Global Ethanol recently received the rights to use new corn oil extraction technologies at a 100 million gallon ethanol plant in Lakota, Iowa.

The technology, patented by GreenShift Corporation allows first generation corn ethanol plants to tap into the existing reserve of inedible crude corn oil with an estimated industry-wide output of about 20 million barrels per year. This corn oil normally comes out in the distillers grain co-product of ethanol production, but once extracted it can be used in the production of next generation fuels, such as biodiesel, biojet fuel, and renewable diesel, thereby enhancing total fuel production from corn and increasing ethanol plant profits.

Under the terms of the agreement, Global will directly finance, build, own and operate a facility based on GreenShift’s patented corn oil extraction technologies designed to extract more than 2.2 million gallons per year of corn oil in return for an ongoing royalty payment to GreenShift equal to more than about 20 percent of the market price of the extracted corn oil at the time of shipment.