Walmart's Solar Power Initiative Will Total More Than 130 Stores By The End Of 2013

Walmart today announced its plan to install solar panels on up to 60 additional stores in California, expanding the company's solar portfolio to more than 75 percent of its stores in the state, making California the first state in the nation where Walmart has devoted this level of commitment to renewable energy.  

"California presents a great opportunity for Walmart to make significant progress toward our sustainability goals by installing solar power on more than 130 store rooftops throughout the state," said Kim Saylors-Laster, Walmart vice president of energy.  "Walmart has reduced energy expenses by more than a million dollars through our solar program, allowing us to pass these savings on to our customers in the form of everyday low prices."

When complete, Walmart's total solar commitment in California is expected to:

• Generate up to 70 million kilowatt hours of clean, renewable energy per year, which is the equivalent of powering more than 5,400 homes*;
• Avoid producing more than 21,700 metric tons of carbon dioxide emissions per year, which is the equivalent of taking approximately 4,100 cars off the road*; and
• Provide 20 to 30 percent of each facility's total electric needs.

"Walmart has undertaken one of the most ambitious solar initiatives of any company in the U.S., and tripled the scale of its initial project with us," added Lyndon Rive, SolarCity's CEO.  "Walmart is setting an example that far more companies in the U.S. can follow; it is possible for many businesses to pay less for solar power than they currently pay for electricity."

Walmart's investment in solar power is anticipated to create hundreds of jobs in California through its partnership with SolarCity, which will own, install and maintain the new solar power systems. The San Mateo, Calif.-based company has added more than 500 new full-time jobs since it initiated its first Walmart solar project, and expects to hire hundreds more before the end of the year.

"Our solar efforts in California have proven to be a great way for Walmart to build our renewable energy program," said Mack Wyckoff, senior manager of renewable energy at Walmart.  "We are confident that we will continue to grow our solar energy program in the U.S. and around the world because of the initial success we have had in California."

Walmart is using a number of renewable technologies around the world to make progress towards the goal of being supplied by 100 percent renewable energy.

Valero Renewables to Install Corn Oil Extraction Systems at Four Midwest Ethanol Plants

Valero Renewable Fuels Company LLC, a subsidiary of Valero Energy Corporation, announced today its plan to install an ICM-patent pending, next-generation Advanced Oil System (AOS) corn oil extraction system at four of its ethanol plants in the Midwest by the end of the first quarter of 2012.

The investment will allow the Valero Renewables plants to recover more than one-half pound of corn oil per bushel of corn processed, giving the plants an additional source of revenue besides ethanol and distillers grains.

The four plants that will take part in the initial installation of corn oil extraction equipment are in Albert City, Charles City, Fort Dodge and Hartley, Iowa. Following the initial rollout of corn oil extraction at these first four plants, Valero Renewables will study the possibility of installing the equipment at another five of its plants that use a dry mill technology to produce ethanol.

“In the basic dry mill ethanol process, all of the corn oil ends up in distillers grains, which is used as livestock feed,” said Jim Gillingham, Valero’s Senior Vice President-Alternative Energy and Project Development. “The new equipment will allow us to recover corn oil so that it can be sold into higher-value markets for use in animal feed and as a feedstock for biodiesel production.”

Valero Renewables expects the corn oil extraction program to enhance plant margins at a low cost, enabling a payback of capital expenditures in less than two years.

Gevo and South Hampton Resources to Build Hydrocarbon Processing Demonstration Plant

Gevo, Inc. today announced it plans to work with South Hampton Resources, Inc., a subsidiary of Arabian American Development Co., to build a hydrocarbon processing demonstration plant at their facility just outside of Houston in Silsbee, Texas. This demonstration plant is expected to process up to 10,000 gallons of Gevo’s isobutanol per month into a variety of renewable hydrocarbon materials including jet fuel for engine testing, isooctane for gasoline, isooctene and paraxylene for polyethylene terephthalate (PET) and will supply other potential customers with material for product qualification and evaluation. The demonstration plant is slated for completion before the end of 2011. The contract between the companies is for two years with one-year extensions thereafter.

“This demonstration plant allows us to complete the value chain from isobutanol to renewable hydrocarbon fuels and chemical intermediates which is one of our key strategic objectives,” said Patrick Gruber, Ph.D., CEO of Gevo. “With the operation of this plant, Gevo intends to demonstrate its fully integrated biorefinery -- going from renewable carbohydrates all the way to fungible hydrocarbon materials used across the refining and petrochemical industries. We expect this plant to showcase the value of our renewable hydrocarbons and drive future customer demand.”

“We have a growing list of potential customers and end-users interested in renewable hydrocarbons for a variety of market applications from jet fuel to renewable PET,” said Christopher Ryan, Ph.D., president and COO of Gevo. “This plant should allow us to supply early adopters with product so they can test our material, make samples and start their selling cycle. We also expect to gain critical technical and market insights along the way.”

South Hampton Resources, Inc. has agreed to provide Gevo with toll-manufacturing services at its Silsbee, TX facility and complete the final design and engineering package for the demonstration plant from preliminary plans supplied by Gevo. Gevo will own all the intellectual property that results from the work including the plans, designs and systems developed for the demonstration plant and future commercial-scale plants.

Joule Awarded Patents for High-Volume Ethanol Production from Sunlight and CO2

Joule Unlimited Technologies today announced the issuance of its first two U.S. patents covering its fundamental method for producing ethanol at volumes and efficiencies far surpassing biomass-dependent processes.

The patents relate to methods for increasing the ethanol production capability of a photosynthetic microorganism. Unlike competing technologies that utilize microorganisms to produce ethanol by fermenting sugars from cellulose or other biomass materials, Joule's platform microorganism is engineered to produce and secrete ethanol in a continuous process, converting more than 90% of the CO₂ it consumes directly to end product, with no reliance on biomass feedstocks.

U.S. Patent #7,981,647 and U.S. Patent #7,968,321, granted on July 19th and June 28th respectively, cover enzymatic mechanisms engineered into the cell by Joule to maximize its ethanol productivity. These innovations, together with Joule's advances in bioprocessing and solar capture and conversion, will help Joule achieve an ultimate target of 25,000 gallons per acre annually – a rate that is 10X greater than that of cellulosic ethanol and 100X greater than corn ethanol – while requiring no depletion of food crops, agricultural land or fresh water. In addition, by eliminating the need for biomass, Joule avoids the burden of fluctuating feedstock cost and supply, as well as the energy-intensive, multi-step conversion of biomass to product. At full-scale commercial production Joule expects to produce ethanol for as little as $0.60/gallon.

"The market for ethanol is strong and growing internationally, and our patented technology affords Joule an incredible opportunity to meet growing demand at productivities well beyond biomass-based approaches," said Bill Sims, President and CEO of Joule. "Rather than focus on incremental improvements along the supply chain, we have proven that a direct, continuous process from photons to fuel is the answer to highly-efficient, cost-competitive production that can scale without today’s feedstock constraints."

Joule is now producing ethanol at pilot scale, and has achieved nearly 50% of its ultimate productivity target in the lab. The company today holds a total of six U.S. patents and more than 70 applications pending, derived from four years of development across biology, processes and systems.

Petroleum Demand Up For First Six Months Of 2011

Total petroleum deliveries (a measure of demand) rose in June compared with May and with June a year ago and were up 1.9 percent for the first six months of 2011 over the same period in 2010.  Gasoline demand was nearly flat compared with June a year ago, but up from both April 2011 and May 2011.  Ultra-low sulfur diesel demand continued to register strong numbers over 2010, achieving a record high.

“The growth in overall demand is consistent with the nation’s modest but steady economic expansion,” said API chief economist John Felmy.  “Gasoline demand essentially treaded water while demand for ultra-low sulfur diesel continued its year-over-year increase.  Gasoline demand appears to still be held back by high unemployment and consumer uncertainty.  On the other hand, the robust ultra-low sulfur diesel demand numbers suggest U.S. manufacturing is picking up the pace.”

U.S. refinery gasoline production was at a record high for the month and for the year.  For the month of June, distillate production was at a three-year high while jet fuel production was at a six-year high. Strong refinery production has reduced the need for petroleum product imports, which declined more than 30 percent in June compared with June a year ago.  Crude imports declined 4.8 percent, and total imports fell 10 percent

Crude oil production fell to a two-year low and showed year-over-year declines for the second month in a row.  At 5.4 million barrels a day, crude oil production was down by 2.0 percent from June 2010.  For the second quarter, crude production was down by 0.1 percent.  The preliminary reported data to API on offshore oil wells drilled show an 82.0 percent decline in the second quarter of this year compared with last.  Despite the offshore drilling decline, API estimates onshore oil well completions, which include wells drilled on private as well as public lands, were at the highest second quarter level since 1985.

Crude stocks (excluding SPR) fell by 2.9 percent from the prior month and 1.5 percent from the prior year, but were still at the second highest stock level for any June since 1990, not counting 2010.  With the exception of jet fuel stocks and residual fuel stocks, all key refined products’ stock levels showed declines in June compared with May.

Source : API

POET receives offer for a conditional commitment for $105 million cellulosic ethanol loan guarantee

U.S. Energy Secretary Steven Chu today announced the offer of a conditional commitment for a $105 million loan guarantee to support the development of the nation's first commercial-scale cellulosic ethanol plant. Project LIBERTY, sponsored by POET, LLC, will produce up to 25 million gallons of ethanol per year and will be located in Emmetsburg, Iowa. POET estimates the project will generate approximately 200 jobs during construction and 40 permanent jobs at the plant. POET estimates the project will also bring approximately $14 million in new revenue to area farmers.

"This project will help decrease our dependence on oil, create jobs and aid our transition to clean, renewable energy that is produced here at home," said Secretary Chu. "The innovations used in this project are another example of how we are seizing the opportunity to create new economic opportunities to win the clean energy future."

POET CEO Jeff Broin said he's excited POET is about to achieve its goal of bringing new renewable fuel technology to commercial scale.

"Financing has been one of the biggest challenges to scaling up cellulosic ethanol and the offer for a conditional commitment for a loan guarantee from DOE's Loan Programs Office brings us one step closer to commercial production," Broin said. "We are pleased DOE has offered to support the development of cellulosic ethanol."

"Cellulosic ethanol holds tremendous promise for America," Broin continued. "There is more than one billion tons of biomass available each year that could be used to make enough cellulosic ethanol to completely displace oil imports. Today's announcement brings us closer to making that promise into a reality."

Unlike many conventional corn ethanol plants, Project LIBERTY will use corncobs, leaves and husks – sources provided by local farmers – that do not compete with feed grains. The project's innovative process uses enzymatic hydrolysis to convert waste into ethanol and will produce enough biogas to power both Project LIBERTY and POET's adjacent grain-based ethanol plant. Project LIBERTY will displace over 13.5 million gallons of gasoline annually and fulfill more than 25 percent of the projected 2013 Renewable Fuel Standard Requirement for biomass-based cellulosic ethanol. POET plans to replicate their unique process at 27 of their other corn ethanol facilities, which would have a projected combined annual capacity of one billion gallons per year of cellulosic ethanol. The company estimates that 85 percent of Project LIBERTY will be sourced with U.S. content.

AE Biofuels Announces Acquisition of Industrial Biotechnology Company Zymetis

AE Biofuels, Inc. announced today that it has completed the acquisition of Zymetis, Inc., a Maryland-based industrial biotechnology company that develops products for the renewable chemicals and advanced fuels industries. Zymetis, Inc. will continue as a wholly-owned subsidiary of AE Biofuels.

Zymetis holds four granted patents and more than ten pending patents on the Z-microbe™, a marine organism that was originally discovered consuming plant cellulose at a high rate in the Chesapeake Bay. The genome of the Z-microbe has been fully sequenced by researchers at the University of Maryland. Zymetis’ scientists discovered that the Z-microbe naturally generates about 90 enzymes that rapidly convert sugar, starch, and cellulose into useable chemicals and fuels.

By using the genetics of plants and microbes that naturally produce specialty chemicals, the Z-microbe has been converted to produce renewable chemicals and advanced fuels from renewable feedstocks.

“Zymetis’ technology has already demonstrated the production of high-value chemicals to supply multi-billion-dollar global markets, but we lacked a commercialization platform,” said Dr. Steve Hutcheson, founder of Zymetis and a 25-year genetic biology professor at the University of Maryland. “AE Biofuels has demonstrated operational global management capability, constructed and operated advanced biofuels plants, and has already achieved success in creating and adopting new technology through the conversion of first-generation biofuels facilities.”

“The combination of AE Biofuels and Zymetis enables the launch of new specialty chemical and renewable fuels products at an accelerated rate compared to the normal product development and construction cycle of three years or more,” said Eric McAfee, chairman and CEO of AE Biofuels, Inc. “The technical and chemicals business development team at Zymetis joins almost 100 global employees at AE Biofuels who currently operate 105 million gallons per year of biofuels plant capacity in the United States and India,” McAfee added.

The technical team of Zymetis will join AE Biofuels in similar roles, and Zymetis founder Dr. Steve Hutcheson will join the board of directors of AE Biofuels.

AE Biofuels issued 6,673,555 common shares to Zymetis shareholders in the transaction, with 766,000 of the shares vesting over a three-year period.

EPA Finalizes E15 Pump Labeling Requirements

The U.S. Environmental Protection Agency (EPA) issued fuel pump labeling and other requirements for gasoline blends containing more than 10 and up to 15 percent ethanol, known as E15. These requirements will help ensure that E15 is properly labeled and used once it enters the market.

The new orange and black label must appear on fuel pumps that dispense E15. This label will help inform consumers about which vehicles can use E15. This label will also warn consumers against using E15 in vehicles older than model year 2001, motorcycles, watercraft, and gasoline-powered equipment such as lawnmowers and chainsaws.

Over the past year, EPA issued two partial waivers under the Clean Air Act that in sum allow E15 to be sold for use in model year 2001 and newer cars and light trucks. EPA based its waiver decisions on testing and analysis showing that these vehicles could continue to meet emission standards if operated on E15. However, EPA does not mandate the use of E15, nor has the agency registered the fuel, which is required before E15 can be legally sold for use in conventional vehicles.

The E15 pump label requirements, developed in coordination with the Federal Trade Commission (FTC), adopt elements of FTC’s existing labels for alternative fuels to promote consistent labeling. The rule also includes a prohibition against misfueling with E15; a requirement to track E15 and other fuels as they move through the fuel supply chain so that E15 can be properly blended and labeled; and a quarterly survey to help ensure that gas pumps dispensing E15 are properly labeled. In addition, it modifies the Reformulated Gasoline (RFG) Program to allow fuel producers to certify batches of E15 as complying with RFG standards.

This action will help to further reduce the risks of potential misfueling that could result in damage to the vehicle or equipment and in associated emission increases that pose threats to human health and the environment.

DuPont Danisco Cellulosic Ethanol (DDCE) Takes Next Step Toward Building A Commercial Scale Cellulosic Ethanol Plant

DDCE, a wholly-owned subsidiary of DuPont, has entered into an agreement to purchase a parcel of land in Nevada, Iowa, adjacent to Lincolnway Energy LLC’s conventional ethanol plant. It is DDCE’s next step toward building one of the world’s first commercial-scale biorefineries to produce fuel-grade ethanol from cellulose, in this case stover – dried cobs, stalks and leaves left after grain harvesting. DDCE is successfully producing cellulosic ethanol at its pre-commercial facility in Vonore, TN, and is scaling up the process to globally license its end-to-end production system.

“We’re producing cellulosic ethanol sustainably and economically today, and the market is ready and interested to deploy large-scale biorefineries,” says Joe Skurla, CEO of DDCE. “We are purchasing the site next to Lincolnway because it will meet the business needs for our project, and provides potential economic and environmental synergies for both facilities.” The DDCE process is designed to make fuel from a variety of cellulosic biomass. This includes wheat and corn stover, and energy crops, including switchgrass.

DDCE also is launching its 2011 Stover Collection Program to enable a cost-effective supply of stover for the biorefinery project. The company is working closely with local grain producers to obtain commitments and collect thousands of tons of stover from Iowa fields this fall. DDCE is collaborating with Pioneer Hi-Bred, also a DuPont Company, and Iowa State University, to establish best practices in harvesting, storage, and transportation, and assure the agronomic and environmental integrity of cornfields. The cellulosic ethanol industry will provide opportunities for farmers to add value to their croplands.

NCERC to Install Arisdyne’s Controlled Flow Cavitation System in Research Operations

The National Corn-to-Ethanol Research Center (NCERC) has agreed to license and support a Controlled Flow Cavitation (CFC) system from Arisdyne Systems, Inc. Arisdyne’s CFC system will be offered as an adjunct test feature of NCERC’s pilot scale ethanol test facility on the campus of Southern Illinois University Edwardsville (SUIE).

Arisdyne’s patented cavitation methods and devices were originally tested at NCERC in June and July of 2009 and early trials demonstrated ethanol yield improvements of 2-3% under low flow rate, 5 GPM, conditions. Since 2009, over five full-scale plants have installed and are testing CFC systems at flow rates of 600 -1800 GPM. These commercial tests have shown potential yield improvements of 3-5% using corn, milo, or a mix of both feedstocks.

“Arisdyne is extremely pleased that NCERC provided opportunities to advance ethanol’s position as a clean, alternative energy,” said Dr. Peter Reimers, president and CEO of Arisdyne. “We are most grateful to the many industry participants and to NCERC for the support they have provided in helping to verify the effectiveness of our technology in the laboratory and at full commercial scale. Further research involving the CFC system is expected to help the ethanol industry secure better margins, reduce energy consumption per gallon of fuel produced, and provide a pathway to hybrid production of ethanol from grain and other related fiber materials.”

“It’s small, it’s simple, it’s durable,” said John Caupert, managing director of NCERC. “That is what this industry needs. We are working on solutions that convert current starch-based ethanol plants into ‘Generation 1.5’ ethanol plants that convert not only starch but also cellulosic feedstock.”

Leading technologies like Arisdyne’s significantly reduces energy consumption, minimizes reliance on foreign-sourced oil, results in higher nutrition DDGS, and opens the doors for other related savings. With recent process enhancements, NCERC’s ethanol plant can get more ethanol from the same bushels of input grain.

Coskata Signs Letter of Intent for the Engineering, Procurement and Construction of its First Commercial Facility

Coskata, Inc., a developer of technology for the production of renewable fuels and chemicals, announced today that it has issued a Letter of Intent with Fagen, Inc. for engineering, procurement and construction services for the construction of its commercial cellulosic ethanol facility in Boligee, Alabama, that will be designed around the Coskata technology.

Fagen, Inc., the U.S. leader in construction of first-generation bio-refineries, and Harris Group Inc., a global leader in advanced biofuels engineering, will lead an EPC process that will include in its scope the project detailed design, procurement, construction and commissioning.

“After a rigorous selection process, we are pleased to announce that Fagen and Harris Group will work together to provide a facility that will be unmatched in quality, cost, and time to completion,” said William Roe, chief executive officer for Coskata, Inc. “We are confident that together with Fagen and Harris Group, we will demonstrate the value potential and long-term benefits of the Coskata technology in this exciting project.”

Coskata received a conditional commitment for a loan guarantee from the United States Department of Agriculture, and is working on the details that will be necessary to close the financing for the project. The facility will convert sustainably harvested wood biomass into ethanol, a high-octane renewable fuel, and is expected to bring approximately 300 construction jobs and 700 direct and indirect jobs to Greene County, Alabama.

“Our company has been extensively involved with ethanol plant construction, having built over half the ethanol plant production in the United States,” said Ron Fagen, Chairman of Fagen, Inc. “We are excited to work with Coskata, involving the next generation of ethanol production technology, and the continued drive toward locally produced biofuels. We look forward to excellent relations with the citizens and officials of Greene County, Alabama.”

“Harris Group is proud to have had a great working relationship with Coskata for nearly three years,” said Jim Gabriel, President of Harris Group Inc. “Our intimate familiarity with Coskata’s technology and our extensive experience in advanced biofuels commercialization will allow us to deliver a facility that can be replicated many times over around the world.”

Department of Energy to Release Oil from the Strategic Petroleum Reserve

U.S. Energy Secretary Steven Chu announced today that the U.S. and its partners in the International Energy Agency have decided to release a total of 60 million barrels of oil onto the world market over the next 30 days to offset the disruption in the oil supply caused by unrest in the Middle East. As part of this effort, the U.S. will release 30 million barrels of oil from the Strategic Petroleum Reserve (SPR). The SPR is currently at a historically high level with 727 million barrels.

"We are taking this action in response to the ongoing loss of crude oil due to supply disruptions in Libya and other countries and their impact on the global economic recovery," said Energy Secretary Steven Chu. "As we move forward, we will continue to monitor the situation and stand ready to take additional steps if necessary."

The United States has been in close contact with oil producing and consuming countries about disruptions to the international oil market that could affect the global economy. The situation in Libya has caused a loss of roughly 1.5 million barrels of oil per day - particularly of light, sweet crude - from global markets. As the United States enters the months of July and August, when demand is typically highest, prices remain significantly higher than they were prior to the start of the unrest in Libya.

The Administration will continue to consult closely with other consuming and producing countries in the period ahead. The decision today is intended to complement the production increases recently announced by a number of major oil producing countries. The United States welcomes those commitments and encourages other countries to follow suit.

Genencor Launches New Enzyme Product For Cellulosic Ethanol Production

Genencor today announced a product advancement, Accellerase® TRIO. This new product will enable biofuel producers to more cost-effectively manufacture cellulosic ethanol from a wide range of renewable nonfood feedstocks such as switchgrass, wheat straw and corn stover as well as from municipal solid waste.

“Second-generation biofuels offer important energy security, as well as economic and environmental benefits to countries such as the United States, China, India and European nations that import a majority of their oil,” said Genencor CEO Tjerk de Ruiter. “Accellerase TRIO can accelerate the commercial production of cellulosic biofuels in markets across the world, helping many countries and companies find a more sustainable alternative to petroleum.”

Accellerase TRIO allows for a low enzyme dosage to produce ethanol, helping to improve the economics of cellulosic biofuel production. Genencor has improved the effectiveness of converting biomass into sugars, a critical step in the production of cellulosic ethanol. With Accellerase TRIO, Genencor provides a combined “cocktail” of enzymes all in one product to breakdown the glucan (C6) and xylan (C5) in the biomass feedstock into fermentable sugars, thus increasing the ethanol yield per unit of feedstock. 

Ethanol producers will discover other benefits. Accellerase TRIO works with a wide variety of renewable feedstocks, allowing producers to select nonfood crops and municipal solid waste that are abundant in their region to convert to ethanol or biochemicals. In addition, Accellerase TRIO can help boost total production by lowering viscosity and enabling producers to process more biomass. 

While still in the early stages of development, cellulosic ethanol is expected to play a crucial role in providing transportation fuel in many parts of the world. In the U.S., Congress has set a goal of 36 billion gallons of renewable fuel to be produced by 2022, with much of that amount coming from second-generation ethanol.

Genencor has a 25-year history in biofuels research and development. In 2007, Genencor was the first company to launch a commercial-scale enzyme for cellulosic ethanol production, Accellerase 1000, and later the company introduced Accellerase 1500 and Accellerase DUET.

EPA Proposes 2012 Renewable Fuel Standards

The U.S. Environmental Protection Agency (EPA) today proposed the 2012 percentage standards for four fuel categories that are part of the agency’s Renewable Fuel Standard program (RFS2). EPA continues to support greater use of renewable fuels within the transportation sector every year.

The Energy Independence and Security Act of 2007 (EISA) established the annual renewable fuel volume targets, which steadily increase to an overall level of 36 billion gallons in 2022. To achieve these volumes, EPA calculates a percentage-based standard for the following year. Based on the standard, each refiner, importer, and non-oxygenate blender of gasoline or diesel determines the minimum volume of renewable fuel that it must ensure is used in its transportation fuel.

The proposed 2012 overall volumes and standards are:

Biomass-based diesel (1.0 billion gallons; 0.91 percent)
Advanced biofuels (2.0 billion gallons; 1.21 percent)
Cellulosic biofuels (3.45 - 12.9 million gallons; 0.002 – 0.010 percent)
Total renewable fuels (15.2 billion gallons; 9.21 percent)

Based on analysis of market availability, EPA is proposing a 2012 cellulosic volume that is lower than the EISA target for 2012 of 500 million gallons. EPA will continue to evaluate the market as it works to finalize the cellulosic standard in the coming months. The agency remains optimistic that the commercial availability of cellulosic biofuel will continue to grow in the years ahead.

In addition, EPA is proposing a volume requirement of 1.28 billion gallons for biomass-based diesel for 2013. EISA specifies a one billion gallon minimum volume requirement for that category for 2013 and beyond, but enables EPA to increase the volume requirement after consideration of a variety of environmental, market, and energy-related factors.

Overall, EPA’s RFS2 program encourages greater use of renewable fuels, including advanced biofuels. For 2012, the program is proposing to implement EISA’s requirement to blend more than 1.25 billion gallons of renewable fuels over the amount mandated for 2011.

BlueFire Renewables Completes Cellulosic Ethanol Plant Site Preparation

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, has completed initial site-preparation on the company's  Fulton, MS cellulosic ethanol plant.

Century Construction has completed clearing and grubbing; placed the geo-grid and fabric across the site; brought the site to grade level, and installed drainage structures prior to completion of final rough grading.  Grass and mulch were applied to establish the necessary growth for erosion control until plant construction begins.

"With support from the County of Itawamba and the City of Fulton and excellent work done by Century Construction, the Fulton site is ready for facility construction," said Arnold Klann, CEO of BlueFire Renewables, Inc. "We are happy to be working with the County and City to bring renewable fuel production into reality and, in the process, create local jobs. We are currently working on multiple pathways for financing including a pending loan guarantee application with the United States Department of Agriculture (USDA)."

"Itawamba County is very pleased to join BlueFire Renewables in the effort to alleviate our dependence on foreign fuels, preserve our environment and spur our economy. BlueFire's first phase of construction has already created 52 jobs in Fulton and, as BlueFire moves into its next phase of construction, will create numerous more," said Greg Deakle, Itawamba County Executive Director.

With this phase of construction completed, BlueFire is poised to build its first commercial facility utilizing green and wood wastes available in the region as feedstock for the production of approximately 19 million gallons of ethanol per year to help fulfill the demand under the Federal Renewable Fuel Standard established under the Energy Independence & Security Act.

Navy Successfully Operates MH 60S Seahawk Helicopter On 50/50 Blend Of Algal Derived Jet Fuel

Solazyme, Inc. announced today that the US Navy successfully demonstrated Solazyme’s 100% algal-derived jet fuel, Solajet®_HRJ-5, in an MH-60S Seahawk helicopter test flight in a 50/50 blend with petroleum-derived jet fuel. This marks the first military aircraft to fly on an algal-based jet fuel in history. This test flight preceded the historic announcement by ASTM International that it has preliminarily approved biofuel from algae and other renewable sources to be blended with traditional jet fuel on commercial flights worldwide, with formal approval expected sometime in July.

“We applaud ASTM International and the ATA and CAAFI for their efforts to advance the world’s newest and most sustainable fuels for aviation. The aviation industry has demonstrated a strong leadership position in fuel supply diversification and sustainability, and today’s announcement is a major step in its efforts to commercialize advanced low-carbon biofuels,” said Jonathan Wolfson, CEO, Solazyme.

“Solazyme is honored to be working with the US Navy and DLA-Energy in driving forward the testing and certification process for advanced biofuels. The successful flight demonstration of the Seahawk helicopter on a 50/50 blend of Solajet®_HRJ-5 and petroleum-derived jet fuel marks a significant milestone in this process, and reinforces the Navy’s commitment to securing our nation’s energy supply.”

Honeywell UOP was the refining partner on the jet fuel delivery, and has been working with Solazyme since 2009 on multiple contracts with the US military.

To date, Solazyme is the only company to provide the US Navy with microbially-derived advanced aviation and marine fuel. These advanced biofuels are drop-in replacements to petroleum-based fuel, requiring no modification to engines or military logistics infrastructure. The fuels also meet Section 526 of the Energy Independence and Security Act of 2007.

EdeniQ Licenses Yeast Technology from USDA

EdeniQ, Inc. announced yesterday that it has licensed yeast technology from the USDA Forest Products Laboratory (FPL) and the Wisconsin Alumni Research Foundation (WARF) associated with the fermentation of C5 sugars, such as xylose, to ethanol.  The license marks the culmination of the 3-year Cooperative Research and Development Agreement (CRADA) between FPL and EdeniQ.  EdeniQ plans to evaluate the yeast technology which will be showcased in EdeniQ's DOE-funded, 2 ton per day cellulosic ethanol pilot plant, which is currently under construction and scheduled for startup in Q1 2012. The two groups have also agreed to continue their R&D collaboration in yeasts under a new two-year CRADA.

"We have been pleased by the fruitful cooperation between our scientists and FPL, and its continuation under the new CRADA," said Dr. Thomas Griffin, Vice President, Technology at EdeniQ.  "The FPL technology for fermenting C5 sugars is synergistic with our current C6 yeasts and complements our integrated technology package."  

"This technology represents an important breakthrough in improving the conversion of C5 sugars to ethanol," added Dr. Thomas Jeffries, FPL's Principal Investigator and leader of the FPL team.  "We look forward to the continuing partnership with EdeniQ to enhance and commercialize these yeasts."

The USDA Forest Products Labs operates in cooperation with the University of Wisconsin-Madison. The Wisconsin Alumni Research Foundation the private, nonprofit patent and licensing organization for the University of Wisconsin-Madison, acted as licensor on behalf of FPL and the University.

Biodiesel Industry Launches First Ever National Advertising Effort

The U.S. biodiesel industry this week is launching its largest-ever public outreach effort. The paid ad buy will raise awareness of the economic, environmental and national security benefits of the nation's first and only EPA-designated advanced biofuel to reach nationwide production. 

The multi-million dollar project will include national television advertising, coupled with regional print and radio advertising as well as an online presence. The centerpiece of the education effort is a 30-second spot that will air across the nation on Sunday-morning network talk shows, beginning this Sunday, June 19^th. The ads feature the tagline, "Biodiesel. America’s Advanced Biofuel" and focus on biodiesel’s viability here and now. The television spot highlights biodiesel use in the Dallas area to demonstrate the fuel’s practical, common-sense appeal in communities across the country.   View the television commercial here: www.AmericasAdvancedBiofuel.com.        

"The public generally doesn't know that there is an advanced biofuel here now,” said Joe Jobe, CEO of the National Biodiesel Board (NBB), the industry trade association. “This is not some pipedream. Biodiesel today is fueling long-haul trucks from Florida to California, municipal buses in Texas, Ford pickups in Detroit, and Volkswagens in New York City.”

“It’s helping communities reduce air pollution while cutting greenhouse gas emissions that contribute to climate change,” Jobe said. “It’s creating jobs and economic growth while generating hundreds of millions of dollars in tax revenues. And it’s reducing our heavy dependence on foreign oil, the single largest component of our massive national trade deficit.

Biodiesel is a renewable, clean-burning diesel replacement made from an increasingly diverse mix of resources such as agricultural oils, recycled cooking oil and animal fats, with a host of potential future feedstocks such as algae under research. It is the first and only commercial-scale fuel being produced nationwide to meet the EPA’s definition as an advanced biofuel under the agency’s Renewable Fuel Program, which is aimed at spurring development of sustainable alternatives to oil.

The EPA has determined that biodiesel reduces greenhouse gas emissions by 57 percent to 86 percent compared with petroleum diesel, depending on the feedstock used. Biodiesel also has the highest energy balance of any domestic, liquid fuel, yielding 4 ½ units of energy for every unit of fossil energy it takes to produce it. The EPA also says biodiesel dramatically reduces nearly every toxic air pollutant compared with traditional diesel.

Wayne Offers Options for Indiana Corn Marketing Council Program to Encourage More Flex-Fuel Pumps in State

Wayne, a global innovator of fuel dispensers and technologies, announces its incentive program for distributors in conjunction with the Indiana Corn Marketing Council’s (ICMC) Flex Fuel Pump Program. The Flex Fuel Pump Program is a cost-sharing program that provides funding to fuel retailers to help offset the costs of flex-fuel pumps. Flex-fuel dispensers allow consumers to choose the particular blend of ethanol they wish to use to fuel their vehicles.

The Wayne Ovation Eco Fuel dispenser is an ethanol blender, which combines ethanol and gasoline in the dispenser to dispense ethanol-blended fuel in various ratios. The Wayne line of Eco Fuel dispensers is the only series with the capability to deliver a selection of ethanol blends through multiple hoses from the same dispenser in the United States.

The ICMC Flex Fuel Pump Program offers eligible fuel retailers grants that equate to 50 percent of cost or $20,000, whichever is less, for a flex-fuel pump, hardware and storage tank, or for the cost of converting an existing conventional fuel dispenser to an ethanol-blender. The ICMC program is open to both new and existing fuel retailers in Indiana. Wayne is providing additional incentives to the ICMC grant funding through the Wayne distribution channel.

“Incentive programs can assist retailers in managing the costs of new Eco Fuel equipment. Wayne understands that long-term ownership costs can be another barrier, especially in the case of alternative fuels where standards and trends are still evolving,” said Michelle Kautz, product manager for alternative energy products at Wayne. “That’s why scalability is such an important feature of the Ovation blender dispenser. It makes it possible for retailers to install Eco Fuel dispensers now, and to still have the flexibility to adapt to future changes in bio-fuel standards later without having to replace equipment.”

Blender pumps such as the Ovation Eco Fuel dispenser, give retailers the ability to serve customers with conventional-fuel vehicles as well as customers with flex-fuel vehicles, which are designed to operate on blends of up to 85 percent ethanol, from the same dispenser. Flex-fuel consumers then have the further option to choose from a variety of fuel blends, including 20 percent (E20), 30 percent (E30) and even 50 percent (E50) ethanol-to-gasoline ratio from a single dispenser. [Flex-fuel vehicles can operate on up to an 85 percent ethanol (E85) blend.]

“This is an exciting opportunity for fuel retailers, not only because they have the opportunity to obtain partial funding for these new pumps through ICMC, but also take advantage of USDA Rural Development’s current program that offers similar incentives to install flex-fuel pumps,” said Greg Noble, ICMC biofuels director. “Add to that the discounts on the pumps themselves offered by the fuel pump manufacturers and it’s a great time for them to consider adding flex-fuel pumps to their stations.”

ICMC’s Flex Fuel Pump Program can be complementary to other programs such as the USDA Rural Energy for America Program (REAP) and other regional incentives; and eligible retailers also may be able to take advantage of a federal tax credit.

New Tool Allows Solar System Owners To Share System Performance Data Via Facebook

SunReports has announced a new tool for solar system owners to share their system performance data with friends on Facebook. This marks the first time a monitoring company has provided the ability to publicly display and share system performance within the social network.

By creating a way for individual solar energy system performance to be shared via Facebook, SunReports allows individuals and businesses with solar systems to amplify the visibility of their solar installations, offers branding opportunities for solar manufacturers and installers, and facilitates global discussions about solar energy.

"Unfortunately, solar owners usually don't have much of a chance to talk about their solar energy systems with more than a few neighbors," said Thomas Dinkel, CEO of SunReports. "This tool changes that. Now, people can share – and yes, even show off  – their commitment to green energy with Facebook's 700 million users."

SunReports customers who opt into the Facebook tool can choose how frequently to post their energy data onto their Facebook Wall: daily, weekly, or monthly.  These "Energy Performance Updates" include energy equivalents to make their data more intuitive, for example equating solar energy created to miles driven in a car or tons of carbon dioxide emissions avoided.

Indiana Corn Marketing Council Announces Grants for Fuel Retailers

A new program launched by the Indiana Corn Marketing Council (ICMC) looks to give Hoosier consumers a choice at the pump when it comes to purchasing ethanol blends.

The Flex Fuel Pump Program, unveiled during the Indiana Ethanol Forum on June 9 in Indianapolis, offers cost-share dollars to fuel retailers looking to install flex fuel pumps that allow consumers to make the choice as to what blend of ethanol they want to use to fuel their flex-fuel vehicles.

“Hoosier corn farmers are working to support our state’s growing ethanol industry through our corn checkoff program,” said David Howell, ICMC vice president and farmer from Middletown, Ind. “Indiana’s ethanol industry is a driver of the state’s economy by not only providing a valuable market to our state’s corn crop, but also adding jobs to our workforce and significant contributions to our tax base, as well as improving our country’s energy security.”

Flex fuel pumps (also known as blender pumps) allow consumers the flexibility of choosing a variety of fuel blends, including blends of 20 percent (E20), 30 percent (E30), and even 50 percent (E50) ethanol-to-gasoline. Drivers of flex fuel vehicles can use up to an 85 percent (E85) blend in their cars and trucks.

“Our corn farmers understand the need to develop markets for environmentally-friendly, renewable, American-made ethanol blended fuels that provide consumers with a true choice at the fuel pump,” said Greg Noble, ICMC biofuels director. “This program is designed to add more of these pumps across the state over the next year.”

Noble said the new program benefits the consumer by giving a choice of quality and price at the pump when it comes to ethanol-blended fuel. It also allows fuel retailers to expand their fuel line-up helping them better serve their customers with flex-fuel vehicles.

The Flex Fuel Pump Program offers fuel retailers grants up to 50 percent or $20,000 (whichever is less) toward the purchase of a flex fuel pump, hardware and storage tank or the conversion of an existing pump to a blender pump. The program is open to both new and existing stations in Indiana.  

Currently, fuel dispenser manufacturer Dresser Wayne and OES, a Gilbarco supplier for Indiana and Kentucky, are also working with ICMC to support the program through equipment discounts to fuel retailers that qualify for the grants.

ICMC’s Flex Fuel Pump Program also dovetails nicely with the USDA’s Rural Energy for America Program (REAP) that is currently offering incentives to fuel station owners to install blender pumps. The USDA program, which has a deadline of June 15, 2011, has a goal of installing 10,000 flex fuel pumps nationwide within the next five years.

“This is an exciting opportunity for fuel retailers, not only because they have the opportunity to obtain partial funding for these new pumps through ICMC, but also take advantage of USDA Rural Development’s current program that offers similar incentives to install flex fuel pumps,” said Noble. “Add to that the discounts on the pumps and installation offered by partnering fuel pump manufacturers and suppliers, and it’s a great time for fuel retailers to consider adding flex fuel pumps to their stations.”

Waste Management Opens First Public Compressed Natural Gas Fueling Station in Camden

Waste Management of New Jersey celebrated the grand opening of the first public-access compressed natural gas (CNG) fueling station in Camden and announced plans to convert its regional fleet to this clean-burning, environmentally-friendly fuel.  Joining Waste Management at the event were officials from PetroCard, the City of Camden, the State of New Jersey, and the New Jersey Clean Cities Coalition.  

The new "Clean N' Green Fuel" public fueling station, to be operated by PetroCard, is the first such facility in Camden County and will sell CNG to commercial fleets as well as individuals with CNG-equipped vehicles, at prices typically one-third below the cost of gasoline and diesel.  In addition to cost savings, the U.S. Department of Energy estimates that the use of CNG reduces particulate matter emissions by 86 percent, carbon monoxide emissions by 80 percent, nitrogen oxide emissions by up to 32 percent, and greenhouse emissions by 25 percent.  As an additional benefit, CNG trucks run 50 percent quieter than diesel trucks.

Waste Management of New Jersey recently acquired 14 CNG collection trucks and expects to have 45 CNG vehicles in service by the end of the summer, representing nearly half its Camden-based fleet and covering routes in Camden, Burlington and Gloucester Counties.   Deploying these vehicles will help Waste Management achieve its sustainability goal of reducing fleet emissions by 15 percent and increasing fuel efficiency by 15 percent by 2020.    Waste Management currently operates the largest fleet of CNG recycling and waste collection trucks in North America.  

"We are dedicated to doing business in the most sustainable way possible, while providing our customers with outstanding service," said John Morris, area vice president for Waste Management of New Jersey. "Natural gas powered vehicles run cleaner and quieter, improving air quality and reducing noise pollution.  Our 45 new CNG trucks will reduce emissions equivalent to taking 3,500 gasoline-powered vehicles off the road."

"CNG is an environmentally-friendly, alternative fuel that is ready and available today," said Steve Tolton, CEO of PetroCard. "Our partnership with Waste Management has made it more convenient for fleets and consumers with CNG vehicles to reduce emissions and save money.  This fueling station will enable additional private and public fleet operators to take advantage of the economic and environmental benefits of CNG."

"The City of Camden is truly committed to cleaning up our neighborhoods and our environment," said Mayor Dana L. Redd.  "Working in partnership with Waste Management and PetroCard, today we continue to build upon our green initiatives.  From our Camden Clean Campaign, to improving our recycling collection, to our new CNG station, we are all doing our part to make our city 'Cleaner and Greener' and to move Camden forward."

CNG is sold in gasoline gallon equivalents (GGEs), with each GGE having the same energy content as a gallon of gasoline.  Vehicles using CNG typically have similar or better fuel economy ratings than standard gasoline or diesel vehicles.  Current pricing at the Camden "Clean N' Green Fuel" station is in the range of $1.759/GGE.  The self-service station will be open 24/7 and will accept major credit cards as well as PetroCard fleet cards.  

Diesel and gasoline have jumped 40 percent in price over the past year despite flat demand.  In comparison, CNG is a domestically sourced fuel with stable supplies and more predictable long-term pricing.

The Camden CNG fueling facility was built by Clean Energy.  Construction was funded by Waste Management and PetroCard with financial assistance from the New Jersey Clean Cities Coalition.

Gevo Begins Retrofit of World’s First Commercial-Scale Biobased Isobutonal Plant

Gevo, Inc. announced recently that it has begun the retrofit of its ethanol facility in Luverne, Minnesota, to produce biobased isobutanol. This milestone brings the company one step closer to commercial-scale production. The retrofit, which is expected to be complete by next summer, will make this facility the world’s first commercial-scale biobased isobutanol plant.

“Isobutanol made from renewable raw materials can be used to make a variety of everyday products such as rubber, plastics and fuel, and is a versatile solution to help displace our country’s dependency on petroleum and create a biobased economy,” said Patrick Gruber, Ph.D., CEO of Gevo. “Through this retrofit, Gevo is providing a high-value product that supports our nation’s agriculture industry.”

Biobased isobutanol has emerged as a frontrunner in the race to end the United States’ dependency on petroleum because it is a drop in replacement for a variety of products. It can be sold in the marketplace as both a solvent chemical and a fuel blendstock, or it can be converted into four carbon building blocks called butenes, which can be used to make 40 percent of all petrochemicals and a 100 percent of all hydrocarbon fuels.

Gevo acquired the Luverne, Minnesota plant, which has an isobutanol production capacity of 18 million gallons per year, from Agri-Energy LLC in September 2010. Currently, the plant has 27 employees.

Abengoa Bioenergy Completes Successful Restart of New Mexico Ethanol Facility

In the last months of 2010, Abengoa Bioenergy began hiring the more than 40 employees needed to complete the re-staffing of its ethanol production plant in Portales, New Mexico. Starting in January of this year the facility has now resumed full production operations, bringing jobs and other significant benefits to the region.

Improving markets, together with recent developments in legislation and regulatory actions which support the industry and expand ethanol blend levels, were significant factors in the decision to restart the plant. A small staff of key employees had been retained at the site, but the resumption of full scale operations will bring not only jobs, but also tremendous economic benefits from local grain purchases, feed sales, and other significant economic contributions to the area.

The Portales facility fits well with Abengoa Bioenergy’s goals to produce a more sustainable and higher value product. Ethanol produced from the facility is expected to have a higher value than ethanol produced at some other grain based facilities under the provisions of both the Energy Investment and Security Act of 2007 (which established a Renewable Fuel Standard) and under the Low Carbon Fuel Standard being implemented by the state of California. Due to its energy efficient production setup and the unique sorghum feedstock used by the plant (which is typically grown without irrigation in Roosevelt County and the surrounding region), Abengoa Bioenergy’s Portales plant is a model for sustainable American fuel production that can help rural farmers maintain their way of life while also preserving our precious water resources.

Vermont heating oil to contain biodiesel

Vermont continues the momentum for clean air policies in the North East by passing a requirement for renewable, cleaner-burning biodiesel to be used in home heating oil throughout the state.

Governor Peter Shumlin signed the Vermont Energy Act of 2011, which furthers the state's efforts to promote a green economy and energy independence. The broad-based energy legislation establishes low sulfur and biodiesel requirements for all heating oil sold in Vermont, timed to match implementation of similar legislation in surrounding states.

"This bill speaks to the North East region's continued commitment to using renewable, cleaner-burning fuels to heat their homes and businesses," said Shelby Neal, State Governmental Affairs Director for the National Biodiesel Board. "The Vermont policy builds on the strong partnership created between the home heating oil industry and the biodiesel industry to provide a more sustainable, cleaner energy solution through Bioheat^TM."

Biodiesel blends in home heating oil, a product called Bioheat, reduce particulate emissions, unburned hydrocarbons, and soot, which combine to greatly improve air quality in and around the home.

"The Legislature and Governor Shumlin backed this legislation all the way," said Netaka White, Secretary of Renewable Energy Vermont, and Bioenergy Program Director at the Vermont Sustainable Jobs Fund. "We got it done in Vermont; now it's up to the Congress to make sure every gallon of heating oil in the country contains ultra-low sulfur and clean, renewable biodiesel."

The legislation requires all heating oil sold in the state to contain a three percent biodiesel blend (B3) beginning July 2012, increasing to seven percent (B7) by 2016. Vermont becomes the ninth state in the nation to pass a statewide biodiesel requirement.

Biodiesel is an advanced biofuel made from readily available, renewable resources. It is a domestic, sustainable, cleaner-burning diesel replacement fuel that meets strict quality specifications.

UPS Begins Using Biodiesel Blend at Major U.S. Hub

What can Brown do for you?  For a start, it's making your world greener by using cleaner burning biodiesel.  The United Parcel Service began using biodiesel blends at its most vital hub in Louisville, Kentucky this month.

"There is a finite amount of petroleum-based fuel available from our planet so it is important that UPS and other companies invest in ways to use alternative fuels and technologies, including biodiesel," said Scott Wicker, UPS Chief Sustainability officer. "This project helps us reduce our dependence on fossil fuels with the added benefit that it will also reduce air pollution and carbon emissions."

UPS recently installed a biodiesel fuel tank and fueling station at its Worldport facility. It will allow fueling operators to blend specified percentages of biodiesel "on the fly," starting with 5 percent biodiesel (B5), and working up to 20 percent biodiesel (B20).

The single most important point in all of UPS's global operation, Worldport:

• Processes 416 thousand packages an hour  
• Is the size of 80 football fields
• Turns 100 aircraft a day

The 30,000 gallon biodiesel tank and station at Worldport fuels nearly 200 vehicles and diesel equipment, most of which help load packages on and off the planes.  

The National Biodiesel Board called UPS's switch to biodiesel monumental.  

"For a giant like UPS to use biodiesel is not only an outstanding vote of confidence for biodiesel, but an example of how America's first advanced biofuel will fuel the drive towards genuine corporate sustainability," said Joe Jobe, CEO of the National Biodiesel Board.  

Biodiesel blends of up to 20 percent can be used in any diesel engine without modifications, making it one of the most cost-effective ways to clean up heavy duty equipment.  

"Biodiesel supports green jobs and domestic energy security here and nationally, and we commend UPS for making biodiesel a part of its commitment to sustainability," said Melissa Howell, executive director of the Kentucky Clean Fuels Coalition.  

Biodiesel is an advanced biofuel made from readily available, renewable resources. It is drop-in diesel fuel replacement that reduces greenhouse gas by 80 percent, without negatively impacting land use or the food supply.

Iowa State Researchers Scale Up Process That Could Improve Economics Of Ethanol Production

Iowa State University's Hans van Leeuwen has moved his research team's award-winning idea for improving ethanol production from a laboratory to a pilot plant.

Now he knows the idea, which produces a new animal feed and cleans water that can be recycled back into ethanol production, works more efficiently in batches of up to 350 gallons than on a lab bench.

"We're learning we can reliably produce good quality and good quantities," said van Leeuwen, Iowa State's Vlasta Klima Balloun Professor of Engineering in the department of civil, construction and environmental engineering.

What van Leeuwen and a team of Iowa State researchers are producing is a fungus, Rhizopus oligosporus, that makes a high-quality, high-protein animal feed from the leftovers of ethanol production. The process of growing the fungus also cleans water from ethanol production so that it can be recycled back into fuel production. And the process, called MycoMeal, could one day produce a low-cost nutritional supplement for people.

The project has two patents pending and has won several major awards, including a 2008 R&D 100 Award presented by R&D Magazine, the 2008 Grand Prize for University Research presented by the American Academy of Environmental Engineers and a 2011 Honor Award in University Research from the academy. The project also contributed to R&D Magazine naming van Leeuwen its 2009 Innovator of the Year.

The research team working on the project is led by van Leeuwen and includes Nick Gabler and Mike Persia, assistant professors of animal science; Mary Rasmussen, a post-doctoral research associate in food science and human nutrition; Daniel Erickson, Christopher Koza and Debjani Mitra, graduate students; and Brandon Caldwell, a graduate of Iowa State. The project is supported by a three-year, $450,000 grant from the Iowa Energy Center and a Smithfield grant from the Office of the Iowa Attorney General. Lincolnway Energy of Nevada, Cellencor Corp. of Ames and Iowa State's Center for Crops Utilization Research and BioCentury Research Farm are also supporting the project.

Here's how their process works to improve dry-grind ethanol production:

For every gallon of ethanol produced, there are about five gallons of leftovers known as stillage. The stillage contains solids and other organic material. Most of the solids are removed by centrifugation and dried into distillers dried grains that are sold as livestock feed, primarily for cattle.

The remaining liquid, known as thin stillage, still contains some solids, a variety of organic compounds and enzymes. Because the compounds and solids can interfere with ethanol production, only about 50 percent of thin stillage can be recycled back into ethanol production. The rest is evaporated and blended with distillers dried grains to produce distillers dried grains with solubles.

The researchers add fungus to the thin stillage and it feeds and grows into a thick mass in less than a day – van Leeuwen calls it "lightning-speed farming." The fungus removes about 60 percent of the organic material and most of the solids, allowing the water and enzymes in the thin stillage to be recycled back into production.

The fungus is then harvested and dried as animal feed that's rich in protein, certain essential amino acids and other nutrients. It can also be blended with distillers dried grains to boost its value as a livestock feed and make it more suitable for feeding hogs and chickens.

Van Leeuwen said the production technology can save United States ethanol producers up to $800 million a year in energy costs. He also said the technology can produce ethanol co-products worth another $800 million or more per year, depending on how it is used and marketed.

Now that the project has moved from a campus lab to the Iowa Energy Center's BECON facility in Nevada, van Leeuwen said researchers are working to improve the process at larger scales.

"We're adding and subtracting, doing things differently and redesigning our process all the time," he said.

Even so, the process has developed enough that researchers can use simple screens to harvest pellets of the fungus from the project's 20-foot high reactor. They're feeding some of the fungus to chickens and will soon start feeding tests with hogs. A next step could be testing the fungus for human consumption. (University leaders have tried the fungi and researchers regularly eat it, van Leeuwen said.)

As the project has successfully scaled up, so has van Leeuwen's optimism that the process could help the biofuels industry.

"Implementation of this process addresses criticism of biofuels by substantially lowering energy inputs and by increasing the production of nutritious animal feed," van Leeuwen said. "The MycoMeal process could truly revolutionize the biofuels industry."

Thunderbirds Become First Department of Defense Aerial Team to Fly on Alternative Fuel

Sustainable Oils announced today that hydrotreated renewable jet fuel (HRJ) made from its camelina will power two Air Force F-16 aircraft as part of a Thunderbirds demonstration flight today at the Joint Services Open House. It is the first time renewable fuels have ever been used as part of a Department of Defense Aerial Team show. The camelina was grown and harvested in Montana, and refined into renewable jet fuel using technology from UOP, a Honeywell company.

"Today's flights mark yet another successful milestone in the commercialization of camelina-based aviation fuel," said Tom Todaro, CEO of Sustainable Oils. "In test after test, camelina-based biofuel continues to perform the same as, or better than, its petroleum counterparts. We, and our growing partners across the country, will continue to support the military's efforts to develop new, sustainable and domestic sources of jet fuel."

According to the Air Force, it has tested and certified biofuel as a 50-percent blend with regular jet fuel in the A-10 Thunderbolt II, the F-15 Eagle, the C-17 Globemaster III, and the F-22 Raptor to date. Air Force officials have stated that fleetwide certification is on track for completion in 2013. Sustainable Oils has provided nearly 500,000 gallons of camelina-based HRJ to multiple branches of the US military for its certification programs, making it the most heavily tested alternative fuel feedstock.

Camelina is the most readily available renewable fuel feedstock that meets the Air Force's criteria given that it does not compete with food crops, has been proven to reduce carbon emissions by more than 70 percent, has naturally high oil content, and requires less fertilizer and herbicides. It is an excellent rotation crop with wheat, and it can also grow on marginal land.

Landfill Gas Powers GM Orion Assembly Plant

When production of the fuel-efficient 2012 Chevrolet Sonic and Buick Verano begin this fall, 40 percent of the energy to power the General Motors Orion Assembly Plant where they are built will come from burning landfill gas created nearby.  

The use of the landfill gas, which saves GM $1.1 million a year in energy costs, also cuts the amount of greenhouse gases, sulfur dioxide and nitrogen oxides released in the air. During most of the year, the system runs exclusively on landfill gas primarily to generate steam for heating and compressed air.

"Orion is a great example of the latest technologies employed by GM manufacturing around the globe," said Eric Stevens, GM vice president of Global Manufacturing Engineering. "As we converted the facility to support the small car program, we took every opportunity to engineer in flexibility and lean manufacturing concepts."

Use of landfill gas is just one of the sustainable methods that lessen the plant's environmental impact. Others include:

• Lighting system upgrades that saved more than 5,944 megawatts of electricity per year and $430,000 while also cutting CO2 by 3,676 metric tons. Plant workers track energy use on an hourly basis with sophisticated software, enabling them to see real-time usage by department to improve their equipment shut-down activities.

• Plant workers reduced total waste by 26 percent from 2005 to 2009.

• An upgraded paint shop is heated by natural and landfill gas, and uses half of the energy per vehicle of the one it replaced. Both the Sonic and Verano use a new eco paint that eliminates the need for a primer oven and increases quality and appearance due to waterborne base coats.

"Environmentally friendly choices often translate to higher efficiency and quality," said Maureen Midgley, GM executive director of Global Manufacturing Engineering. "Take our new paint shop – it was designed for optimal efficiency and delivers premium paint appearance for our vehicles.

"With these improvements, we'll reduce greenhouse gas production by about 80,000 metric tons at a full three-shift capacity," Midgley said. "This is equivalent to the emissions from 14,000 vehicles per year, and the electricity reduction equals at the output from 3,500 homes."

Some of the diverted material is directed to the cars being made. Recycled cardboard packaging from Orion and other GM plants and used denim are part of the Verano's sound insulation.

Orion also has embraced flexible manufacturing, allowing it to quickly respond to changes in customer preferences. Production lines were reworked, creating more space to house material onsite that once took up space in other buildings. This approach reduces the overall environmental impact of the plant's material systems, but it also provides significant cost savings to the overall small car program.

The 2012 turbocharged Chevrolet Sonic is a small car available in five-door and sedan models.

The 2012 Buick Verano compact sedan includes 10 standard air bags, an available heated steering wheel and a next-generation radio system with OnStar-powered connectivity.  

Production of both vehicles will begin at Orion later this fall. They will be on sale by the end of the year.

ZeaChem Signs Feedstock Agreement with GreenWood Tree Farms to Supply its First Commercial Biorefinery

ZeaChem Inc. announced today that it has signed a long-term binding term sheet with GreenWood Tree Farm Fund (GTFF), managed by GreenWood Resources (GWR), to supply hybrid poplar woody biomass for its first commercial cellulosic biorefinery. The combination of GTFF’s existing tree farms in close proximity to the biorefinery, GWR’s world leadership in development and management of tree plantations, and ZeaChem’s highly efficient biorefinery technology will enable the supply of low-cost fermentable sugars used in the production of advanced biofuels and bio-based chemicals for years to come. ZeaChem will integrate feedstock from a portion of GTFF’s residual fiber with local agricultural residue suppliers to achieve feedstock costs 50% less compared to Brazilian sugar cane and 80% less compared to corn based processes. Through this combination of forest and agricultural residuals, ZeaChem has secured 100% of the feedstock supply for the first commercial biorefinery.

Under the agreement, GTFF will be the primary feedstock supplier for ZeaChem’s first commercial biorefinery. GTFF will supply cellulosic biomass from its existing poplar plantations to the biorefinery, offering new markets for its wood products. ZeaChem’s first commercial biorefinery is expected to have capacity of 25M gallons per year (GPY) and to be located in Boardman, Oregon.

“This landmark feedstock agreement represents a major milestone on the road to developing ZeaChem’s first commercial production facility and to become the world leader in low cost production of advanced biofuels and bio-based chemicals,” said Jim Imbler, president and chief executive officer of ZeaChem. “We are proud to have GreenWood Resources, a leading supplier of economical and sustainable cellulosic feedstock, as a partner in our commercial operation. The model we have developed provides a significant strategic advantage and is something that GWR and ZeaChem will seek to replicate around the world.”

“This agreement with ZeaChem is a significant step for GTFF and for GreenWood Resources into new markets and end-uses that closely align with our sustainability goals,” said Jeff Nuss, president and chief executive officer of GreenWood Resources. “We believe that hybrid poplars are the ideal feedstock for advanced biofuels and bio-based chemicals and look forward to continuing to grow with ZeaChem.”

ZeaChem is currently constructing a 250,000 gallon-per-year demonstration-scale biorefinery in Boardman, Ore. An existing GTFF hybrid poplar tree plantation near Boardman supplies feedstock to the facility, minimizing the transportation and logistics costs of cellulosic biofuel and bio-based chemical production. Hybrid poplar trees are an excellent cellulosic feedstock because of their high yield per acre, short rotation and ability to regenerate after harvest, providing superior economic and environmental benefits. Additional advantages of woody biomass include the ability to aggregate forestry land and the forestry industry’s common practice of signing long-term contracts.

ZeaChem’s demonstration plant in Boardman, Ore. will begin to come online in 2011. The company is now developing commercial biorefineries for the production of advanced biofuels and bio-based chemicals.

ICM Files Patent Application for Next Generation Corn Oil Separation System

ICM, Inc. announced today that it has filed a non-provisional patent application with the U.S. Patent and Trademark Office (USPTO) and an international  patent application under the Patent Cooperation Treaty (PCT) with the U.S. as receiving office, for ICM's newest development in the field of corn oil separation, its Advanced Oil System.  A petition to request participation in the USPTO's "Green Technology Pilot Program" was also filed, which allows for accelerated examination and issuance for "green" technologies.

The Advanced Oil System is ICM’s answer to today’s oil extraction challenges. The next-generation technology solves the issue of reduced corn oil yield due to emulsification -- the biggest barrier ICM and other technology providers have encountered in delivering consistently high oil recovery rates.   ICM’s proprietary Advanced Oil System design uses a novel approach to deliver a much higher conversion rate than is currently possible with first-generation oil recovery technology. 

The Advanced Oil System consists of separate skid mounted units that can be installed at plants without oil extraction technology, or as an add-on to plants that already have invested in ICM's first generation corn oil extraction equipment.   ICM is deploying its first commercial Advanced Oil System at an ICM-designed 110 MGY ethanol plant; the system was commissioned last week and is currently operating.

Chris Mitchell, Executive Vice-President of ICM stated, “We have focused our efforts on developing solutions that deliver quick payback and ongoing value-added co-product streams to the renewable energy industry. We believe our competitive advantage comes from providing our customers with a competitive advantage of their own—the highest-yielding and most reliable oil separation technology available.” 

ICM's General Counsel, Brian Burris, confirmed that the Advanced Oil System™ design and method clearly fall outside all patent claims of GreenShift Corporation's patents.  "Our patent pending system does not separate oil directly from the concentrated thin stillage.  ICM's system implements special processing to release oil from an emulsion concentrate, which results in a higher recovery of corn oil from the ethanol process." ICM now has two differentiated solutions that allow the operator to control the quantity of oil removed from the process: the Tricanter Oil Separation System and the Advanced Oil System.

Lowe's Selects Sungevity for Residential Solar Partnership

Lowe's, the world's second largest home improvement retailer, and Sungevity, the nation's fastest growing residential solar company today announced a new agreement that will offer homeowners the easiest and most affordable solar solutions in the marketplace, marking a significant step in the mainstream adoption of residential solar.  Through the agreement, Lowe's will provide consumers with Sungevity's quick, easy and proprietary iQuote, a process that utilizes satellite images and aerial photography to calculate a same-day, firm installation estimate, eliminating the need for a home visit.  As part of the interactive, in-store experience, consumers will be able to view a rendering of the proposed installation and get a firm understanding of the cost-savings related to Sungevity's innovative solar lease program.  Customers typically experience an immediate savings on their electricity bills through Sungevity's solar lease, which includes monitoring, maintenance, repairs, insurance, and a money-back performance guarantee. Additionally, as part of the agreement, Lowe's has taken an equity position in Sungevity.

"I am thrilled about the potential of reaching Lowe's 15 million weekly customers at their more than 1,750 retail locations, with Sungevity's services," said Andrew Birch, chief executive officer, Sungevity.  "This partnership marks a major acceleration point in our mission to make solar power easily accessible and affordable to homeowners nationwide."

"Lowe's has always delivered innovative energy solutions for our customers and we are seeing an increased demand for solar solutions," explained Patti Price, senior vice-president, merchandising, Lowe's.  "Lowe's new partnership with Sungevity responds to customer demand by providing a convenient and affordable process for going solar."

The partnership will commence with interactive Sungevity branded displays in select Lowe's stores, beginning Summer 2011, and continue to roll-out at all Lowe's stores in states where Sungevity provides services.  Sungevity currently operates in eight states, including Arizona, California, Colorado, Delaware, Maryland, Massachusetts, New Jersey and New York. 

U.S. Department of Energy Awards Metabolix $6 Million Grant to Develop Renewable Biofuels

Metabolix, Inc., a bioscience company focused on developing clean, sustainable solutions for plastics, chemicals and energy, today announced that the U.S. Department of Energy (DOE) has awarded the company a $6 million grant. The grant is part of the Obama administration’s $42 million research and development project fund to support the production of biofuels, bioenergy and high-value biobased products. Metabolix will use the funding to continue research of engineered switchgrass in an effort to provide a sustainable alternative to petroleum feedstocks.

For several years, Metabolix has advanced its biomass biorefinery platform using switchgrass. Under the new grant agreement, the company plans to attempt to further enhance expression of polyhydroxyalkanoates (PHAs) in switchgrass to allow co-production of chemicals and densified biomass. In addition to attempting to produce densified biomass with transportation and fuel properties closely matching coal, Metabolix also plans to further develop and scale-up its selective thermolysis process which utilizes moderate temperature to recover a new platform chemical directly from PHA containing switchgrass. This platform chemical, crotonic acid, can be readily converted through simple known chemical conversion steps to a range of commodity chemical intermediates including butanol and propylene.

“The DOE funding is another exciting step towards creating a bioenergy infrastructure that has the potential to reduce our dependence on foreign oil and increase economic development in America,” said Oliver Peoples, Ph.D., Chief Scientific Officer and vice president of Research and Development at Metabolix.

SG Biofuels Signs Customers for 250,000 Acres of JMax Hybrid Jatropha Seed

SG Biofuels today announced it has signed customers for the deployment of 250,000 acres of Jatropha using its JMax hybrid seeds.  Jatropha is a non-edible energy crop that produces large volumes of sustainable plant oil used for biodiesel, bio jet fuel and specialty chemicals.  The JMax hybrid seeds on average provide double the yield of existing commercial varieties planted in similar conditions, resulting in greater uniformity and vigor while significantly reducing seed handling and deployment costs.

"Energy companies, governments and growers are recognizing that we have entered a new era for Jatropha based on the time-honored principals of crop science, breeding, biotechnology and proper agronomics," said Kirk Haney, president and chief executive officer.  "In addition to our signed customers, we have a large global pipeline totaling more than 1 million acres of planned Jatropha projects worldwide."

The company is adding to its Jatropha crop improvement network by deploying JMax development centers in multiple locations around the world where SG Biofuels will optimize elite hybrid varieties of Jatropha that are well adapted to the specific growing conditions of its customers.  The centers feature hybrid material from the company's germplasm library totaling more than 12,000 unique genotypes.  

"Following four years of advancements, we are now able to produce high quality, elite hybrid seeds of Jatropha that far surpass the productivity and profitability of unimproved varieties," said Miguel Motta, vice president of marketing and strategy.  "Hybrid seed technology is resonating with customers because they are assured higher, more consistent yields and an economic model that truly scales."

Hybrid seed production is considered superior to other mass propagation techniques because of lower costs and improved plant performance.  Hybrid seeds have historically been responsible for significant increases in agricultural production and profitability.  Since the introduction of hybrid corn in the 1940's, along with improved agronomic practices, the average U.S. bushel per acre has increased by more than 400 percent from 30 to approximately 140.

Through its growing network of JMax centers, SG Biofuels continues to expand the regions for which JMax hybrid seeds are available.

AE Biofuels Restarts 55 Million Gallon Per Year Ethanol Production Facility In Keyes, California

AE Biofuels, Inc. announced this week that its wholly owned ethanol subsidiary AE Advanced Fuels Keyes, Inc. (AE Keyes) has restarted operations at the 55 million gallon per year ethanol production facility located in Keyes, California. Approximately 50 full time employees have been hired at the AE Keyes facility.

The original $130 million construction and commissioning of the plant was completed in November 2008 by Cilion, Inc. In early 2009 the plant was closed due to technical and market issues. AE Keyes took possession of the facility under a project agreement with Cilion in March 2010, signed a facility lease for up to five years, and funded $8 million of financing to retrofit and restart the plant.

The Keyes plant is a leader in environmentally responsible ethanol production with a 2.6:1 positive energy balance and near zero water discharge. In addition, the plant’s natural gas and steam powered turbine cogeneration unit generates all of the operating electric needs of the plant (4.3 megawatts), thus eliminating dependence on the state’s electrical grid.

AE Keyes was recently awarded a $1.88 million matching grant from the California Energy Commission (CEC) to accelerate the commercial implementation of AE Biofuels’ patent-pending, enzyme based, cellulosic ethanol production technology. The integrated cellulose/starch pre-commercial facility will be located near the 55 million gallon per year commercial ethanol facility. The CEC grant will enable the company to build upon prior enzyme optimization work conducted at its cellulose/starch pilot facility in Montana which was opened in 2008, and will help the State of California achieve the goals of the Low Carbon Fuel Standard (LCFS).

“The retrofit and restart of the Keyes plant was accomplished by a talented, dedicated management and operations team that has been expanded to more than 50 members,” said Eric McAfee, chairman and CEO of AE Biofuels, Inc. “We’re very pleased that the AE Keyes plant is now fully operational and delivering product to our California biofuels and animal feed customers."

Cellana Receives $5.5 Million USDA and Doe Grant to Develop New Algae-Based Animal Feeds as Algal Biofuel Byproduct

Cellana LLC, a leading developer of algae-based biofuels and bioproducts, has received a three-year $5.5 million grant to develop a protein supplement from algae as a byproduct of algal biofuels production and to demonstrate its nutritional and economic value in livestock feeds.

Funding is provided through the U.S. Department of Agriculture (USDA)'s National Institute of Food and Agriculture (NIFA) and the U.S. Department of Energy (DOE)'s Biomass Program through the Biomass Research and Development Initiative and will help increase the availability of alternative renewable fuels and biobased products to diversify the nation's energy resources. The award was made through a competitive selection process.

Cellana LLC, a subsidiary of Cellana, Inc. (formerly HR BioPetroleum, Inc.), will receive $5,521,173 for the project, titled "Developing a New Generation of Animal Feed Protein Supplements." Under this grant, Cornell University will be conducting large-scale animal feeding trials using algae biomass provided by Cellana to identify the most economical and efficacious strains of algae.

"Cellana is looking forward to providing affordable and nutritious food supplies from its production of marine microalgae. These bioproducts support Cellana's biorefinery business model and can help the livestock industry remain competitive in Hawaii and in other parts of the world," noted Martin Sabarsky, president and CEO of Cellana, Inc.

In addition to the new grant program, Cellana has programs with universities in the U.S. and Norway to test proteins from top candidate strains to replace fishmeal in aquaculture feed. Fishmeal protein, an increasingly unsustainable source of aquaculture feed, has reached its peak in global production and become expensive.

"Cellana is also looking forward to providing a commercially viable supply of renewable biofuel in Hawaii to help it meet its renewable energy goals. All critical elements of the company's algae cultivation technology have been demonstrated at our six-acre facility in Kona and will be incorporated at our proposed commercial plant in Maalaea, Maui. We are on track for this commercial deployment by 2014," Sabarsky added.

Biodiesel leading the way on cleaning up diesel exhaust

In advance of a congressional hearing on diesel emissions Thursday, the National Biodiesel Board (NBB) is highlighting the significant health and air quality improvements from blending biodiesel with petroleum diesel.

Emissions from traditional diesel - primarily from trucking fleets, school buses and other vehicles - are a significant health and air quality concern. In an update to its National-Scale Air Toxics Assessment earlier this year, the Environmental Protection Agency (EPA) cited diesel exhaust as one of the nation's most dangerous pollutants, saying it is "among the substances that may pose the greatest risk to the U.S. population."

Biodiesel is a clean-burning replacement fuel that can be used in existing diesel engines. Made from renewable sources such as vegetable oils, recycled cooking grease and animal fats, it is the first and only commercial-scale fuel widely used today that meets the Environmental Protection Agency's definition as an Advanced Biofuel. Along with significant reductions in greenhouse gas emissions, it dramatically reduces nearly every major toxic air pollutant, according to the EPA.

"Thousands of trucks and buses hit the road every day burning traditional diesel fuel, and using larger amounts of diesel fuel blended with biodiesel is the simplest, most effective way to immediately improve emissions," said Ben Evans, NBB's director of federal communications. "Along with creating U.S. jobs and reducing our reliance on foreign oil, improving air quality is a major reason why domestically produced biodiesel must play a critical role in the nation's fuel mix."

According to the EPA, biodiesel has the following emissions properties compared with petroleum diesel:

• Carbon Monoxide - The exhaust emissions of carbon monoxide (a poisonous gas) from biodiesel are on average 48 percent lower than carbon monoxide emissions from diesel.

• Particulate Matter - Breathing particulate has been shown to be a human health hazard. The exhaust emissions of particulate matter from biodiesel are about 47 percent lower than overall particulate matter emissions from diesel.

• Hydrocarbons - The exhaust emissions of total hydrocarbons (a contributing factor in the localized formation of smog and ozone) are on average 67 percent lower for biodiesel than diesel fuel.

• Sulfur emissions - The exhaust emissions of sulfur oxides and sulfates (major components of acid rain) from biodiesel are essentially eliminated compared to diesel.

• Nitrogen Oxides - NOx emissions from biodiesel increase or decrease depending on the engine family and testing procedures. NOx emissions (a contributing factor in the localized formation of smog and ozone) from pure (100%) biodiesel increase on average by 10 percent. However, biodiesel's lack of sulfur allows the use of NOx control technologies that cannot be used with conventional diesel. Additionally, some companies have successfully developed additives to reduce NOx emissions in biodiesel blends. Biodiesel reduces the health risks associated with petroleum diesel.

• Biodiesel emissions show decreased levels of polycyclic aromatic hydrocarbons (PAH) and nitrated polycyclic aromatic hydrocarbons (nPAH), which have been identified as potential cancer causing compounds. In Health Effects testing, PAH compounds were reduced by 75 to 85 percent, with the exception of benzo(a)anthracene, which was reduced by roughly 50 percent. Targeted nPAH compounds were also reduced dramatically with biodiesel, with 2-nitrofluorene and 1- nitropyrene reduced by 90 percent, and the rest of the nPAH compounds reduced to only trace levels.

Visit the National Biodiesel Board website for the full written testimony submitted to the Senate Committee on Environment and Public Works.

USDA Announces Project to Encourage Development of Next-Generation Biofuels

Agriculture Secretary Tom Vilsack announced today the establishment of the first Biomass Crop Assistance Program (BCAP) Project Area to promote the production of dedicated feedstocks for bioenergy. This project will help spur the development of next-generation biofuels and is part of Obama Administration efforts to protect Americans from rising gas prices by breaking the nation's dependence on foreign oil.

"Reducing our dependence on foreign oil and getting a handle on out of control gas prices will require investments in projects like we are announcing today," said Vilsack. "By encouraging production of feedstocks that can be converted into next-generation biofuels we are boosting the rural economy, creating jobs, contributing to America's energy security and protecting our planet. Investments like this spark creation of new industries and is a key part of our effort to keep America competitive and win the future."

Comprising 39 contiguous counties in Missouri and Kansas, the first BCAP Project Area proposes the enrollment of up to 50,000 acres for establishing a dedicated energy crop of native grasses and herbaceous plants (forbs) for energy purposes. Producers in the area will plant mixes of perennial native plants, such as switchgrass, for the manufacture of biomass pellet fuels and other biomass products to be used for power and heat generation. The proposed crops also will provide long term resource conserving vegetative cover. The project is a joint effort between the agriculture producers of Show Me Energy Cooperative of Centerview, Mo., and USDA to spur the expansion of domestically produced biomass feedstocks in rural America for renewable energy.

The program provides an opportunity for teams of crop producers and bioenergy facilities to submit proposals to USDA to be selected as a BCAP project area. If selected, crop producers will be eligible for reimbursements of up to 75 percent of the cost of establishing a bioenergy perennial crop, and can receive up to five years of annual payments for grassy crops (annual or perennial), and up to 15 years of annual payments for woody crops (annual or perennial). Bioenergy facilities are those facilities that produce heat, power, biobased products, or advanced biofuels from biomass feedstocks.

BCAP, created in the 2008 Farm Bill, is a primary component of the strategy to reduce U.S. reliance on foreign oil, improve domestic energy security, reduce pollution, and spur rural economic development and job creation. BCAP provides incentives to interested farmers, ranchers and forest landowners for the establishment and cultivation of biomass for heat, power, bio-based products and biofuels.

January 2011 Biodiesel Production Increases

Biodiesel production took a healthy jump in January with 31 million gallons produced, up from 17 million gallons produced in December. Biodiesel consumption also increased with 21 million gallons consumed, up from 15 million gallons consumed in December.

Source : EIA Biodiesel Overview

February 2011 Ethanol Production Drops

February ethanol production dropped to 907,000 barrels per day, down from 920,000 barrels per day in January. Total production for the month was also lower at 1,066,800,000 gallons, down from 1,198,008,000 gallons in January.

Source : Energy Information Administration

KiOR and Catchlight Energy Sign Offtake Agreement for Renewable Fuels

KiOR, Inc., a next-generation renewable fuels company, and Catchlight Energy LLC (CLE), a 50-50 joint venture between subsidiaries of Chevron Corporation and Weyerhaeuser Company focused on providing liquid transportation fuels from sustainable forest-based resources, announced today that they have signed a conditional offtake agreement for CLE to purchase gasoline and diesel fuel blendstocks from KiOR’s first commercial production facility in Columbus, Mississippi.

“This offtake agreement is the latest development in KiOR’s progress to commercialize renewable transportation fuels,” said Fred Cannon, President and CEO of KiOR. “When finalized, our agreement with Catchlight Energy will help bring KiOR’s renewable fuels to market so we can help diversify the country’s energy sources.”

CLE’s purchase of products is contingent on, among other things, satisfaction of product specification criteria and RIN certification of the products as cellulosic biofuels under the U.S. Renewable Fuel Standard. The companies have also signed a Testing and Optimization Agreement to optimize the compatibility of KiOR’s blendstocks with Chevron’s facilities.

This is the second offtake agreement KiOR has signed for its Columbus, MS, facility, having announced an agreement with Hunt Refining Company in March of 2011. KiOR expects to begin production at its Columbus facility in the second half of 2012.

Tucson Water Department and Trico Electric Dedicate 1-Megawatt SunPower Solar Power System

The City of Tucson, Ariz., Tucson Water Department, Trico Electric and SunPower Corp. today dedicated a 1-megawatt, ground-mounted solar power system, which doubles the solar power system capacity hosted by the city. The system was designed and built by SunPower on city-owned, former agricultural land located within Tucson Water Department's underground water storage and recovery facility, approximately 20 miles west of downtown Tucson.

"With these systems, Tucson is reinforcing its commitment to energy conservation, waste reduction and environmental protection. SunPower's technology will ensure that the system delivers energy in a cost effective manner that benefits the community," stated Interim Director of Tucson Water Andrew Quigley.

The City of Tucson financed the system through a power purchase agreement with SunPower. Under the terms of the agreement, Wells Fargo owns the system that SunPower designed, built, operates, and maintains. Trico Electric, the utility serving the site, provided additional funding via its SunWatts renewable energy incentive program. The city is hosting the system and buying the electricity produced by it. Trico Electric Cooperative will purchase the renewable energy credits (RECs) associated with the system. The city's cost for the energy will be competitive with its current bulk retail rate, with no initial capital investment.

"This system will reliably produce clean energy for years to come," said Jim Pape, president of SunPower's residential and commercial business group. "Tucson is leading the way in Arizona by seizing this opportunity to help meet the state's growing energy demand and renewable energy goals."

On the 10-acre site, SunPower installed a SunPower Tracker® system. The Tracker positions solar panels to follow the sun's movement during the day, increasing sunlight capture by up to 25 percent over conventional fixed-tilt systems, while significantly reducing land use requirements.

The project site is part of the city's Central Avra Valley Storage and Recovery Project (CAVSARP), a short and long-term water storage and recovery operation, utilizing water from the Central Arizona Project aqueduct and providing city residents with a renewable source of potable water.