Biomass Bales Being Delivered to Project Liberty

Joanna Schroeder

Last fall farmers in and near Emmetsburg, Iowa were harvesting biomass. Currently, they are in the process of delivering these biomass bales to POET’s 22-acre storage site situated next to Project LIBERTY, the future 25 million gallon per year cellulosic ethanol plant.

Area farmers have harvested nearly 56,000 tons of corn cobs, leaves, husks and some stalk but had to wait to deliver the material while the USDA worked out the details of their Biomass Crop Assistance Program (BCAP). The program provides matching funds of up to $45 per ton to each grower for a maximum of two years. The goal of the program is to help farmers offset the start-up costs for developing the cellulosic feedstock market for biofuels and renewable energy.

“While we shared the farmers’ frustration with delays to BCAP, we are happy to see that the program is being implemented and farmers are now delivering biomass to POET,” Project LIBERTY Director Jim Sturdevant said. “I know they are eager to deliver their bales, just as we are eager to validate our receiving and handling procedures at the new biomass stackyard.

Sturdevant continued, “BCAP is important to helping these first farmers get the new biomass market off the ground. BCAP’s inclusion in the next Farm Bill is an important part of continuing to develop this market.”

So last week, the farmers began completing the application process and shortly thereafter, began to deliver the biomass. Biomass bales this year will be used primarily to test procedures for delivery, receiving, quality assurance, storage, and handling at the stackyard. When operational, Project LIBERTY will use about 300,000 tons of biomass annually to produce ethanol.

Cellulosic, Ethanol, POET

Algae Harvesting No Problem for Kent Bioenergy

Joanna Schroeder

One potential hurdle to the commercialization of algal fuels are how to harvest the algae. But one company believes that they already have this challenge figured out. Kent Bioenergy has been harvesting algae for years, as part of their aquaculture business that dates back the the 1970s. The original company needed to learn how to clean the water used for fish farms and the ticket to success was algae.

Fast forward to today and Kent Bioenergy, the latest iteration of the company, has developed a proprietary algae harvesting method over the past 15 years. “After watching algae being grown for the purposes of cleaning water for several years we began making observations on how algae grow, die and live,” explained Barry Toyonaga, Ph.D. who is the Chief Business Officer for the company.

“We began to notice certain trends, the ability of conditions to be manipulated on a large scale, and not employing very much energy or chemical additives, we learned how to manipulate the environment of the water so that the algae would settle. And algae don’t naturally like to settle because they need the sunlight near the surface of the water to survive. So we taught them literally, like a farmer in any kind of agriculture business teaches its crops what to do to make them more marketable, our fish farmers taught the algae what to do when we wanted it to be harvest time.”

The result was that the Kent researchers learned how to manipulate the algae to settle in the ponds and they discovered that if they placed a motorized conveyor belt at the bottom of where these algae were settling, the conveyor belt pulled these algae straight out of the water.

Toyonaga believes that his company has one of the lowest costs, if not the lowest cost method of harvesting at a scale compatible with commodity products. This is a key element if algal biofuels will be commercially viable.

To learn more about how to harvest algae, listen to my interview with Barry here. Barry Toyonaga interview

You can also view photos from my San Diego Algae Tour here.

algae, Audio, biofuels

Final Survey Winner Announced

Cindy Zimmerman

The final ZimmComm publication survey winner has been drawn and the lucky one is Rita Ruud, a nutritionist with North Dakota State University and World Dairy Diary reader. She will be receiving a check in the mail for $250 for taking just about two minutes of her time to fill out our survey and help us do a better job of serving the folks who read this on-line publication.

January was the third and final month for the ZimmComm publication survey since we have now received enough responses to make it statistically significant. We would sincerely thank everyone who took the time to help us out.

Here’s a few interesting things we learned from the survey about Domestic Fuel readers:

The largest percentage of our readers (13%) are existing biofuels producers. The next largest categories were Advertising/Marketing/Sales (9%), Consulting (8%), Engineering (7%), Consumer/General Public (7%), and Association/Organization (6%).

We had responses from 38 states the District of Columbia and Canada. Most responses came from California, South Dakota, Missouri, Minnesota, and Iowa.

Thanks again to everyone who filled out the survey!

Company Announcement

Students Show Talent in Renewable Fuels Video Contest

Cindy Zimmerman

Iowa high school students showed off their talent for video production in the first ever Iowa Renewable Fuels Association (IRFA) “Fuel the Future” video contest.

Students were challenged to create the best video highlighting the importance and benefits of renewable fuels, such as ethanol and biodiesel, to local communities, Iowa and the nation and the four winning videos were featured at the recent 5th Annual Iowa Renewable Fuels Summit. The winners were selected by a panel of five judges who combined extensive film, television, marketing, and renewable fuels expertise.

IRFA video contest winnersTreynor High School students Spencer Hawk, Alex Severn, Garrett Gibson and Conrad Sain won the $2,000 grand prize for their video entitled “Fuel of the Future” – a hilarious and clever parody of an action movie trailer. The are pictured here receiving their award.


Photos from the IOWA RENEWABLE FUELS SUMMIT

“The judges were blown away by the creativity and effort the students put into their renewable fuels videos,” said IRFA Biofuels Manager Grant Menke. “IRFA congratulates not just the winning students, but all those who participated. This was a great opportunity for students to learn about the benefits of renewable fuels and to share that knowledge with their peers and all Iowans.”
The contest was made possible by the Iowa Office of Energy Independence through funding from its Iowa Power Fund Community Grant program and the sponsorship of Faegre & Benson.

The other top winners were:
Linn-Mar High School student Sam Fathallah from Marion won the $1000 second place prize for his video called “What is Biodiesel?”
Roland-Story High School students Andrew Smith and Kendall Gustafson, both from Story City, won the $600 third place prize for their video entitled “Bio Fuel.”
South Hamilton High School student Marcus Hemphill of Jewell earned the $400 fourth place prize for his video called “The Biofuel Network.”

Most of the winning videos and qualifying entries can be viewed on IRFA’s YouTube® channel at www.youtube.com/IowaRenewableFuels.

Watch the winning video here:

Biodiesel, Ethanol, Ethanol News, Video

DF Cast: New Year, New Legislation for Ethanol, Biodiesel

John Davis

The new year brings talk of new legislation for the ethanol and biodiesel industries.

In this edition of the Domestic Fuel Cast, we talk to some of the leaders of the green fuels’ industries, as well as the head of the nation’s largest farm organization, to get their takes on what should be coming from Washington, D.C. as far as ethanol and biodiesel legislation is involved.

Comments include American Farm Bureau Federation President Bob Stallman explaining why his group wants to shift the public money away from the ethanol blender’s credit towards infrastructure, despite the fact that there are many Farm Bureau members who have ethanol interests. Retired General Wesley Clark, who serves as co-chairman of Growth Energy, a group representing ethanol interests, agrees with Stallman’s assessment of moving more money toward infrastructure. Meanwhile, Renewable Fuels Association president and CEO Bob Dinneen says the real focus needs to be on this nation’s energy policy and welcomes the debate. On the biodiesel side of the house, Chairman of the National Biodiesel Board and vice president of sales and marketing for the nation’s largest biodiesel producer, Renewable Energy Group, Gary Haer, says the green fuel enjoyed a Christmas gift with the renewal of the federal one-dollar-a-gallon biodiesel tax incentive, even though it’s set to expire again at the end of this year. And he says getting that incentive renewed is a big priority for the biodiesel industry in the coming year. Haer also talks about how the biodiesel industry needs to work on its image by making sure people know biodiesel is truly an advanced biofuel, available right now. Those efforts are helped by biodiesel’s partner, the United Soybean Board, whose chairman, Marc Curtis, a soybean grower from Mississippi, points out that biodiesel adds 25 cents to the price for every bushel of beans sold.

It’s an interesting conversation, and I’m sure we’ll hear even more during the biodiesel and ethanol industries respective conferences, both going on in Phoenix, Arizona in February. In the meantime, you can hear what these folks are saying about the legislative year to come in this edition of the Domestic Fuel Cast here. Domestic Fuel Cast

You can also subscribe to the DomesticFuel Cast here.:

Audio, Biodiesel, biofuels, Domestic Fuel Cast, Ethanol, Ethanol News, Growth Energy, Legislation, NBB, News, RFA

ACE President Wins Excellence in Ag Award

Joanna Schroeder

Lars Herseth, the American Coalition for Ethanol (ACE) Board President, has won the “Excellence in Agriculture Award” from the South Dakota Corn Growers Association & Corn Utilization Council. The award honors an outstanding leader who exemplifies excellence through significant contributions to the agriculture industry.

“On behalf of the American Coalition for Ethanol’s grassroots members across the country, I’d like to congratulate Lars Herseth upon receiving this award,” said Brian Jennings, Executive Vice President of ACE. “Lars is indeed an outstanding leader, dedicated to both agriculture and to ethanol. His contributions have greatly advanced both industries.”

Herseth is a third-generation farmer from Houghton, South Dakota. He became President of ACE in November 2009.

Ethanol

Marquis Energy Chooses GreenShift

Joanna Schroeder

Marquis Energy has signed an agreement with GreenShift Corporation to use their patented corn oil extraction technologies in their 50 million gallon per year ethanol plant in Necedah, Wisconsin. This is GreenShift’s second license with Marquis Energy, the first for their 110 million gallon per year ethanol plant in Hennepin, Illinois.

Tom Marquis, Marquis Energy’s Vice President & Marketing Manager said, “Working with GreenShift’s marketing arm has proven to be a valuable addition to our marketing strategy. Their contacts and understanding of the industry have become integral to the bottom line.”

“We truly appreciate our relationship with Marquis Energy. We have worked together to increase yields and have proven that higher yields are achievable when both parties work together,” concluded David Winsness, GreenShift’s Chief Technology Officer.

In other recent news, GreenShift received a Notice of Allowance for their corn oil extraction processes, for pending patent application number 12/559,136 titled “A Method of Recovering Oil From Thin Stillage.” The following day, the company announced that it also signed a license agreement with Calgren Renewable Fuels, a 57 million gallon per year ethanol plant located in Pixley, California.

corn, Ethanol

St. Louis Metro Area Buses Running on Biodiesel

John Davis

Some new buses in the St. Louis metro area will be running on biodiesel.

The St.Louis Post Dispatch reports Madison County Transit, just across the Mississippi River from St. Louis proper, is now using 50 new, biodiesel-burning buses to replace part of its aging fixed-route bus fleet:

They cost about $400,000 each and their purchase was made possible by federal grants and appropriations, including stimulus money, that covered more than 92 percent of the costs.

The new buses replace 30- and 40-foot buses that were purchased new in 1997. All had surpassed their useful life expectancy based on state and federal standards.

The buses are the first of their kind in the region.

Biodiesel

Companies Cite Biodiesel Incentive Renewal for Merger

John Davis

The renewal of the federal $1-a-gallon biodiesel tax break is being cited as one of the reasons for the merger of two companies set to produce the green fuel.

Ohio-based Environmental Quality Management, Inc., a provider of environmental services, and Texas biodiesel producer Beacon Energy Holdings, Inc. have announced in this press release a definitive merger agreement, expected to close sometime early next month. The new company will be re-named EQM Technologies & Energy, Inc.:

“The merger of EQM and Beacon is very synergistic. I believe EQM’s financial wherewithal, industry expertise, and core competencies should help unlock the true potential of Beacon’s biodiesel production capacity in this improved market environment for biodiesel,” said Carlos Aguero, Chairman of Beacon.

“I am very pleased with the merger of EQM and Beacon,” commented Walter H. Barandiaran, Chairman of EQM. “This merger is supported by an experienced management team, with a talented group of engineers and sales & marketing personnel, and a solid financial foundation. EQMTE represents an attractive platform with which to continue executing an aggressive acquisition program in several key areas in environmental services, clean tech, and biofuels,” he added.

Company officials say the reinstatement and extension of the biodiesel tax incentive, along with the new Renewable Fuel Standard’s (RFS-2) 800-million-gallon requirement for this year and beyond, make biodiesel much more attractive.

Biodiesel

Sugarcane Promising Source for Energy in California

Joanna Schroeder

California Ethanol & Power (CE&P) has commissioned a study to better understand the role sugarcane and sweet sorghum may play in producing ethanol and electricity for the state of California. The Economic Impact Analysis report was conducted by Solution Mountain, Inc., and sponsored in part by the Imperial Valley Economic Development Corporation along with the California Association for Local Economic Development. The goal of the report was to ascertain the economic relationship of construction-related activities and ongoing business operations with respect to jobs, gross economic output, capital income and taxes as part of CE&P’s sugarcane and sweet sorghum-to-ethanol and electricity program.

“CE&P will provide substantial economic stimulus and benefits to Imperial County, CA, which has recently shown the highest unemployment rate and lowest economic health rating in the U.S,” said Dave Rubenstein, Chief Operating Officer.

According to the analysis, the estimated benefits, measured through the construction phases and the first year of operation of CE&P’s initial plant are $946 million of gross economic output, $562 million of gross county product, $334 million of total labor income, 8,847 full and part time direct and indirect jobs, capital income of $182 million, and indirect business taxes and fees totaling $46 million, with a projected total five-year impact of more than $2 billion.

CE&P’s business strategy is to own and operate facilities that will convert sugarcane grown year round on 40,000 acres and seasonally gown sweet sorghum on 30,000 acres producing 55 million gallons of ethanol, 40.9 megawatts of electricity, and 880 million cubic feet of bio-methane per year.


Cellulosic, Electricity, Ethanol, sorghum