrophic algae require CO2, water, nutrients and sunlight during biomass growth. Each 100 tons of algal biomass fixes about 183 tons of CO2. Heterotrophic algae, which cannot use photosynthesis to generate its own food, can be grown in large closed tank systems present in the Winchester facility.
Algae biomass is mainly composed of lipids, proteins and starches. The composition is dependent on the strain as well as growth conditions and can vary greatly. Fat content can range from 2% to as high as 84%. Protein content can range from 5%-70% and starch from 5%-50%.
Source : Press Release
See Also :
Alltech to create large algae farm in Ky.
September 23, 2010
Gevo Announces Closing of Acquisition of Ethanol Production Facility to Produce Isobutanol
Engineering for the mechanical retrofitting of the plant has begun and isobutanol production is expected to begin early in 2012. During most of the retrofit process, it is expected that the facility will continue to produce and sell ethanol.
Gevo has developed a proprietary process designed to fit into current ethanol production facilities. The process also enables the production of isobutanol from numerous renewable feedstocks including corn, wheat, sorghum, barley, sugar cane and cellulosic feedstocks when biomass conversion becomes commercially available. Gevo’s integrated fermentation technology (GIFT™) platform consists of two components: a yeast biocatalyst and a separations technology unit that bolts into existing ethanol plants.
Source : Press Release
See Also :
Gevo to Acquire Agri-Energy Ethanol Production Facility to Produce Isobutanol
Green Star to Build Biodiesel Plant for Processing Algae Oil
Today, Green Star Products, Inc., announced it has signed a contract to build a biodiesel facility. This is the first of several contracts in conjunction with an ambitious Algae-to-Biodiesel project on the west coast.Green Star has already started fabrication of the 13 modules required for the processing of algae oil and other low cost available oils to produce biodiesel. The contract states that Green Star will build these modules at cost and will earn Green Star a future equity position and cash flows from the facility.
This strategy has been a long term concept for Green Star which insures that the Company is not selling its proprietary technology but only builds facilities in which it shares in the ownership and cash flows. This also helps guarantee the security of its intellectual property.
The algae to biodiesel plant will be rated initially at two million gallons per year with all necessary provisions incorporated so that the plant can easily be expanded to larger capacities in the future. The algae bioreactor system associated with this biodiesel plant is still under negotiation. Green Star will also participate in the engineering, fabrication and construction of the algae facility.
Since this algae-to-biodiesel facility will be one of the largest of its kind ever built, it will not only be designed as a commercial facility but also serve as a giant research facility. Many other organizations will be involved, including universities and international research companies.
Source : Press Release
See Also :
Green Star Products Releases Algae Demonstration Report
GSPI Completes Algae to Biodiesel Winter Demo Testing
GSPI Signs Contract to Build Algae-to-Biodiesel Facility
September 22, 2010
Does Corn-Based Ethanol Production Threaten Bird Habitats?
There is an article that appeared yesterday on the Field and Stream blog that claims that ethanol production threatens bird habitats.
It is true that the number of acres currently enrolled in the CRP is over 5 million acres less than what was enrolled in 2007. But that has nothing to do with ethanol production.
So, where do we stand with this new lower cap? Well, we just completed the first general sign-up in four years.
The dramatic increase in corn-based ethanol production is a perfect example of the enormous pressures being applied on fish and wildlife resources in our never-ending pursuit to satisfy energy demands. As more and more acres are taken out of CRP or grazing land and put into production, gamebirds have fewer and fewer places to nest and escape predators.
It is true that the number of acres currently enrolled in the CRP is over 5 million acres less than what was enrolled in 2007. But that has nothing to do with ethanol production.
The Food, Conservation, and Energy Act of 2008 continued the CRP, but reduced the enrollment cap to 32 million acres. - Source
So, where do we stand with this new lower cap? Well, we just completed the first general sign-up in four years.
For this 39th general sign-up more than 50,000 offers were received on more than 4.8 million acres, nationwide. Enrollment of the 4.3 million acres will keep the program enrollment close to the 32 million acre statutory cap, which will maintain and enhance the significant environmental benefits the program has already achieved. CRP's 39th signup will bring the total enrollment in the program to 31.2 million acres, leaving sufficient room under the 32 million acre cap to continue enrollment in the Conservation Reserve Enhancement Program, continuous signup and other CRP initiatives through FY 2011. - Source
Renewable Energy Group Acquires ARES Biodiesel Plant
Today Renewable Energy Group® and ARES Corporation announced REG will acquire biodiesel assets in Clovis, New Mexico from ARES Corporation who will concurrently invest an additional $8 million into Renewable Energy Group (REG) in an all common stock transaction.ARES Corporation of Burlingame, Calif.— one of the foremost engineering, risk management, software/IT and project management companies in the United States—owned the 15 million gallons per year facility in Clovis, New Mexico.
“In support of RFS2, REG continues to expand its national footprint of production facilities and related logistics to better serve our growing customer base of regional and national businesses. We consider this position in the Southwest to be a long‐term, strategic move for our company,” said Daniel J. Oh, President and Chief Operating Officer of Renewable Energy Group. “ARES’ strategic investment provides REG access to ARES’ world class engineering, risk management and government contracting expertise.”
“REG has proven its leadership in the biodiesel industry and is exceptionally well placed to lead the industry recovery,” said Richard (Dick) Stuart, ARES Corp. Chief Executive Officer.
Stuart added: “ARES is proud of its efforts to contribute to America’s quest for energy independence and a cleaner environment. In our new economy we believe the best and most likely place for our investment to succeed is with REG; therefore we are contributing assets and investing anew to help move REG and its efforts forward.”
“Renewable Energy Group has shown strong biodiesel industry leadership when it comes to creating green collar jobs at its industry leading biodiesel production facilities,” said Clovis Industrial Development Corporation Executive Director, Chase Gentry. “We look forward to REG’s involvement in this ongoing green economy project as the City of Clovis, State of New Mexico and the Southwest region look to reduce our dependence on imported oil and improve our air quality.”
Source : Press Release
E85 Gives The 2011 Ford F-150 A Power Boost
According to PickupTrucks.com, burning E85 in the new 5.0L V8 available in the 2011 F-150 results in increased power.
The 5.0 is rated at 360 horsepower (at 5,500 rpm) and 380 pounds-feet of torque (at 4,250 rpm) running on regular unleaded gasoline. It's positioned as the midrange, high-volume engine choice for the F-150, below the more powerful 3.5-liter EcoBoost V-6 (365 hp and 420 pounds-feet of torque) and conventional large-displacement 6.2-liter V-8 (411 hp and 434 pounds-feet of torque).
But the 5.0 is also flex-fuel capable. Flexible-fuel vehicles are designed to run on gasoline or a blend of up to 85 percent ethanol (E85).
Burning E85 fuel boosts 5.0 engine power to 375 hp and 390 pounds-feet of torque, said Mike Harrison, Ford's program manager for V-8 engines.
Growth Energy Partners with United Famers Cooperative to Install Two Blender Pumps in Nebraska
Growth Energy, the coalition of U.S. ethanol supporters, has partnered with the United Farmers Cooperative to install two blender pumps in Shelby, Neb. The new blender pumps are located at 600 East Hwy 92, and have been installed with assistance from Growth Energy’s 2010 E85 and Blender Pump Program.
“Every blender pump we install gives consumers a choice at the pump that includes domestic, renewable ethanol,” said Growth Energy CEO Tom Buis. “Growth Energy is pleased to have been able to assist in the United Farmers Cooperative in their efforts and we remain committed to assist with the addition of more blender pumps across the nation.”
“UFC’s decision to install blender pumps versus upgrading with traditional pumps and adding E85, is all about giving our customer the ability to support the ethanol programs and still have the flexibility to chose based on his or her blended preference,” said Dick Munn, United Farmers Cooperative Vice President of Energy.
Source : Press Release
“Every blender pump we install gives consumers a choice at the pump that includes domestic, renewable ethanol,” said Growth Energy CEO Tom Buis. “Growth Energy is pleased to have been able to assist in the United Farmers Cooperative in their efforts and we remain committed to assist with the addition of more blender pumps across the nation.”
“UFC’s decision to install blender pumps versus upgrading with traditional pumps and adding E85, is all about giving our customer the ability to support the ethanol programs and still have the flexibility to chose based on his or her blended preference,” said Dick Munn, United Farmers Cooperative Vice President of Energy.
Source : Press Release
September 21, 2010
TMO signs 20 year, multi-site bio-ethanol contract with Fiberight
TMO Renewables Ltd, a leading developer of a new process for converting biomass into fuel ethanol, is pleased to announce that it has entered into an exclusive contract with Fiberight LLC (“Fiberight”), a leading edge clean technology company, to design and build waste to bioethanol plants in the US. The contract, which lasts for 20 years, is potentially worth in excess of $25 million per annum. The plants will combine the TMO Process, which optimises waste feedstock conversion using a specialty bio-organism, and Fiberight’s fractionation and digestion technology, to improve the conversion of municipal solid waste (MSW) and associated cellulosic waste into ethanol.
Under the terms of the agreement, it is anticipated that 15 plants will be designed and constructed across the US within the next five years. For each plant, TMO will receive an initial, one-off design fee plus recurring annual revenue. The site and funding for the first plant has already been secured and construction is expected to begin in 2011. The next five sites have also been identified and Fiberight has agreed to commission a number of plants throughout the US each year.
Fiberight uses a highly cost effective process involving digestion and fractionation to sort non-recyclable MSW, 102 million tonnes of which is generated each year in the US, into a ‘clean fibre’ stream. This material feeds directly into TMO’s process which uses a unique bacterium to efficiently convert the biomass into ethanol. Fiberight’s process recovers potentially over 80% of residential waste into valuable biofuels and recyclables with no external energy or water inputs. Most importantly the collaboration between TMO and Fiberight now enables a process to convert MSW to valuable biofuel with the minimum of air and water emissions.
TMO has already achieved project yields in excess of 90 US gallons per ton (dry weight) at pilot scale by processing MSW feedstock from Fiberight at its own demonstration facility in the UK. The metrics support the scalability and economics to achieve attractive conversion of waste biomass into cellulosic ethanol.
In addition to the revenue from 5 million gallons of ethanol produced from the first plant, Fiberight also receives tipping fees for the municipal and commercial waste that it treats. Of that, approximately 50% is used to produce the ethanol, with the remainder sold as recoverables, such as plastics and metals.
Hamish Curran, CEO of TMO commented: “This contract is a landmark in the development of TMO’s technology on a commercial scale to produce an economically sustainable source of renewable biofuel. In adopting the TMO Process Fiberight has proven the ability to use waste stream feedstock, net of all recyclables, for the effective conversion to cellulosic ethanol via a novel, low cost and fully integrated bio-process. Replication of similar waste to ethanol bio-refineries, across all regions of the US and globally, can drive significant green job creation and community economic development. We look forward to working with Fiberight’s pioneering team to drive forward our joint plant development programme.”
Craig Stuart-Paul, CEO of Fiberight, commented: “Fiberight has advanced its technology and development processes both with its operations in Blairstown, Iowa and by leveraging the scientific resources available at TMO’s industrial scale process demonstration unit in the United Kingdom. Integrating TMO’s Process with our own will give Fiberight the edge compared with other ethanol producing technologies, allowing us to be more efficient with waste than our competitors. Together, the companies are on track to become one of the largest producers of cellulosic ethanol in the US during 2011, helping to divert millions of tons of waste away from landfill every year.“
Source : Press Release
Under the terms of the agreement, it is anticipated that 15 plants will be designed and constructed across the US within the next five years. For each plant, TMO will receive an initial, one-off design fee plus recurring annual revenue. The site and funding for the first plant has already been secured and construction is expected to begin in 2011. The next five sites have also been identified and Fiberight has agreed to commission a number of plants throughout the US each year.
Fiberight uses a highly cost effective process involving digestion and fractionation to sort non-recyclable MSW, 102 million tonnes of which is generated each year in the US, into a ‘clean fibre’ stream. This material feeds directly into TMO’s process which uses a unique bacterium to efficiently convert the biomass into ethanol. Fiberight’s process recovers potentially over 80% of residential waste into valuable biofuels and recyclables with no external energy or water inputs. Most importantly the collaboration between TMO and Fiberight now enables a process to convert MSW to valuable biofuel with the minimum of air and water emissions.
TMO has already achieved project yields in excess of 90 US gallons per ton (dry weight) at pilot scale by processing MSW feedstock from Fiberight at its own demonstration facility in the UK. The metrics support the scalability and economics to achieve attractive conversion of waste biomass into cellulosic ethanol.
In addition to the revenue from 5 million gallons of ethanol produced from the first plant, Fiberight also receives tipping fees for the municipal and commercial waste that it treats. Of that, approximately 50% is used to produce the ethanol, with the remainder sold as recoverables, such as plastics and metals.
Hamish Curran, CEO of TMO commented: “This contract is a landmark in the development of TMO’s technology on a commercial scale to produce an economically sustainable source of renewable biofuel. In adopting the TMO Process Fiberight has proven the ability to use waste stream feedstock, net of all recyclables, for the effective conversion to cellulosic ethanol via a novel, low cost and fully integrated bio-process. Replication of similar waste to ethanol bio-refineries, across all regions of the US and globally, can drive significant green job creation and community economic development. We look forward to working with Fiberight’s pioneering team to drive forward our joint plant development programme.”
Craig Stuart-Paul, CEO of Fiberight, commented: “Fiberight has advanced its technology and development processes both with its operations in Blairstown, Iowa and by leveraging the scientific resources available at TMO’s industrial scale process demonstration unit in the United Kingdom. Integrating TMO’s Process with our own will give Fiberight the edge compared with other ethanol producing technologies, allowing us to be more efficient with waste than our competitors. Together, the companies are on track to become one of the largest producers of cellulosic ethanol in the US during 2011, helping to divert millions of tons of waste away from landfill every year.“
Source : Press Release
Calls For More E15 Research Have Little To Do With Science
Recently 39 environmental, food, motor vehicle, energy, power equipment and recreational industry groups joined together to call on congress to do more testing on E15 before the EPA makes a decision on whether to raise the maximum allowable limit of ethanol in gasoline to 15%.
There were several livestock producer groups involved including the American Meat Institute, National Chicken Council, National Meat Association, and National Turkey Federation.
So if you believe the press release, this is all about protecting the engines of cars and equipment. But not according to an article on the Pork Magazine website today.
At least for meat producers, the call for more research isn't about science or protecting consumers. It is an attempt to limit their competition for corn.
There were several livestock producer groups involved including the American Meat Institute, National Chicken Council, National Meat Association, and National Turkey Federation.
The 39 groups frequently oppose each other on a broad range of policy issues, but have launched a joint campaign calling on Congress to require thorough and objective scientific testing before allowing an increase in the amount of ethanol in gasoline.
Ethanol burns hotter than gasoline and corrodes soft metals, plastics and rubber. The groups believe more testing is needed to determine how much ethanol is too much for different types of existing engines to use safely without risking engine damage and failure that could leave vehicles stranded and endanger motorists and users of gasoline-powered equipment. - Source
So if you believe the press release, this is all about protecting the engines of cars and equipment. But not according to an article on the Pork Magazine website today.
This would be a victory for ethanol companies and a blow to the poultry and livestock producers who have lobbied for EPA to do more research before allowing the increase. They fear that approval of a 15 percent ethanol blend rate will add further upward pressure to corn prices which are already trading at two-year highs.
At least for meat producers, the call for more research isn't about science or protecting consumers. It is an attempt to limit their competition for corn.
September 20, 2010
BlueFire Renewables Announces Agreement with Tenaska BioFuels for Mississippi Cellulosic Ethanol Facility
"This off-take agreement is a significant step forward for BlueFire. It provides immediate revenue once our plant is on-line. Also, it will move BlueFire closer to a debt financing agreement with the Department of Energy and U.S. Department of Agriculture," stated Arnold Klann, CEO of BlueFire Renewables, Inc. "This is one of the first cellulosic ethanol contracts of its kind in the United States establishing BlueFire as a clear leader in the industry."
Pricing of the 15-year contract follows a market-based formula structured to capture the premium allowed for cellulosic ethanol compared to corn-based ethanol giving BlueFire a credit worthy contract to support financing of the project. Despite the long-term nature of the contract, BlueFire is not precluded from the upside in the coming years as fuel prices rise.
TBF, a marketing affiliate of Tenaska, provides procurement and marketing, supply chain management, physical delivery, and financial services to customers in the agriculture and energy markets, including the ethanol and biodiesel industries. In business since 1987, Tenaska is one of the largest independent power producers.
"We look forward to a long-term relationship with BlueFire and to collaborating on off-take agreements for future plants as BlueFire continues to expand and bring valuable biofuels to the markets that need it most," stated Dave Neubauer, TBF general manager and vice president.
The Fulton, Miss. project will allow BlueFire to use green and wood wastes available in the region as feedstock for the ethanol plant, which is designed to produce approximately 19-million gallons of ethanol per year. Another fully permitted and shovel-ready facility in Lancaster, Calif. will use post-sorted cellulosic wastes diverted from Southern California's landfills to produce approximately 3.9 million gallons of fuel-grade ethanol per year.
Source : Press Release
See Also :
BlueFire Ethanol Changes Name To BlueFire Renewables
September 19, 2010
Biodiesel Producer Shifts Jobs To Canada
Last week the Canadian government issued a press release announcing the funding of a biodiesel plant in Quebec.
The name Biocardel may sound familiar since I wrote about the company closing a plant In Vermont about 3 weeks ago.
The Government of Canada is delivering an investment of up to $18.79 million over seven years to Biocardel Québec Inc. through its ecoENERGY for Biofuels program.
Biocardel Québec Inc., located in Richmond, Quebec, will produce about 40 million litres of biodiesel a year. The project consists of converting vegetable or cooking oil or animal fat into biodiesel. The company intends to sell the product to diesel producers in Quebec, the Atlantic provinces and possibly the United States, which will include a percentage of biodiesel in their diesel.
The name Biocardel may sound familiar since I wrote about the company closing a plant In Vermont about 3 weeks ago.
Vt. biodiesel plant closes, victim of federal decision not to renew tax credits - August 21, 2010
The Biocardel facility, in a former Agway plant in Swanton, was slated to eventually produce as much as eight million gallons of biodiesel a year. The now-expired federal tax credit effectively gave companies $1 a gallon in tax breaks to make the production of the alternative fuel – made from soybean oil, waste cooking oil or other vegetable oils – economically viable.
The Biocardel facility began limited production last fall, made about seven trucks which each hold 6,000 gallons overall, Daigle said. For logistical reasons that fuel was apparently all sold outside Vermont. In December the firm, which employed three, began hiring to expand its operation.
However uncertainty about the fate of the tax credits prompted a delay, which proved prudent once the credits expired. The firm tried to wait out the problem – hoping for a return of the credits – but investors simply ran out of money and after working with Biocardel, VEDA began recalling the loans a few weeks ago, he said.
The timing of the end of the federal tax credits, effectively a third of the company’s revenue, “could not have been any worse,” Daigle said. “We have done everything we could to try and keep the plant alive.”
September 17, 2010
Former Alchem Ethanol Plant To Be Auctioned
The former Alchem ethanol plant in Grafton, ND is scheduled to be auctioned on September 29, 2010.
The plant is reported to have a nameplate capacity of 9.5 million gallons a year of denatured alcohol. This facility has been operated as an ethanol plant since approximately December of 1985 with an original capacity of 3.5 MGY. Prior to conversion to ethanol, this plant was utilized as a potato flake plant by Borden’s. The facility has been idle since approximately October of 2007.
Recently, millions of dollars have been spent to upgrade the plant with an automation system, particularly with the coal fired boilers and steam generating system. The thermal oxidizer system has never been operated, but should prove to be a valuable addition. The methonator system installed has been a valuable improvement as well as the CO2 scrubber, a new re-boiler, chiller and other items.
The auction is being conducted by Steffes Auctioneers. The ethanol plant real estate and fixtures will be sold on September 29 and personal property items (office furnishings, shop equipment, etc.) not included with real estate will be sold on September 30.
The plant is reported to have a nameplate capacity of 9.5 million gallons a year of denatured alcohol. This facility has been operated as an ethanol plant since approximately December of 1985 with an original capacity of 3.5 MGY. Prior to conversion to ethanol, this plant was utilized as a potato flake plant by Borden’s. The facility has been idle since approximately October of 2007.
Recently, millions of dollars have been spent to upgrade the plant with an automation system, particularly with the coal fired boilers and steam generating system. The thermal oxidizer system has never been operated, but should prove to be a valuable addition. The methonator system installed has been a valuable improvement as well as the CO2 scrubber, a new re-boiler, chiller and other items.
The auction is being conducted by Steffes Auctioneers. The ethanol plant real estate and fixtures will be sold on September 29 and personal property items (office furnishings, shop equipment, etc.) not included with real estate will be sold on September 30.
September 16, 2010
Western Petroleum to add B5 to their Sioux Falls Terminal
The Minnesota Soybean Growers Assocation (MSGA) and the South Dakota Soybean Association (SDSA) applaud the recent announcement from Western Petroleum that they will begin offering blends of five percent biodiesel (B5) at their NuStar Sioux Falls, SD terminal at the end of this month.
Western Petroleum is based in Eden Prairie, MN and is one of the nation's largest independently owned petroleum marketing companies. They previously rolled out biodiesel blends of B5 at their terminal in Hugo, MN when the state's B5 mandate took effect.
In a recent press release the company noted that its blend of B5 and Yukon diesel yielded excellent cold weather performance last winter, with no reports of gelling or icing.
"This is a win-win for biodiesel users in South Dakota and Western Minnesota," said Lance Peterson, American Soybean Association (ASA) Director and Minnesota Biodiesel Council (MBC) board member. "We are very pleased with the company's decision, which shows their support for soybean farmers, rural communities and the biodiesel industry."
Source Press Release
Western Petroleum is based in Eden Prairie, MN and is one of the nation's largest independently owned petroleum marketing companies. They previously rolled out biodiesel blends of B5 at their terminal in Hugo, MN when the state's B5 mandate took effect.
In a recent press release the company noted that its blend of B5 and Yukon diesel yielded excellent cold weather performance last winter, with no reports of gelling or icing.
"This is a win-win for biodiesel users in South Dakota and Western Minnesota," said Lance Peterson, American Soybean Association (ASA) Director and Minnesota Biodiesel Council (MBC) board member. "We are very pleased with the company's decision, which shows their support for soybean farmers, rural communities and the biodiesel industry."
Source Press Release
Senate Fails Again To Pass Biodiesel Tax Credit
Thursday the Senate voted 41-58 against a motion to suspend the rules and accept an amendment offered by Sen. Chuck Grassley, (R., Iowa), to enact a retroactive extension of the biodiesel tax credit. The motion needed 67 votes to pass and was needed because Senate Majority Leader Harry Reid, (D., Nev.), had filed an amendment tree preventing additional amendments from being filed. - Source
Below is a list of the Senators that voted no and the one that didn't vote.
NAYs ---58
Akaka (D-HI)
Barrasso (R-WY)
Baucus (D-MT)
Begich (D-AK)
Bingaman (D-NM)
Boxer (D-CA)
Brown (D-OH)
Bunning (R-KY)
Burris (D-IL)
Cardin (D-MD)
Carper (D-DE)
Casey (D-PA)
Coburn (R-OK)
Corker (R-TN)
Crapo (R-ID)
DeMint (R-SC)
Dodd (D-CT)
Durbin (D-IL)
Ensign (R-NV)
Enzi (R-WY)
Feingold (D-WI)
Feinstein (D-CA)
Gillibrand (D-NY)
Goodwin (D-WV)
Gregg (R-NH)
Inouye (D-HI)
Johnson (D-SD)
Kaufman (D-DE)
Kerry (D-MA)
Kohl (D-WI)
Kyl (R-AZ)
Landrieu (D-LA)
Lautenberg (D-NJ)
LeMieux (R-FL)
Leahy (D-VT)
Levin (D-MI)
Lieberman (ID-CT)
McCain (R-AZ)
Menendez (D-NJ)
Merkley (D-OR)
Mikulski (D-MD)
Nelson (D-FL)
Reed (D-RI)
Reid (D-NV)
Risch (R-ID)
Rockefeller (D-WV)
Sanders (I-VT)
Schumer (D-NY)
Sessions (R-AL)
Shelby (R-AL)
Stabenow (D-MI)
Tester (D-MT)
Udall (D-CO)
Udall (D-NM)
Voinovich (R-OH)
Warner (D-VA)
Webb (D-VA)
Whitehouse (D-RI)
Not Voting - 1
Lincoln (D-AR)
Source : United States Senate
Below is a list of the Senators that voted no and the one that didn't vote.
NAYs ---58
Akaka (D-HI)
Barrasso (R-WY)
Baucus (D-MT)
Begich (D-AK)
Bingaman (D-NM)
Boxer (D-CA)
Brown (D-OH)
Bunning (R-KY)
Burris (D-IL)
Cardin (D-MD)
Carper (D-DE)
Casey (D-PA)
Coburn (R-OK)
Corker (R-TN)
Crapo (R-ID)
DeMint (R-SC)
Dodd (D-CT)
Durbin (D-IL)
Ensign (R-NV)
Enzi (R-WY)
Feingold (D-WI)
Feinstein (D-CA)
Gillibrand (D-NY)
Goodwin (D-WV)
Gregg (R-NH)
Inouye (D-HI)
Johnson (D-SD)
Kaufman (D-DE)
Kerry (D-MA)
Kohl (D-WI)
Kyl (R-AZ)
Landrieu (D-LA)
Lautenberg (D-NJ)
LeMieux (R-FL)
Leahy (D-VT)
Levin (D-MI)
Lieberman (ID-CT)
McCain (R-AZ)
Menendez (D-NJ)
Merkley (D-OR)
Mikulski (D-MD)
Nelson (D-FL)
Reed (D-RI)
Reid (D-NV)
Risch (R-ID)
Rockefeller (D-WV)
Sanders (I-VT)
Schumer (D-NY)
Sessions (R-AL)
Shelby (R-AL)
Stabenow (D-MI)
Tester (D-MT)
Udall (D-CO)
Udall (D-NM)
Voinovich (R-OH)
Warner (D-VA)
Webb (D-VA)
Whitehouse (D-RI)
Not Voting - 1
Lincoln (D-AR)
Source : United States Senate
Glycos Biotechnologies Creates First Ever Metabolic Process for Synthesis of Biofuels and Biochemicals from Fatty Acids
Glycos Biotechnologies, Inc. (GlycosBio), an emerging biochemical company pioneering metabolic engineering and microbiology innovations for the production of sustainable biochemicals, today announced it has created the first ever microbial platform for the efficient synthesis of biofuels and biochemicals from fatty acids. This revolutionary advancement builds on GlycosBio’s microorganism platform and further diversifies the set of feedstocks and co-products the company offers enabling greater cost savings and product flexibility for producers. This research was done in collaboration with GlycosBio’s Scientific Advisory Board Chairman Prof. Ramon Gonzalez, Ph.D, P.E. and his group at Rice University. The results were recently published in the latest edition of Applied and Environmental Microbiology.
To-date cellulosic sugars from edible crops such as sugarcane, sugar beet, corn and sorghum have been used as the primary feedstock in the biological production of renewable fuels and chemicals. Concern over the sustainability of cellulosic sugars for biofuel and biochemical production has caused the industry to look for alternative feedstock sources. While nonedible cellulosic sugars have been proposed as an alternative, the availability of fatty acid-rich feedstocks and recent progress in the development of oil-accumulating organisms have made fatty acids an attractive option.
By leveraging GlycosBio’s unique microbial conversion process, researchers were able to metabolically engineer native and heterologous fermentative pathways to function in E. coli under aerobic conditions. This process created the industry’s first respiro-fermentative metabolic mode for the efficient catabolism of fatty acids and the synthesis of fuels and chemicals in E. coli. Based on this discovery, the team of researchers was able to successfully synthesize biofuels including ethanol and butanol, and biochemicals including acetate, acetone, isopropanol, succinate and propionate from fatty acids. Like ethanol, all of these chemicals show excellent yield advantages over the comparable sugar-based fermentation processes.
Source : Press Release
To-date cellulosic sugars from edible crops such as sugarcane, sugar beet, corn and sorghum have been used as the primary feedstock in the biological production of renewable fuels and chemicals. Concern over the sustainability of cellulosic sugars for biofuel and biochemical production has caused the industry to look for alternative feedstock sources. While nonedible cellulosic sugars have been proposed as an alternative, the availability of fatty acid-rich feedstocks and recent progress in the development of oil-accumulating organisms have made fatty acids an attractive option.
By leveraging GlycosBio’s unique microbial conversion process, researchers were able to metabolically engineer native and heterologous fermentative pathways to function in E. coli under aerobic conditions. This process created the industry’s first respiro-fermentative metabolic mode for the efficient catabolism of fatty acids and the synthesis of fuels and chemicals in E. coli. Based on this discovery, the team of researchers was able to successfully synthesize biofuels including ethanol and butanol, and biochemicals including acetate, acetone, isopropanol, succinate and propionate from fatty acids. Like ethanol, all of these chemicals show excellent yield advantages over the comparable sugar-based fermentation processes.
Source : Press Release
Solazyme Completes World’s Largest Microbial Advanced Biofuel Delivery to U.S. Military
Solazyme, Inc., a renewable oil production company and the leader in algal biotechnology, announced today that it has completed delivery of over 20,000 gallons of algal-derived shipboard fuel to the U.S. Navy, constituting the world’s largest delivery of 100% microbial-derived, non-alcohol, advanced biofuel. This delivery was in satisfaction of a contract announced in 2009 and included refining partner Honeywell’s UOP and their proprietary UOP/Eni EcofiningTM process technology. Solazyme also announced the signing of a new contract with the U.S. Department of Defense (DoD) for a research and development project that will produce 150,000 additional gallons in 2010-2011, which is 7.5 times larger than the previous order. The successful delivery followed by the much larger contract furthers Solazyme’s push to commercial production.
This is Solazyme’s third advanced biofuels contract with the DoD in the past year. The new agreement calls for additional research and development using Solazyme’s innovative renewable oil production technology platform and culminates with the delivery of up to 150,000 gallons of in-specification 100% algal-derived Soladiesel®HRF-76 fuel for the U.S. Navy’s testing and certification program. F-76, of which HRF-76 is the renewable version, is the primary shipboard fuel used by the Navy. Solazyme has contracted with the Defense Contract Support Office Philadelphia on behalf of Defense Logistics Agency Energy at the Headquarters of the Defense Logistics Agency, Fort Belvoir, VA.
Last September, Solazyme announced two DoD contracts to research, develop, and demonstrate commercial-scale production of algal-derived advanced biofuels to meet the U.S. Navy’s rigorous specifications for military tactical platforms for both ships and jets. The first contract called for the production of 20,000 gallons of Soladiesel®HRF-76, which was fulfilled with this fuel delivery, and the second called for 1,500 gallons of the world’s first 100% algae-derived jet fuel for testing and certification by the U.S. Navy. The delivery of 1,500 gallons of Solajet®HRJ-5 was completed earlier this summer during the Farnborough International Air Show with Honeywell’s UOP again serving as the refining partner with their Green Jet Fuel process technology.
Source : Press Release
This is Solazyme’s third advanced biofuels contract with the DoD in the past year. The new agreement calls for additional research and development using Solazyme’s innovative renewable oil production technology platform and culminates with the delivery of up to 150,000 gallons of in-specification 100% algal-derived Soladiesel®HRF-76 fuel for the U.S. Navy’s testing and certification program. F-76, of which HRF-76 is the renewable version, is the primary shipboard fuel used by the Navy. Solazyme has contracted with the Defense Contract Support Office Philadelphia on behalf of Defense Logistics Agency Energy at the Headquarters of the Defense Logistics Agency, Fort Belvoir, VA.
Last September, Solazyme announced two DoD contracts to research, develop, and demonstrate commercial-scale production of algal-derived advanced biofuels to meet the U.S. Navy’s rigorous specifications for military tactical platforms for both ships and jets. The first contract called for the production of 20,000 gallons of Soladiesel®HRF-76, which was fulfilled with this fuel delivery, and the second called for 1,500 gallons of the world’s first 100% algae-derived jet fuel for testing and certification by the U.S. Navy. The delivery of 1,500 gallons of Solajet®HRJ-5 was completed earlier this summer during the Farnborough International Air Show with Honeywell’s UOP again serving as the refining partner with their Green Jet Fuel process technology.
Source : Press Release
September 15, 2010
Refining Margins Under Pressure For Years To Come
That is how Sunoco CEO Lynn Elsenhans see it.
Source : Dow Jones Newswires
Sunoco Inc. Chief Executive Lynn Elsenhans said Wednesday that refining margins in the U.S. are expected to remain depressed for years as biofuels make up a bigger part of the transportation-fuel supply.
Expectations for a recovery in fuel demand have faltered across the refining industry as the year progressed. The summer driving season, when demand for gasoline typically peaks, was lackluster. The high unemployment rate and growing concerns about the U.S. economy entering a double-dip recession kept drivers off the road. For producers of petroleum-based fuel, the slow pace of the recovery in demand is compounded by increased blending of ethanol in gasoline due to federal mandates. U.S. environmental regulators are also considering whether to increase the ethanol blend to 15% from 10%.
The U.S. refining industry "will continue to be challenging with downward pressure on margins" for several years, Elsenhans said during the Barclays Capital energy conference Wednesday afternoon. "I see most of the gasoline demand growth taken up by biofuels."
Source : Dow Jones Newswires
Ricardo research shows E15 poses minimal risk to older vehicles
In a landmark research study carried out by Ricardo for the Renewable Fuels Association, the potential impact upon older vehicles – assembled in the crucial 1994 to 2000 model years – has been evaluated of raising the ethanol blend limit of standard pump grade gasoline from E10 to E15.
While significant research efforts have been made to date in studies sponsored by the US Department of Energy and other government and industry bodies evaluating the potential impact of E15 on 2001 model year and newer vehicles, minimal engineering analysis has previously been focused on earlier model year vehicles. The proportion of vehicles manufactured in this era but still in use today is however significant; the model years 1994 to 2000 inclusive represent a total of 62.8 million vehicles or approximately 25 percent of the current overall U.S. light duty vehicle fleet. With the interests of such a potentially large stakeholder group overlooked by previous studies, it was considered essential by the Renewable Fuels Association to quantify the risks to older vehicles of a proposed increase from 10 to 15 percent in the allowable ethanol content of standard pump grades of gasoline.
In keeping with the spirit of Environmental Protection Agency’s longstanding policy, a “reliable statistical sampling” approach to the analysis of the national fleet was used. Sales trends by both calendar year and model year were studied to identify the highest volume sales of the automotive manufacturers between 1994 and 2000. Six automotive manufacturers were identified as representing the overwhelming majority of vehicles sales for the study period, and the top selling platforms of these manufacturers thus became the focus of the Ricardo study. This approach enabled Ricardo to carry out engineering analysis without individually inspecting or testing each of this very large number of vehicles.
Based on the engineering analysis performed, the conclusion of the Ricardo study is that the adoption of E15 as the blend limit for standard US pump grades of gasoline should not adversely affect vehicles manufactured between 1994 and 2000 in terms of their performance and durability based on normal specifications and usage profile. As such it can reasonably be concluded that these vehicles do not represent an obstacle to raising the blend limit to E15 from the E10 that currently forms the basis of much of the commercially available US gasoline motor fuel.
Commenting on the publication of this study Ricardo, Inc. President Kent Niederhofer said: “Older vehicles represent a significant yet previously comparatively under-researched element of the US national vehicle fleet. In considering the potential risks and benefits of increasing the current ethanol blend ceiling in regular gasoline from 10 to 15 percent it is crucial that the interests of the potentially very large stakeholder group represented by the owners of these vehicles are investigated. While many previous studies by Ricardo and others have evaluated the impact of higher ethanol blends on newer vehicles, this study demonstrates for the first time that raising the blend ceiling to E15 is likely to have a negligible impact on vehicles manufactured between 1994 and 2000.”
Source : Press Release
While significant research efforts have been made to date in studies sponsored by the US Department of Energy and other government and industry bodies evaluating the potential impact of E15 on 2001 model year and newer vehicles, minimal engineering analysis has previously been focused on earlier model year vehicles. The proportion of vehicles manufactured in this era but still in use today is however significant; the model years 1994 to 2000 inclusive represent a total of 62.8 million vehicles or approximately 25 percent of the current overall U.S. light duty vehicle fleet. With the interests of such a potentially large stakeholder group overlooked by previous studies, it was considered essential by the Renewable Fuels Association to quantify the risks to older vehicles of a proposed increase from 10 to 15 percent in the allowable ethanol content of standard pump grades of gasoline.
In keeping with the spirit of Environmental Protection Agency’s longstanding policy, a “reliable statistical sampling” approach to the analysis of the national fleet was used. Sales trends by both calendar year and model year were studied to identify the highest volume sales of the automotive manufacturers between 1994 and 2000. Six automotive manufacturers were identified as representing the overwhelming majority of vehicles sales for the study period, and the top selling platforms of these manufacturers thus became the focus of the Ricardo study. This approach enabled Ricardo to carry out engineering analysis without individually inspecting or testing each of this very large number of vehicles.
Based on the engineering analysis performed, the conclusion of the Ricardo study is that the adoption of E15 as the blend limit for standard US pump grades of gasoline should not adversely affect vehicles manufactured between 1994 and 2000 in terms of their performance and durability based on normal specifications and usage profile. As such it can reasonably be concluded that these vehicles do not represent an obstacle to raising the blend limit to E15 from the E10 that currently forms the basis of much of the commercially available US gasoline motor fuel.
Commenting on the publication of this study Ricardo, Inc. President Kent Niederhofer said: “Older vehicles represent a significant yet previously comparatively under-researched element of the US national vehicle fleet. In considering the potential risks and benefits of increasing the current ethanol blend ceiling in regular gasoline from 10 to 15 percent it is crucial that the interests of the potentially very large stakeholder group represented by the owners of these vehicles are investigated. While many previous studies by Ricardo and others have evaluated the impact of higher ethanol blends on newer vehicles, this study demonstrates for the first time that raising the blend ceiling to E15 is likely to have a negligible impact on vehicles manufactured between 1994 and 2000.”
Source : Press Release
September 14, 2010
SG Biofuels Completes $9.4 Million Series A Financing
SG Biofuels, Inc., a bioenergy crop company developing and producing elite seeds of Jatropha, today announced it has completed a $9.4 million Series A financing with proceeds from Flint Hills Resources, a privately held company based in Kansas, Life Technologies Corporation, a biotechnology tools company based in Carlsbad, Calif., and participation from existing investors. The financing will support the company’s efforts to advance Jatropha as a high-yielding, low cost feedstock for diesel, jet fuel and petrochemicals.
SG Biofuels also announced that Anthony Sementelli, chief financial officer of Flint Hills Resources, and Nathan Wood, vice president of Life Technologies’ Genomics Technologies business segment, have joined the company’s board of directors.
“We are very pleased to complete this financing with high-caliber partners that bring strategic value to our business model, and to have the round oversubscribed further validates our approach,” said Kirk Haney, president and chief executive officer at SG Biofuels. “Our integrated platform of breeding, biotechnology and agronomy provides a significant opportunity for SG Biofuels and our partners to create a thriving global market for crude Jatropha oil.”
Jatropha curcas is a non-edible shrub that is native to Central America. Its seeds contain high amounts of oil that can be used for a variety of bio-based materials and feedstock substitutes. It can be effectively grown on marginal lands that are considered undesirable for food crops.
Earlier this year, SG Biofuels and Life Technologies formed a strategic alliance to further accelerate the development of Jatropha through use of Life Technologies’ biotechnology and synthetic biology tools. The companies recently announced they have completed the sequence of the Jatropha genome.
SG Biofuels has assembled the world’s largest and most diverse library of Jatropha genetic material and developed a crop improvement platform that has doubled the yield of Jatropha, while reducing input costs for growers.
The company’s integrated breeding and biotechnology approach forms the foundation for its JMax Jatropha Optimization Platform, providing research agencies, growers and plantation developers with access to the company’s germplasm library, the genome sequence, molecular markers and advanced biotech and synthetic biology tools to optimize elite Jatropha cultivars for unique growing conditions around the world. The company has also introduced JMax 100, an elite Jatropha cultivar optimized for growing conditions in Guatemala, with projected yields 100 percent greater than existing commercial varieties, resulting in a 300 percent increase in profits for growers.
Source : Press Release
More On Flint Hills Resources :
Flint Hills Resources to Acquire Two Iowa Ethanol Plants
SG Biofuels also announced that Anthony Sementelli, chief financial officer of Flint Hills Resources, and Nathan Wood, vice president of Life Technologies’ Genomics Technologies business segment, have joined the company’s board of directors.
“We are very pleased to complete this financing with high-caliber partners that bring strategic value to our business model, and to have the round oversubscribed further validates our approach,” said Kirk Haney, president and chief executive officer at SG Biofuels. “Our integrated platform of breeding, biotechnology and agronomy provides a significant opportunity for SG Biofuels and our partners to create a thriving global market for crude Jatropha oil.”
Jatropha curcas is a non-edible shrub that is native to Central America. Its seeds contain high amounts of oil that can be used for a variety of bio-based materials and feedstock substitutes. It can be effectively grown on marginal lands that are considered undesirable for food crops.
Earlier this year, SG Biofuels and Life Technologies formed a strategic alliance to further accelerate the development of Jatropha through use of Life Technologies’ biotechnology and synthetic biology tools. The companies recently announced they have completed the sequence of the Jatropha genome.
SG Biofuels has assembled the world’s largest and most diverse library of Jatropha genetic material and developed a crop improvement platform that has doubled the yield of Jatropha, while reducing input costs for growers.
The company’s integrated breeding and biotechnology approach forms the foundation for its JMax Jatropha Optimization Platform, providing research agencies, growers and plantation developers with access to the company’s germplasm library, the genome sequence, molecular markers and advanced biotech and synthetic biology tools to optimize elite Jatropha cultivars for unique growing conditions around the world. The company has also introduced JMax 100, an elite Jatropha cultivar optimized for growing conditions in Guatemala, with projected yields 100 percent greater than existing commercial varieties, resulting in a 300 percent increase in profits for growers.
Source : Press Release
More On Flint Hills Resources :
Flint Hills Resources to Acquire Two Iowa Ethanol Plants
Joule Awarded Patent on Renewable Diesel Production from Sunlight and CO2
Joule Unlimited, Inc., pioneer of Liquid Fuel from the Sun™, today announced the issuance of a U.S. patent covering its breakthrough conversion of sunlight and waste carbon dioxide (CO2) directly into liquid hydrocarbons that are fungible with conventional diesel fuel. Unlike biofuel processes that require costly intermediates such as sugar, algal or agricultural biomass, Joule is the first to achieve and patent a direct, single-step, continuous process for the production of hydrocarbon fuels requiring no raw material feedstocks – setting the stage for fossil fuel replacement at unprecedented efficiencies and costs as low as $30 per barrel equivalent.
U.S. Patent #7,794,969, titled "Methods and Compositions for the Recombinant Biosynthesis of n-Alkanes," covers the use of engineered photosynthetic microorganisms for the direct synthesis of diesel molecules. Joule's microorganisms function as biocatalysts that use only sunlight, waste CO2 and non-fresh water to directly and continuously produce diesel-range hydrocarbons, which are chemically distinct from biodiesel and are compatible with existing infrastructure.
This landmark achievement in industrial bioprocessing clears the path for large-scale renewable fuel production, addressing the cost, resource constraints and energy-intensive steps associated with biomass growth, harvesting, extraction and refining to reach an end product. The entire process produces more net energy than it consumes and yields sulfur-free, ultra-clean diesel.
"This patent award represents a critical milestone for our IP strategy and validates the truly revolutionary nature of our process, which has the potential to yield infrastructure-compatible replacements for fossil fuels at meaningful scale and highly-competitive costs, even before subsidies," said Bill Sims, President and CEO, Joule. "Our vision since inception has been to overcome the limitations of biomass-based technologies, from feedstock costs and logistics to inefficient, energy-intensive processing. The result is the world’s first platform for converting sunlight and waste CO2 directly into diesel, requiring no costly intermediates, no use of agricultural land or fresh water, and no downstream processing."
Joule's advances in biology are one critical aspect of the company's integrated Helioculture™ platform, which also incorporates process, materials, photonic and thermal engineering to create an optimal system for the efficient production of fuels and chemicals. Joule's novel SolarConverter™ system has been developed to maximize photon-to-fuel conversion efficiency, and features a modular, scalable design for ease of deployment, dependent only on land and waste CO2 availability. The integrated platform will enable productivities above any other closed-system approach, with a commercial target of 15,000 gallons of diesel per acre annually.
Joule has already proven the direct production of diesel, and will begin pilot production by the end of 2010. The company has also proven the direct production of ethanol via the same process at a rate of 10,000 gallons/acre/year, 40% of its ultimate productivity target, and pilot operations are underway in Leander, Texas.
Since inception Joule has pursued a strong IP position, operating in "stealth mode" for its first two years as patent applications were filed. Joule's IP portfolio now includes two issued U.S. patents and numerous patent filings resulting from more than three years of on-going development, covering its core technologies, system and integrated process. The company's first patent, U.S. Patent #7,785,861, "Hyperphotosynthetic Organisms," relates to aspects of an engineered photosynthetic microorganism for fuel production, and was granted on August 31, 2010.
Source : Press Release
U.S. Patent #7,794,969, titled "Methods and Compositions for the Recombinant Biosynthesis of n-Alkanes," covers the use of engineered photosynthetic microorganisms for the direct synthesis of diesel molecules. Joule's microorganisms function as biocatalysts that use only sunlight, waste CO2 and non-fresh water to directly and continuously produce diesel-range hydrocarbons, which are chemically distinct from biodiesel and are compatible with existing infrastructure.
This landmark achievement in industrial bioprocessing clears the path for large-scale renewable fuel production, addressing the cost, resource constraints and energy-intensive steps associated with biomass growth, harvesting, extraction and refining to reach an end product. The entire process produces more net energy than it consumes and yields sulfur-free, ultra-clean diesel.
"This patent award represents a critical milestone for our IP strategy and validates the truly revolutionary nature of our process, which has the potential to yield infrastructure-compatible replacements for fossil fuels at meaningful scale and highly-competitive costs, even before subsidies," said Bill Sims, President and CEO, Joule. "Our vision since inception has been to overcome the limitations of biomass-based technologies, from feedstock costs and logistics to inefficient, energy-intensive processing. The result is the world’s first platform for converting sunlight and waste CO2 directly into diesel, requiring no costly intermediates, no use of agricultural land or fresh water, and no downstream processing."
Joule's advances in biology are one critical aspect of the company's integrated Helioculture™ platform, which also incorporates process, materials, photonic and thermal engineering to create an optimal system for the efficient production of fuels and chemicals. Joule's novel SolarConverter™ system has been developed to maximize photon-to-fuel conversion efficiency, and features a modular, scalable design for ease of deployment, dependent only on land and waste CO2 availability. The integrated platform will enable productivities above any other closed-system approach, with a commercial target of 15,000 gallons of diesel per acre annually.
Joule has already proven the direct production of diesel, and will begin pilot production by the end of 2010. The company has also proven the direct production of ethanol via the same process at a rate of 10,000 gallons/acre/year, 40% of its ultimate productivity target, and pilot operations are underway in Leander, Texas.
Since inception Joule has pursued a strong IP position, operating in "stealth mode" for its first two years as patent applications were filed. Joule's IP portfolio now includes two issued U.S. patents and numerous patent filings resulting from more than three years of on-going development, covering its core technologies, system and integrated process. The company's first patent, U.S. Patent #7,785,861, "Hyperphotosynthetic Organisms," relates to aspects of an engineered photosynthetic microorganism for fuel production, and was granted on August 31, 2010.
Source : Press Release
$20.91 Billion Spent On Foreign Oil In July
The July trade deficit was $42.8 billion. Oil accounted for $20.91 billion of our foreign trade deficit in July.
At a time when the nation needs jobs, I thought it might be interesting to look at that number in terms of how many jobs that money could have provided had it been spent on domestically produced energy.
According to my calculator, had that money stayed here it would have provided 167,280 people with jobs for a year.
At a time when the nation needs jobs, I thought it might be interesting to look at that number in terms of how many jobs that money could have provided had it been spent on domestically produced energy.
Robert Scott with the liberal Economic Policy Institute, argued that each $1 billion in imports displaces about 8,000 U.S. jobs - just as each $1 billion in exports would create 8,000 jobs. - Source
According to my calculator, had that money stayed here it would have provided 167,280 people with jobs for a year.
September 10, 2010
Illinois Biodiesel Industry Expands As Other States Struggle
I recently wrote about how privately held biodiesel producers were going out of business at the same time that government entities were starting biodiesel operations to supply their own needs. I thought it was somewhat troubling to see biodiesel production shifting from private sector to the public sector.
Around that same time, a private company, REG, reopened a 60 million gallon per year plant in Seneca, Illinois that it had recently acquired. It seemed strange that while the biodiesel industry as a whole was having such a difficult time that they were expanding. At the time I figured that they either had very good financing or were working off of cash reserves from better times.
But digging further into this suggests that biodiesel producers in the state of Illinois have fared better than producers in the rest of the country since the biodiesel tax credit expired at the beginning of the year.
So thanks to favorable state incentives, the biodiesel industry in Illinois is surviving and at least in the case of REG expanding.
The biodiesel industries in other states have not fared as well.
At the national level, the biodiesel industry is struggling as well. And even though REG is expanding in Illinois, they have been forced to scale back operations in other states.
The wait for the federal government to reinstate the biodiesel tax credit has left the industry in most states suffering. Illinois on the other hand, had policies in place that have allowed the industry to fare much better than the states around them. Perhaps, this is another area where state governments need to take action where the federal government has failed to.
Around that same time, a private company, REG, reopened a 60 million gallon per year plant in Seneca, Illinois that it had recently acquired. It seemed strange that while the biodiesel industry as a whole was having such a difficult time that they were expanding. At the time I figured that they either had very good financing or were working off of cash reserves from better times.
But digging further into this suggests that biodiesel producers in the state of Illinois have fared better than producers in the rest of the country since the biodiesel tax credit expired at the beginning of the year.
The $1-a-gallon biodiesel excise tax enacted four years ago is designed to make biodiesel competitive in the market, said Kevin Lockart, energy management specialist for Tremont-based Ag-Land FS, Inc.
"Illinois probably isn't as affected as other parts of the country because a state tax exemption (on blends with at least 11 percent biodiesel) still provides an advantage," Lockart said.
Nationally, the tax credit is designed to level the playing field when it comes to fuel. The cost of the amount of soybean oil needed to produce a gallon of biodiesel averages about $3 a barrel while only $1.82 worth of crude oil is necessary to produce a gallon of fuel, according to U.S. Department of Energy statistics.
"We're continuing to sell it but (the lack of a tax credit) has shut down just about everybody but the state of Illinois," said Lockart.
"In Illinois, B-11 (a blend of diesel fuel and 11 percent vegetable oil) still has a six-cent advantage over regular diesel fuel. But in a state like Indiana (without the sales tax exemption), it won't sell. John Q. Public wants the best price for fuel," he said. - Journal Star
So thanks to favorable state incentives, the biodiesel industry in Illinois is surviving and at least in the case of REG expanding.
The biodiesel industries in other states have not fared as well.
There are four biodiesel plants in Arkansas, including one in DeWitt, but only the one in Batesville is producing any biofuel. - Dewitt Era Enterprise
Just one biodiesel plant is still running in the state, FutureFuel Corp. in Batesville, which is operating at less than 20 percent of capacity. - Arkansas News
At the national level, the biodiesel industry is struggling as well. And even though REG is expanding in Illinois, they have been forced to scale back operations in other states.
The drop in sales forced REG to lay off nearly half its production staff, including shutting down biodiesel plants at Ralston and Newton.
Roughly half the 50,000 U.S. jobs directly associated in biodiesel production have been lost the past two years. An estimated 2,000 Iowans have been laid off due to the expiration of the biodiesel credits. - Daily Times Herald
The wait for the federal government to reinstate the biodiesel tax credit has left the industry in most states suffering. Illinois on the other hand, had policies in place that have allowed the industry to fare much better than the states around them. Perhaps, this is another area where state governments need to take action where the federal government has failed to.
September 09, 2010
Ethanol Exports Rise For July 2010
After sliding in three consecutive months, U.S. ethanol exports climbed substantially in July, according to government data released today. Denatured and undenatured (non-beverage) ethanol exports totaled 25.2 million gallons, up 57% from June. In particular, denatured ethanol exports surged, with large volumes being imported once again by Brazil and the United Arab Emirates (UAE). After importing U.S. ethanol early in the spring of 2010, Brazil and UAE did not import any U.S. product in May or June.
A total of 22.4 million gallons of denatured ethanol was exported in July, more than double the total from June. Canada continued to serve as the top U.S. export destination for denatured ethanol, importing 9.5 million gallons of product. Finland imported its first shipment of U.S. denatured ethanol this year, totaling 4.5 million gallons. Brazil, the Netherlands, and UAE rounded out the top five denatured ethanol importers for July.
Exports of undenatured, non-beverage ethanol continued to slide in July. Only 2.7 million gallons of undenatured product was exported, down from 5 million gallons in June. Nearly 90% of undenatured ethanol exports went to Mexico.
Total year-to-date ethanol exports for 2010 stand at 182.7 million gallons (121.7 million gallons of denatured ethanol and 61 million gallons of undenatured), meaning exports continue at a record pace. Only once in the last 20 years has the U.S. exported more ethanol than it has through the first seven months of 2010. In 1995, the U.S. exported 197.5 million gallons of denatured and undenatured ethanol.
Source : Renewable Fuels Association
A total of 22.4 million gallons of denatured ethanol was exported in July, more than double the total from June. Canada continued to serve as the top U.S. export destination for denatured ethanol, importing 9.5 million gallons of product. Finland imported its first shipment of U.S. denatured ethanol this year, totaling 4.5 million gallons. Brazil, the Netherlands, and UAE rounded out the top five denatured ethanol importers for July.
Exports of undenatured, non-beverage ethanol continued to slide in July. Only 2.7 million gallons of undenatured product was exported, down from 5 million gallons in June. Nearly 90% of undenatured ethanol exports went to Mexico.
Total year-to-date ethanol exports for 2010 stand at 182.7 million gallons (121.7 million gallons of denatured ethanol and 61 million gallons of undenatured), meaning exports continue at a record pace. Only once in the last 20 years has the U.S. exported more ethanol than it has through the first seven months of 2010. In 1995, the U.S. exported 197.5 million gallons of denatured and undenatured ethanol.
Source : Renewable Fuels Association
Lincolnway Energy Awarded $1.9 Million To Switch Away From Coal
Agriculture Secretary Tom Vilsack today announced the selection of a biorefinery producer to receive payments under a program to encourage the use of renewable biomass as a replacement for fossil fuels that provide process heat or power for biorefineries.
"The award that USDA is announcing today marks a step toward reducing fossil fuel consumption." Vilsack said. "The Repowering Assistance Program, along with the other renewable energy provisions of the 2008 Farm Bill, promote the creation of green jobs, combat climate change and provide economic opportunities to rural workers and rural businesses."
Lincolnway Energy, LLC, based in Nevada, Iowa, has been selected to receive a $1.9 million payment award. The company produces 55 to 60 million gallons per year of fuel-grade ethanol. The USDA payment will reimburse the firm for costs to modify a boiler to burn wood and other biomass.
USDA's Repowering Assistance Program was authorized under the 2008 Farm Bill and allows USDA to make payments to eligible biorefineries to encourage the use of renewable biomass as a replacement fuel source for fossil fuels used to provide process heat or power in the operation of these eligible biorefineries. Biorefineries that were in existence when the Bill was enacted, June 18, 2008, are eligible to apply.
Source : Press Release
"The award that USDA is announcing today marks a step toward reducing fossil fuel consumption." Vilsack said. "The Repowering Assistance Program, along with the other renewable energy provisions of the 2008 Farm Bill, promote the creation of green jobs, combat climate change and provide economic opportunities to rural workers and rural businesses."
Lincolnway Energy, LLC, based in Nevada, Iowa, has been selected to receive a $1.9 million payment award. The company produces 55 to 60 million gallons per year of fuel-grade ethanol. The USDA payment will reimburse the firm for costs to modify a boiler to burn wood and other biomass.
USDA's Repowering Assistance Program was authorized under the 2008 Farm Bill and allows USDA to make payments to eligible biorefineries to encourage the use of renewable biomass as a replacement fuel source for fossil fuels used to provide process heat or power in the operation of these eligible biorefineries. Biorefineries that were in existence when the Bill was enacted, June 18, 2008, are eligible to apply.
Source : Press Release
Fire At The Osage Bio Energy Ethanol Plant
According to news reports there were two small explosions and fires at the Osage Bio Energy’s ethanol plant in Hopewell, Virginia last night. The fires were quickly put out and there were no reported injuries. The area of the plant effected by the fires was taken offline temporarily but the plant continued to operate.
Source: Richmond Times Dispatch
Source: Richmond Times Dispatch
September 08, 2010
ASTM Begins Work On Butanol Specification
The ASTM has begun work on a specification that covers butanol intended to be blended with unleaded gasolines at 1 to 12.5 volume % for use as a spark ignition automotive engine fuel.
Multiple companies (Gevo, BP/Dupont, Cobalt, etc) are working on technology to develop butanol to commerical scale for use in spark ignition automotive engine fuel.
This will help industry/engine manufacturers/certification groups to establish a standard on which to operate.
Multiple companies (Gevo, BP/Dupont, Cobalt, etc) are working on technology to develop butanol to commerical scale for use in spark ignition automotive engine fuel.
This will help industry/engine manufacturers/certification groups to establish a standard on which to operate.
Good News for Flex Fuel Vehicle Owners in the Southeast
TransMontaigne Inc. announced today that E85 will soon become available at seven of its busiest refined petroleum product terminals. E85 is a fuel blend composed of 85% ethanol and 15% gasoline by volume and is designed for use in Flex-Fuel vehicles.
Until recently, E85 has been available mostly in Midwestern states that are closer to ethanol manufacturing sites. Owners of Flex-Fuel vehicles have been vocal that this environmentally friendly fuel has not been available on a widespread basis. TransMontaigne's move into E85 product supply will quickly help change that, as many more retail chains will now have a reliable local wholesale supply for this fuel from Florida through the Mid-Atlantic states.
TransMontaigne continues to invest in its comprehensive terminal infrastructure to facilitate the growth of renewable fuels. Initially, TransMontaigne terminals offering E85 will include Port Everglades and Tampa in Florida, Bainbridge and Doraville in Georgia, Greensboro and Selma in North Carolina and Norfolk in Virginia.
Ethanol, the primary component of E85, is mostly transported by rail and by vessel. TransMontaigne, a large petroleum and renewable fuel logistics and distribution company, has invested in the rail and marine infrastructure within its large terminal network to facilitate this offering. To date, TransMontaigne, which holds a BQ 9000 marketing accreditation, has been an early and progressive leader in the distribution and blending of Biodiesel, another major renewable fuel consumed in the transportation industry within the United States.
Source : Press Release
Until recently, E85 has been available mostly in Midwestern states that are closer to ethanol manufacturing sites. Owners of Flex-Fuel vehicles have been vocal that this environmentally friendly fuel has not been available on a widespread basis. TransMontaigne's move into E85 product supply will quickly help change that, as many more retail chains will now have a reliable local wholesale supply for this fuel from Florida through the Mid-Atlantic states.
TransMontaigne continues to invest in its comprehensive terminal infrastructure to facilitate the growth of renewable fuels. Initially, TransMontaigne terminals offering E85 will include Port Everglades and Tampa in Florida, Bainbridge and Doraville in Georgia, Greensboro and Selma in North Carolina and Norfolk in Virginia.
Ethanol, the primary component of E85, is mostly transported by rail and by vessel. TransMontaigne, a large petroleum and renewable fuel logistics and distribution company, has invested in the rail and marine infrastructure within its large terminal network to facilitate this offering. To date, TransMontaigne, which holds a BQ 9000 marketing accreditation, has been an early and progressive leader in the distribution and blending of Biodiesel, another major renewable fuel consumed in the transportation industry within the United States.
Source : Press Release
September 07, 2010
DENCO Ethanol Plant Set To Reopen
The sale of the 25 million gallon per year DENCO ethanol plant in Morris, Minnesota has closed and the new owners hope to have the plant operational by October 1, 2010.
Source : Morris Sun Tribune
The new owners closed on the sale on Wednesday and took over the plant on Thursday. The new company will be hiring 30 employees, according to Morris attorney Warrenn Anderson, who has been involved with the ethanol plant for many years.
Financing for the new plant, DENCO II, is coming in large part from area farmers and producers. DENCO II will market directly with area producers, Anderson said.
Energetix, a company founded by Mitch Miller, a former plant manager at the CVEC ethanol plant in Benson, and Jason Jerke in 2007, will be in charge of DENCO II's operations.
DENCO’s former plant manager, Mick Miller, will operate the facility.
Source : Morris Sun Tribune
Fulcrum BioEnergy Begins Construction On Municipal Solid Waste To Ethanol Plant
Fulcrum BioEnergy announced today that construction was underway on it's Sierra BioFuels Plant. The plant is located about 20 miles east of Reno, Nevada and will convert approximately 90,000 tons of post-sorted municipal solid waste into 10.5 million gallons of cellulosic ethanol per year. The plant is expected to be completed and enter operation in 2012.
Source : Press Release
Source : Press Release
September 05, 2010
Deforestation Rate Continues to Plunge in Brazil
A recent article from Science Insider is reporting that the deforestation rate in Brazil has been on decline since 2004.
Three years ago, headlines such as these telling us that corn ethanol would lead to the destruction of the Amazon Rain Forest were all over the place.
U.S. ethanol may drive Amazon deforestation May 17, 2007
Switch to Corn Promotes Amazon Deforestation December 27, 2007
Since 2004, ethanol production has gone from 3.4 billion gallons to 10.8 billion gallons last year. And as the article points out over the same time period forest loss has been reduced by 90%. Clearly the linkage between the ethanol production and Amazon Forest loss is either very minimal or doesn't exist at all.
The Brazilian government says that a preliminary survey by a low-resolution satellite shows that deforestation in the Amazon declined by 47.5% over the past 12 months. The figure is the largest decline since measurements began in 1988 and, if confirmed by data from a second set of satellites due out later this year, would amount to nearly a 90% drop in lost forest area since a 2004 peak.
Three years ago, headlines such as these telling us that corn ethanol would lead to the destruction of the Amazon Rain Forest were all over the place.
U.S. ethanol may drive Amazon deforestation May 17, 2007
Switch to Corn Promotes Amazon Deforestation December 27, 2007
Since 2004, ethanol production has gone from 3.4 billion gallons to 10.8 billion gallons last year. And as the article points out over the same time period forest loss has been reduced by 90%. Clearly the linkage between the ethanol production and Amazon Forest loss is either very minimal or doesn't exist at all.
Renova Energy Ethanol Plant To Be Auctioned
The Renova Energy ethanol plant located in Heyburn, Idaho is scheduled to be auctioned on November 10, according to iStockAnalyst. The plant was in the construction phase when costs overruns forced the company to file bankruptcy in 2008. Construction on the 20 million gallon per year plant was never completed.
This plant was to be somewhat unique within the ethanol industry. It was planned that the plant would produce biogas from the anaerobic digestion of the thin stillage from the ethanol making process and whey wastes from a nearby cheese producer to offset all of it's natural gas needs. This would have given them a smaller carbon footprint that other ethanol producers and should have also results in lower cost ethanol production.
This plant was to be somewhat unique within the ethanol industry. It was planned that the plant would produce biogas from the anaerobic digestion of the thin stillage from the ethanol making process and whey wastes from a nearby cheese producer to offset all of it's natural gas needs. This would have given them a smaller carbon footprint that other ethanol producers and should have also results in lower cost ethanol production.
September 02, 2010
Verenium Closes Sale of Cellulosic Biofuels Business to BP
The sale of Verenium's cellulosic ethanol business to oil giant BP for $98.3 million has now been completed.
In the transaction, BP acquired the Verenium facilities in Jennings, LA, including the pilot plant and demonstration-scale facility, the San Diego, CA R&D facilities, as well as cellulosic biofuels and cellulosic enzyme technology and related IP. In addition, BP retained select personnel needed to continue the cellulosic biofuels development program. BP also became the sole owner of Vercipia Biofuels and Galaxy Biofuels, the 50-50 joint ventures created by Verenium and BP.
Verenium retains its commercial enzyme business, including its biofuels enzyme products, and has the right to develop its own cellulosic enzyme program. Verenium also retains select R&D capabilities, as well as the potential option to access select biofuels technology developed by BP using the technology acquired from Verenium through this transaction.
Source : Press Release
In the transaction, BP acquired the Verenium facilities in Jennings, LA, including the pilot plant and demonstration-scale facility, the San Diego, CA R&D facilities, as well as cellulosic biofuels and cellulosic enzyme technology and related IP. In addition, BP retained select personnel needed to continue the cellulosic biofuels development program. BP also became the sole owner of Vercipia Biofuels and Galaxy Biofuels, the 50-50 joint ventures created by Verenium and BP.
Verenium retains its commercial enzyme business, including its biofuels enzyme products, and has the right to develop its own cellulosic enzyme program. Verenium also retains select R&D capabilities, as well as the potential option to access select biofuels technology developed by BP using the technology acquired from Verenium through this transaction.
Source : Press Release
Murphy Oil Signs Agreement To Purchase Panda Ethanol Hereford Plant
It was reported in late July that Murphy Oil had shown some interest in buying the former Panda Ethanol plant in Hereford, TX. The Panda Ethanol subsidiary that owned the plant filed for bankruptcy in January 2009 and the 100 million gallon per year Hereford ethanol plant was never completed.
On August 6, the HerefordBRAND reported that Murphy Oil had signed an agreement to buy the facility. No details were given on purchase price or on when the sale is expected to close. The company did say that they plan to spend a minimum of $25 million to finish the facility and that they expect to have the facility operational in the first quarter of 2011.
On August 6, the HerefordBRAND reported that Murphy Oil had signed an agreement to buy the facility. No details were given on purchase price or on when the sale is expected to close. The company did say that they plan to spend a minimum of $25 million to finish the facility and that they expect to have the facility operational in the first quarter of 2011.
September 01, 2010
Minnesota Department of Agriculture Issues Ethanol Industry Report
The Minnesota Department of Agriculture has released a new report on the state's ethanol industry. Below are some the report's key points.
- Minnesota has 21 ethanol plants with a total annual production capacity of 1.1
billion gallons or 3.3 million metric tons (2010).
- Ten of the 21 ethanol plants are farmer-owned co-operatives, bringing direct
economic returns to farmers and rural communities.
- Minnesota produced 862 million gallons of ethanol in 2009.
- Ethanol consumption in Minnesota was estimated at 243 million gallons in 2009,
about 28% of the total ethanol production.
- The state’s net ethanol export was 619 million gallons – or 72% of the production.
- At the 862 million-gallon production level in 2009, Minnesota’s ethanol industry
generated an estimated $2.5 billion in total economic output and 6,854 jobs.
- The 1.1 billion gallon production by 2010 is projected to generate a total of $3.1 billion in economic output and 8,395 jobs.
Mascoma Acquires SunOpta BioProcess
Mascoma Corporation, an innovative biofuels company, today announced the acquisition of SunOpta BioProcess Inc. (SBI), a division of SunOpta Inc. This combination brings together the world-leading fiber preparation and pretreatment technologies of SBI and the world-leading consolidated bioprocessing (CBP) technology of Mascoma, to create a company with comprehensive capabilities for converting non-food cellulose (wood chips, energy crops and organic solid waste) into ethanol and high value co-products.
The acquisition combines the leading bio-chemical platform companies in Canada and the United States, resulting in a company that is well-positioned to achieve the industry’s objective of low-cost, sustainable production of transportation fuels from non-food biomass. By integrating SBI’s state-of-the-art fiber preparation and pretreatment technology (known as the upstream component of cellulosic ethanol production) with Mascoma’s consolidated bioprocessing technology (known as the downstream component of cellulosic ethanol production), the new company brings together the two core technical components essential for the effective conversion of non-food cellulose into ethanol and high value co-products. In addition to the technical synergies, the combined entity will have the leading intellectual property position in the cellulosic biofuels sector, extensively covering both pretreatment and consolidated bioprocessing technologies.
“We are pleased to announce this important and strategic acquisition. We share a common vision of solving one of the most important energy problems in the world: enabling a sustainable transportation fuel sector by converting cellulosic biomass to fuel in a low-cost, sustainable way,” said Bill Brady, Chief Executive Officer of Mascoma. “The combined company has extensive commercial experience, with the application of our technologies around the world, and the technology breadth to offer a complete biofuels solution. We believe the combination of Mascoma and SBI significantly advances our capabilities in the cellulosic ethanol field and positions us for a successful future.”
Both SBI and Mascoma have made significant progress towards commercialization and collectively have development partners in the US, Canada, China, Brazil and South Africa, all of which will benefit from the combination. In early 2010, SBI announced a major contract to supply its fiber preparation and pretreatment technology to one of the largest operators in the new energy sector in China.
“We are very pleased to have entered into this transaction with Mascoma. We believe that Mascoma is the ideal partner for SBI given its leading edge biotechnology in the conversion of non-food biomass into biofuels,” said Steve Bromley, President and Chief Executive Officer of SunOpta. “This transaction allows SunOpta shareholders to continue to participate in the commercialization of low-cost biofuels and xylitol through an equity investment in Mascoma. More importantly, it allows SunOpta to realize on its stated objective to focus on its core value-added natural and organic foods business. We want to express our sincere appreciation to the SBI team for their years of hard work and dedication and wish them continued success.”
Mascoma, through its affiliate Frontier Renewable Resources LLC, is currently developing a commercial scale production facility in Kinross, Michigan. The facility is based on technologies developed in Mascoma’s laboratories in Lebanon, New Hampshire and operating in its 57,000 square foot demonstration facility in Rome, New York. The facility will also incorporate technologies developed by SBI from its pilot operations in Waterdown, Ontario and Brampton, Ontario.
“This combination melds the strengths of two best-in-kind companies into one entity with uniquely comprehensive capabilities,” said Doug Cameron, Managing Director at Alberti Advisors and former Director of Biotechnology at Cargill, Inc. “The capability to package Mascoma’s low-cost biotechnology into SBI’s state-of-the-art, proven equipment will enable this company to overcome the barriers that have historically challenged this industry. As the two technologies are integrated, Mascoma will drive further processing advancements and efficiencies that will reduce costs and greatly accelerate the commercial adoption of cellulosic ethanol and other advanced biofuels.”
The transaction has received all necessary corporate approvals. SBI will operate as Mascoma Canada, a wholly-owned Canadian subsidiary of Mascoma, and SunOpta Chairman Jeremy Kendall will join Mascoma’s Board of Directors.
Source : Press Release
The acquisition combines the leading bio-chemical platform companies in Canada and the United States, resulting in a company that is well-positioned to achieve the industry’s objective of low-cost, sustainable production of transportation fuels from non-food biomass. By integrating SBI’s state-of-the-art fiber preparation and pretreatment technology (known as the upstream component of cellulosic ethanol production) with Mascoma’s consolidated bioprocessing technology (known as the downstream component of cellulosic ethanol production), the new company brings together the two core technical components essential for the effective conversion of non-food cellulose into ethanol and high value co-products. In addition to the technical synergies, the combined entity will have the leading intellectual property position in the cellulosic biofuels sector, extensively covering both pretreatment and consolidated bioprocessing technologies.
“We are pleased to announce this important and strategic acquisition. We share a common vision of solving one of the most important energy problems in the world: enabling a sustainable transportation fuel sector by converting cellulosic biomass to fuel in a low-cost, sustainable way,” said Bill Brady, Chief Executive Officer of Mascoma. “The combined company has extensive commercial experience, with the application of our technologies around the world, and the technology breadth to offer a complete biofuels solution. We believe the combination of Mascoma and SBI significantly advances our capabilities in the cellulosic ethanol field and positions us for a successful future.”
Both SBI and Mascoma have made significant progress towards commercialization and collectively have development partners in the US, Canada, China, Brazil and South Africa, all of which will benefit from the combination. In early 2010, SBI announced a major contract to supply its fiber preparation and pretreatment technology to one of the largest operators in the new energy sector in China.
“We are very pleased to have entered into this transaction with Mascoma. We believe that Mascoma is the ideal partner for SBI given its leading edge biotechnology in the conversion of non-food biomass into biofuels,” said Steve Bromley, President and Chief Executive Officer of SunOpta. “This transaction allows SunOpta shareholders to continue to participate in the commercialization of low-cost biofuels and xylitol through an equity investment in Mascoma. More importantly, it allows SunOpta to realize on its stated objective to focus on its core value-added natural and organic foods business. We want to express our sincere appreciation to the SBI team for their years of hard work and dedication and wish them continued success.”
Mascoma, through its affiliate Frontier Renewable Resources LLC, is currently developing a commercial scale production facility in Kinross, Michigan. The facility is based on technologies developed in Mascoma’s laboratories in Lebanon, New Hampshire and operating in its 57,000 square foot demonstration facility in Rome, New York. The facility will also incorporate technologies developed by SBI from its pilot operations in Waterdown, Ontario and Brampton, Ontario.
“This combination melds the strengths of two best-in-kind companies into one entity with uniquely comprehensive capabilities,” said Doug Cameron, Managing Director at Alberti Advisors and former Director of Biotechnology at Cargill, Inc. “The capability to package Mascoma’s low-cost biotechnology into SBI’s state-of-the-art, proven equipment will enable this company to overcome the barriers that have historically challenged this industry. As the two technologies are integrated, Mascoma will drive further processing advancements and efficiencies that will reduce costs and greatly accelerate the commercial adoption of cellulosic ethanol and other advanced biofuels.”
The transaction has received all necessary corporate approvals. SBI will operate as Mascoma Canada, a wholly-owned Canadian subsidiary of Mascoma, and SunOpta Chairman Jeremy Kendall will join Mascoma’s Board of Directors.
Source : Press Release
Number Of E85 Pumps Jumps Following UL Certification
It was just a little over two months ago, on June 24, that the announcement was made that two E85 dispensers had received UL certification. At the time I thought it might be interesting to gauge the pace of new E85 installations from that point forward. So on June 29 I checked the number of E85 pumps across the nation and it stood at 2,160.
I used to keep track of the number of E85 pumps by posting the number at the first of every month. It has been some time since I have done that but it gives us reference point in the past to gauge with. Here are the number from the last time I posted the monthly E85 totals.
May 1, 2009 - 1991
April 1 2009 - 1990
March 1, 2009 - 1969
February 1, 2009 - 1927
January 1, 2009 - 1899
In the 14 month time period between May 1, 2009 and June 29, 2010 there were 69 new E85 pumps added for an average of about 5 per month.
The total today stands at 2,235 for a gain of 75 in the two month period since the two pumps achieved UL certification.
I used to keep track of the number of E85 pumps by posting the number at the first of every month. It has been some time since I have done that but it gives us reference point in the past to gauge with. Here are the number from the last time I posted the monthly E85 totals.
May 1, 2009 - 1991
April 1 2009 - 1990
March 1, 2009 - 1969
February 1, 2009 - 1927
January 1, 2009 - 1899
In the 14 month time period between May 1, 2009 and June 29, 2010 there were 69 new E85 pumps added for an average of about 5 per month.
The total today stands at 2,235 for a gain of 75 in the two month period since the two pumps achieved UL certification.