Wind Farm in Oklahoma Secures Financing

Joanna Schroeder

The 235 mW Chisholm View wind project in Garfield and Grant Counties, Oklahoma has secured nearly $220 million in project financing. Enel Green Power North America and EFS Chisholm, LLC signed a capital contribution agreement with a syndicate led by J.P. Morgan. Funds will be released during the 4th Quarter of 2012 subject to the achievement of several requirements and at this time, a tax equity agreement will be signed by the parties. There is already a long-term purchase agreement in place for the energy produced by the wind farm.

Under U.S. law, tax equity agreements allocate tax benefits from renewable energy generation companies to passive investors. The syndicate will be providing funds to the project in return for an equity interest with voting rights in the Chisholm View wind project.

Francesco Starace, Enel Green Power CEO and General Manager, said: “We are pleased about the closing of this agreement, which further demonstrates the Group’s commitment to North America. Enel Green Power has a diversified footprint in this region, in which we mainly operate hydro, wind, geothermal as well as solar capacity. We wish to expand this capacity further by leveraging on such a multi-technology approach, which, along with a presence in 16 countries, makes EGP unique in the global renewables scenario.”

Electricity, Energy, Wind

Ethanol Discussed at Clinton Global Initiative

Growth Energy CEO Tom Buis recently participated in a working group on clean fuels and transportation, emphasizing the important role of ethanol as a domestically produced energy. This occurred as leaders from across the United States gathered at the Clinton Global Initiative to discuss some of today’s most challenging problems.

During the working group, Buis highlighted the importance of American ethanol and the multifaceted benefits of a clean burning, domestically produced renewable fuel.

“Ethanol is not a political issue, it is an American one,” Buis said. “Ethanol is a true American success story and we must continue to educate the public about the tremendous benefits of ethanol. This is a domestically produced American fuel that creates jobs, stimulates our economy, revitalizes rural areas and reduces our dependence on foreign oil, and I am proud to share that message with the leaders gathered here at the Clinton Global Initiative.”

Currently, the ethanol industry supports more than 500,000 jobs, and in 2011 alone, contributed approximately $50 billion to our national gross domestic product. Today, ethanol makes up 10 percent of our nation’s fuel supply, with the ability to contribute more. As the industry awaits final clearance to introduce E15, a 15 percent blend of ethanol, into to the marketplace for consumers, estimates show an additional 136,000 jobs would be created when E15 becomes commercially available.

“We have the ability to greatly reduce our addiction to foreign oil and create jobs right here in America that cannot be outsourced,” said Buis. “By adding Flex Pumps and Flex Fuel vehicles, Americans can fill up their tanks and know that they are supporting the American economy, instead of sending their hard earned dollars overseas.”

Buis also highlighted the critical role the Renewable Fuel Standard (RFS) plays in the continued success of the ethanol industry. The RFS is the first major American energy policy implemented since the first OPEC oil embargos. In 2005, the year the RFS was first implemented, the U.S. was importing 60.3 percent of its oil, and in 2011 that number had dramatically dropped to 45 percent.

Ethanol, Growth Energy

TransFerm Yeast Product Available

Joanna Schroeder

Mascoma Corporation has released a yeast product for the ethanol industry called TransFerm that is being joint marketed by Lallemand Ethanol Technology. The product is derived using the Mascoma Grain Technology (MGT) platform. TransFerm is a drop-in substitute for fermenting yeast that according to Lallemand lowers costs for corn ethanol producers because it eliminates the need to purchase enzymes currently used in production.

“The ability of TransFerm(TM) to enhance ethanol production, combined with the complementary capabilities of our two companies, positions us for a successful commercial launch of this product,” said Bill Nankervis, President of Lallemand’s Specialty Division.

Nine corn ethanol producers participated in commercial-scale trials and produced nearly 50 million gallons of ethanol.

“We are well positioned to continue the successful commercialization of TransFerm(TM) and transform enzyme delivery in first generation ethanol,” added Bill Brady, President and CEO of Mascoma. “The commercial agreements we have in place with ethanol producers, as well as the commercial-scale trials already underway provide us with a strong foundation from which to grow.”

Ethanol

ImagineSolar CEO Speaks on Industry Careers

Speaking on the opening day of the 38th IEEE Photovoltaic Specialists Conference (PVSC), Austin Solar Day, Michael Kuhn, CEO of ImagineSolar, said the solar and smart grid industries are launching an expanding wave of new technologies and business models that are disruptive to the traditional energy industry.

The IEEE PVSC is the premier technical conference covering all aspects of PV technology from basic material science to installed system performance. Kuhn presented what is happening in the solar and smart grid industries, what is creating their growth, and what career opportunities are available now. He gave an overview of several solar career pathways. He also spoke about diverse career opportunities being created as the smart grid is implemented across the nation.

“There is a need for specialized training and continuing education to stay on top of this wave,” Kuhn said. “Career opportunities in this field are available to everyone including engineers, electricians, entrepreneurs, and other professionals.”

The solar industry has grown significantly over the past decade as the shift from nonrenewables is ugmented by the vision of a sustainable future in the U.S. The solar industry boasts a job growth rate of 6.8% annually, compared to the national employment growth rate of 0.7% (Source: The National Solar Jobs Census 2011).

Solar career opportunities include installation, production, design, sales, marketing and more. The smart grid offers new career avenues for those in information technologies, software, energy, wireless/telecom, finance, contracting, and consumer products. A CABA research study projects that by 2015, the smart grid will be approaching a $10 billion industry in North America. In 2010 it was worth only $5.6 billion. High-tech training in these clean energy careers is paramount.

View Michael Kuhn’s entire presentation.

conferences, Solar

Ethanol and Environmental Groups Unite for RFS

Cindy Zimmerman

Ethanol, environmental, science and advanced biofuels groups jointly signed a letter to Congressional leaders this week asking them to protect the Renewable Fuel Standard (RFS) and extend expiring tax incentives for cellulosic biofuels.

The letter was signed by the American Coalition for Ethanol (ACE), the Advanced Ethanol Council (AEC), the Union of Concerned Scientists (UCS), the Natural Resources Defense Council (NRDC), the Great Plains Institute, the Environmental and Energy Study Institute (EESI), the Institute for Agriculture and Trade Policy, the Advanced Biofuels Association and the Biotechnology Industry Association (BIO).

Specifically, the letter calls on Congress to leave the RFS unchanged, stating that “[a]ny effort to open up the RFS would send a chilling signal to a sector where decades-old policies and incentives continue to push investment dollars to the incumbent petroleum industry.” The group calls the RFS a “cornerstone” of the emerging advanced biofuels industry in the United States.

The letter also calls on Congress to extend existing tax incentives for cellulosic biofuels – both the Producer Tax Credit and Accelerated Depreciation – while it continues to deliberate on more comprehensive tax reform. “We support ongoing efforts to more comprehensively reform energy tax policy to level the playing field between incumbent industries and cleaner alternatives and enhance U.S. competitiveness in the global $2.4 trillion clean energy marketplace,” the letter states. The group letter adds that “[a] reformed tax policy should reflect 21st century energy challenges by complementing the RFS, rewarding environmental performance and driving innovation.”

Read the letter here.

ACE, advanced biofuels, AEC, Ethanol, Ethanol News, Government

The Future for Corn Stover in Biofuels

Cindy Zimmerman

The future of using corn stover for advanced biofuels was one of the discussion topics at last week’s Corn Utilization Technology Conference in Indianapolis.

Nathan Mosier with the Department of Agricultural & Biological Engineering at Purdue University, told the conference that the corn refining industry has done a great job of using the corn kernel to create various value-added products. He’s working on similar developments with corn stover “to break it into its constituents in a way that allows us to add value and produce more products that can be sold.”

Mosier says he’s been working with several companies, like Mascoma, that are getting close to commercial applications that would be used to make cellulosic ethanol. “We’re making a lot of advances in being able to launch the very first products, but I think there’s a lot of opportunities for higher value products that may be lower volume, but in the context of a biorefinery where we can use materials like corn stover instead of petroleum to make not only fuels, but specialty chemicals, plastics and polymers.”

Listen to an interview with Nathan Mosier from CUTC here: Interview with Nathan Mosier

2012 CUTC Photo Album

advanced biofuels, Audio, corn, CUTC, NCGA

USDA Increases Ethanol Usage Number

Cindy Zimmerman

The latest World Agricultural Supply and Demand Estimates (WASDE) are bumping up the use of corn for ethanol in the 2011-12 marketing year.

According to the June 12 report, the 50 million bushels adjustment upward to corn usage for 2011/12 reflects the latest ethanol production and trade data. “Weekly ethanol production has increased since mid-April after gradually declining from the record levels of late December,” the report states. “The higher corn use projection assumes slightly lower ethanol production during the June-August quarter as compared with the same period last year.” The total for 2011-2012 now stands at 5.05 billion bushels, higher than the 5.021 of the previous year and the projected 5.0 billion for 2012-13.

The most recent Energy Information Administration data for ethanol production, the week ending June 1, showed an average of 904,000 barrels, or 37.97 million gallons, per day. For the month of May, the four week average for ethanol production was 907,000 barrels per day, which could bring the total for the year very close to 14 billion gallons if that pace continues.

Ethanol, Ethanol News, USDA

Ethanol Safety Training in Iowa

Cindy Zimmerman

The Renewable Fuels Association (RFA), CN Railway and the Iowa Renewable Fuels Association are co-hosting two Ethanol Safety Seminars in Iowa this week. The Dubuque, IA seminar will be held Wednesday at the Dubuque County Emergency Responder Training Facility, also co-hosted by Big River United Energy. The Waterloo, IA seminar will be held Thursday at the Hawkeye Community College, also co-hosted by Homeland Energy Solutions, Golden Grain Energy, and Absolute Energy.

The goal of these seminars is for attendees to gain full ethanol emergency response training experience that they can put to use immediately in the field as well as pass along to other first response teams. A majority of this training is based on the Complete Training Guide to Ethanol Emergency Response, a training package created by the Ethanol Emergency Response Coalition (EERC) that has been distributed throughout the United States and to several countries worldwide.

Attendees will receive in-depth information on proper training techniques that first responders and hazmat personnel need to effectively respond to an ethanol-related emergency. While primarily targeting first responders, hazmat teams, safety managers, and local emergency planning committees, it is also open to the general public.

Both seminars are free and feature a morning session from 9:00am to 2:00pm and an evening session from 5:30-10:00pm. Lunch and dinner will be provided. To register for this seminar, go to www.rfa.traincaster.com.

Ethanol, Ethanol News, RFA, safety

US Ethanol Exports Trending Lower

Cindy Zimmerman

Last year was a huge year for exports of U.S. ethanol and co-products, but so far this year it appears unlikely exports will reach that same high level.

U.S. ethanol exports in 2011 totaled 1.2 billion gallons. As of April, exports stood at just under 309 million gallons, which would bring this year’s total to under a billion gallons if demand continues the same.

U.S. ethanol exports, both denatured and undenatured – non-beverage, totaled 74.4 million gallons (mg) in April, down 11% from March but in line with January and February shipments, according to government data released last week. At 54.8 mg, denatured ethanol for fuel use accounted for the majority of April exports. Canada was the top destination in April, receiving 17.7 mg. The OPEC nation of United Arab Emirates (UAE) followed closely with 17.0 mg of imports, while its Arabian Peninsula neighbor Oman brought in 15.1 mg.

Brazil imported just 5.8 mg in April, after importing 65.9 mg a year ago in April 2011 as a result of Brazil lowering its blending requirement from 25% to 20% ethanol. At the same time, the U.S. imported 9.5 mg of sugarcane ethanol from Brazil.

Meanwhile, exports of the ethanol co-product distillers grains, dipped slightly in April to 608,944 metric tons (mt). While down 5% from March, April exports were 4% above year-ago levels.

Read more from RFA’s E-xchange Blog.

Distillers Grains, Ethanol, Ethanol News, Exports

American Ethanol Sweepstakes Launched

Cindy Zimmerman

NASCAR Official Partner American Ethanol has announced a new campaign to grow more awareness among NASCAR fans about the benefits of American Ethanol.

The “American Ethanol Sweepstakes” includes a national promotion from June 8 through August 31, paid media with Turner Sports for NASCAR on TNT and NASCAR.com, race entitlement sponsorships at Iowa Speedway and Chicagoland Speedway, and experiential activation at select tracks and industry events. Additional elements of the campaign will be announced in the coming weeks.

“NASCAR is the perfect platform to dispel the myths about U.S. made ethanol,” said Tom Buis, CEO of Growth Energy. “Not only are these fans among the most brand loyal in all of sports, but they also understand the importance of creating jobs here in America that cannot be outsourced, reducing our dependence on foreign oil and using a cleaner burning fuel to protect our environment — all of which American Ethanol does.”

The campaign features Richard Childress Racing driver Austin Dillon, grandson of legendary NASCAR team owner Richard Childress. The 2011 NASCAR Camping World Truck Series driving champion and current NASCAR Nationwide Series championship contender stars in a 30-second national television commercial that highlights the benefits of U.S.-made ethanol. Fellow RCR driver Kevin Harvick also makes an appearance in the spot, which is scheduled to debut during the broadcast of the Pocono 400 NASCAR Sprint Cup Series race on TNT and is designed to drive fans to American Ethanol’s Facebook page to enter for a chance to win one of three Chevy Silverado trucks and 500 additional prizes.

By visiting Facebook.com/AmericanEthanol, NASCAR fans can learn more about American Ethanol. Additionally, Dillon will run an American Ethanol paint scheme in a RCR-prepared NASCAR Sprint Cup Series Chevrolet on June 17 at Michigan International Speedway, marking the 22-year-old driver’s first Sprint Cup Series start of the 2012 season and the second of his career.

American Ethanol, Ethanol, Growth Energy