Sunoco Completes Purchase of Ethanol Plant in NY

sunocoSunoco is now the owner of a 100 million gallon per year ethanol plant in Volney, NY. Northeast Biofuels, LP was purchased $8.5 million. This ethanol production faciltiy is the largest in the Northeastern United States, where much of Sunoco’s retail gasoline network is located.

Sunoco Chairman and Chief Executive Officer Lynn Elsenhans said, “We are pleased to join the Oswego County community and look forward to playing a productive role in the region. Operating this facility, and sourcing as much corn as possible from local growers, will contribute to the region’s economy and support the creation of ‘green’ jobs.”

According to their website, as a provider of transportation fuels, Sunoco views this purchase as a first step into alternative fuels, an area of possible growth for the company that it will continue to evaluate. The group is located in Philadelphia, PA and manufactures and markets petroleum and petrochemical products. With 825,000 barrels per day of refining capacity, approximately 4,700 retail sites selling gasoline and convenience items, approximately 6,000 miles of crude oil and refined product owned and operated pipelines and 43 product terminals, Sunoco is one of the largest independent refiner-marketers in the United States. Sunoco is a significant manufacturer of petrochemicals with an annual production capacity of approximately five billion pounds, largely chemical intermediates used to make fibers, plastics, film and resins. Utilizing a unique, patented technology, Sunoco’s cokemaking facilities in the United States have the capacity to manufacture approximately 3.0 million tons annually of high-quality metallurgical-grade coke for use in the steel industry. Sunoco also is the operator of, and has an equity interest in, a 1.7 million tons-per-year cokemaking facility in Vitória, Brazil.

Ethanol

Book Review – Blue Covenant

Joanna Schroeder

blue-covenant21“Where has all the water gone?” Asks author Maude Barlow in her book, “Blue Covenant: The Global Water Crisis and the Coming Battle For the Right to Water“. Living in America, many people may not realize that water shortages are already occurring throughout the country and more are expected if we don’t modify our water footprint.

Barlow lays out three scenarios that “collude toward disaster”. Scenario one: The world is running our of freshwater. Scenario two: Every day more and more people are living without access to clean water. Scenario three: A powerful corporate water cartel has emerged to seize control of every aspect of water for its own profit.

Considering that water is essential to life, the realization that water is becoming a scare resource is quite disturbing. Barlow discusses water apartheid, which we’re seeing in third world countries; water wars which are happening throughout the world and even here in the states; virtual water trade, which describes the water used in the production of crops or manufactured goods that are then exported; and maybe most appalling, discusses whether water is a right to life. Most countries have determined that water is not a right to life but fortunately through grassroots activism, this is changing.

“Every day, the failure of our political leaders to address the global water crisis becomes more evident. Every day, the need for a comprehensive water crisis plan becomes more urgent.” says Barlow. The answer, she writes, is a Blue Covenant. Read More

book reviews

Renewable Electricity Use Continues to Grow in 2009

Joanna Schroeder

geothermalNon-hydro sources of electricity continues to gain market share according to the latest statistics published by the U.S. Energy Information Administration (EIA) in its “Electric Power Monthly” report released on June 15, 2009. The even better news is while renewable energy is growing, coal and natural gas use in steadily decreasing (five and four percent respectively) while nuclear power has remained virtually stagnant.

When comparing the first quarter of 2009 to the first quarter of 2008, renewable energy sources used for electrical production increased by 7.2 percent and accounted for 10 percent of the nation’s electrical generation. Conventional hydroelectric power increased by 4.6 percent while all other renewables combined (biomass, wind, geothermal, and solar) increased by 12.4 percent. When comparing 2009 to 2008 renewable resources have been and continue to be on a steady uphill trajactory.

“Apologists for the nuclear and fossil fuel industries persist in trying to mislead the public by repeatedly spreading the myth that renewables account for only a tiny fraction of U.S. electricity production,” comments Ken Bossong, executive director of the SUN DAY Campaign.  “However, the hard numbers document the continuing dramatic growth in renewable energy’s already-significant contribution to the nation’s electricity supply – a contribution that will eventually leave coal and nuclear behind in the dust.”

As 2009 continues, the momenteum continues to gain traction as renewables accounted for nearly 10.9 percent of net U.S. electrical generation in March 2009. Conventional hydroelectric power provided more than 6.9 percent of total U.S. electrical generation while other renewables generated almost four percent of electric power. Most notably, net generation from wind sources was 38.5 percent higher in March 2009 than it had been in March 2008.

Energy, News

FEW The Place For An Update From ACE

Chuck Zimmerman

FEWI’ll be leaving the Fuel Ethanol Workshop soon but have several interviews to post over the next several days. Today’s a travel day back home after a week on the road that included working with biodiesel in Nashville and ethanol in Denver!

In the trade show last night I ran into Brian Jennings and Ron Lamberty, American Coalition for Ethanol. Brian says that although there’s a realization that things in the industry have changed significantly since the last FEW, he senses some optimism due to what’s happening with blending economics that are making their way back into the marketplace. I also got a complete update on how things are going for the organization. He wants everyone to know that their conference will be taking place August 11-13 in Milwaukee where they’ll be tackling a lot of the issues facing the industry. In my interview with them you can hear Ron talk about the work he’s been doing on blender pumps.

2009 Fuel Ethanol Workshop Photo Album

You can listen to my interview with Brian and Ron below:

ACE, Audio, Ethanol, FEW

POET Announces POET Biomass

Chuck Zimmerman

Jeff BroinPOET CEO, Jeff Broin, announced a new division for the company this morning at the Fuel Ethanol Workshop. POET Biomass will be “a division of POET devoted to managing harvest and transportation logistics for corn cobs – POET’s cellulosic feedstock – as well as waste wood and other feedstocks to be used for cellulosic ethanol and alternative energy projects at their production facilities.”

In addition to the new division, Broin, says the company has installed an anaerobic digester at POET’s pilot cellulosic plant in Scotland, SD to create a “a self-sustaining energy cycle for producing cellulosic ethanol.”

Corn cobs at Project LIBERTY will not only be used to produce ethanol; the liquid waste will go to an anaerobic digester to power the cellulosic plant and offset natural gas usage at the attached grain ethanol plant as well. That’s renewable energy created at the plant, powering the plant and powering the adjacent facility.

2009 Fuel Ethanol Workshop Photo Album

You can listen to the full press conference below:

Audio, Cellulosic, Ethanol, FEW, POET

New Reports Show Value of Ethanol

ethanol-across-americaAccording to the Clean Fuels Development Coalition, two timely publications addressing the environment were recently released at the Fuel Ethanol Workshop by the Ethanol Across America (EAA) education campaign.

The first publication is part of the highly successful Issue Brief series which to date has covered subjects such as Net Energy Balance; Economic Impacts of Ethanol; Food, Feed and Fuel; and other areas. The latest in the series released is the Environmental Impacts of Ethanol Production.

Ethanol Across America Director Douglas A. Durante said the focus on the environment and the urgency to go green makes this is a timely publication. “As ethanol production increases in response to the Renewable Fuel Standard, it is important that people understand the environmental impacts of ethanol, and this Issue Brief should serve that purpose very well. With reduced emissions, low energy use, minimal water consumption, increasingly efficient farming practices, and a resulting low impact on land use, we have a good story to tell.”

The direct and indirect land use issue has been particularly visible of late due to proposed Environmental Protection Agency (EPA) regulations and Durante said the new White Paper also released here this week is a complimentary piece to the brief. The White Paper series is an editorial-like forum for ideas, proposals, concepts, and “think pieces” according to Durante and has featured numerous guest authors.

“Rethinking the Value of Corn Ethanol Co-Products in Lifecycle Assessments: Producing More Food and Fuel with Less Carbon” is written by Dave Vander Griend, President and CEO of ICM, Inc., one of the nation’s leading ethanol process design and engineering firms. Mr. Vander Griend makes a compelling case in the White Paper for totally rethinking the land use issue in consideration of several critical factors that EPA models and others are not considering.

“It is important we look at the net impact of corn usage for ethanol, and that net is considerably lower than what the numbers might indicate on the surface. We return 1/3 of the volume of corn back to the animal feed supply, but we are returning nearly 1/2 of the nutritional, or feeding value. The end result is that for every two bushels of feed corn we use for ethanol we are returning one back into the supply.”

Vander Griend goes on to explain in the White Paper that along with the feed value, the increased yields of corn grown per acre means that meeting the first 15 billion gallons of ethanol demand of the RFS from corn will have no land use impact in that essentially no new land is being used — and over time there will be a reduction in land use. “All of this leads to less carbon emissions, which is a fundamental objective of our energy strategy,” he said.

Environment, Ethanol, News

Bob Dinneen Energizes Ethanol Industry at FEW

Chuck Zimmerman

Bob DinneenHe preached a powerful sermon this morning. He’s the Reverend of Renewable Fuels. He’s Bob Dinneen, CEO, RFA. Bob was on our program at the opening general session of the Fuel Ethanol Workshop. This is the 25th FEW and Bob has attended 21 of them now!

As always, Bob provided a very positive outlook by starting out looking at the industry’s accomplishments in the last year.

“Look at last year – in the face of a deepening economic downturn, negative 3% growth and rising unemployment, the U.S. ethanol industry grew by 34%, 0pening 31 new plants and adding an additional 240,000 new jobs!

We produced more ethanol last year than ever before, some 9 billion gallons, and we added new markets in the southeast and northwest where the RFA had worked with the oil industry and state governments to tear down regulatory barriers to blending.

As our industry grows, we are transforming our nation’s motor fuel market, and we are transforming the rural landscape of America.”

Bob touches on carbon, critics, food vs. fuel, land use, market expansion and cellulosic. He concluded by saying:

“We may have troubles, but we in the ethanol industry have a great story to tell, a compelling case to make, new opportunities to seize, and new markets to win over.

Don’t let anybody tell you that the ethanol industry is somehow responsible for despoiling rainforests and increasing carbon. We are the only way gasoline refiners can lower the carbon footprint of their product today.

Don’t let anyone tell you ethanol is a government boondoggle, we are creating new hope, new markets for farm products, new jobs for willing workers and new opportunities for entrepreneurship in communities where people need new pathways to a better life.

Don’t let anybody tell you that the world must choose between food and fuel. Our industry is helping humanity to achieve its historic dream of an affordable, and sustainable, abundance of all the necessities of life.

And don’t let anybody tell you that cellulosic ethanol is somebody’s pipe dream. It is as real as the people in this room.

If we stick together, do our work well, and stay focused on the future, our potential is unlimited – in the near-term, the long-term, and as far as our eyes can see and our minds can imagine.

Thank you all for listening, and for the honor of being one of you.

2009 Fuel Ethanol Workshop Photo Album

You can listen to Bob’s speech below:

Audio, Ethanol, Ethanol News, FEW, RFA

Kathy Bryan Receives High Octane Award at FEW

Chuck Zimmerman

Kathy BryanThis morning, Kathy Bryan, BBI International, was presented with the FEW High Octane award for a lifetime of commitment to the industry. Unfortunately, due to health reasons, she could not be with us. It was an emotional scene as her son Tom accepted the award for her.

We got to see a short slide show of photos of Kathy from throughout her career of promoting ethanol. It was very moving. She recorded an audio statement for us to hear which I have recorded and you can listen to below.

2009 Fuel Ethanol Workshop Photo Album

Audio, FEW

General Wesley Clark Keynotes Fuel Ethanol Workshop

Chuck Zimmerman

General Wesley Clar at FEW 2009Gen. Wesley Clark, Growth Energy, provided the keynote speech this morning at the Fuel Ethanol Workshop. He gave a very “rouse the troops” speech which shows his ability to motivate our military troops when he was in active duty.

I would characterize the theme of his remarks as targeting the importance of ethanol for our national security. He also hammers home the idea that the whole issue of food vs. fuel is nonsense and that imported foreign oil is distorting our foreign policy.

FEW, Growth Energy

Mike Bryan, BBI CEO, Opens FEW 2009

Chuck Zimmerman

Mike Bryan at FEW 2009Mike Bryan, CEO, BBI International, opened the general session this morning.

He was very focused on the image of ethanol in his remarks. He says that the problems in the industry aren’t really the kinds of things that a lot of people are attributing them to but that the image of ethanol is what has hurt the industry. He issued a call to action for more people in the industry to proactively work on improving ethanol’s image, especially on the local level.

I’ve started a photo album from the conference so please feel free to check it often: 2009 Fuel Ethanol Workshop Photo Album

You can listen to Mike’s opening remarks below. I’ll also have other speaker remarks posted during the morning so keep checking in!

Audio, Ethanol, FEW