REG Expanding Biodiesel in the West

John Davis

regbiodieselIowa-based Renewable Energy Group (REG) is making more inroads in the Western United States as it has opened a new biodiesel terminal in Southern Colorado.

This company press release says the opening of REG’s 20,000 gallon tank in Alamosa, Colorado comes on the heels of another terminal in Ogden, Utah and will make available the company’s REG-9000TM brand biodiesel in Southern Colorado and Northern New Mexico:

REG-9000TM brand biodiesel from Renewable Energy Group® (REG®) is available at the location as part of the company’s national infrastructure plan. REG has a strategic agreement with Alta Fuels., a petroleum company and experience biodiesel marketers, to offer blending of petroleum diesel with REG-9000 biodiesel at the site.

Company officials cite the upcoming Renewable Fuels Standard (RFS) as one driver of biodiesel demand. “The RFS calls for 500 million gallons of biodiesel to be used in the U.S. in 2009. This biodiesel blending facility allows petroleum distributors in Colorado, New Mexico and throughout the Southeast to make biodiesel blends available now in preparation for implementation of the RFS later this year,” explained Renewable Energy Group’s Vice President of Sales and Marketing, Gary Haer.

Haer noted the Colorado terminal is just one piece of Renewable Energy Group’s strategic plan to increase biodiesel availability. “We are committed to meeting U.S. demand for biodiesel through infrastructure creation,” explained Haer. “REG currently markets biodiesel to all 48 continental states, and with this and other strategic terminal locations, REG is able to extend our biodiesel product offering. We aim to help our petroleum distribution customers more quickly access high quality biodiesel to meet their customers’ demands.”

There are more than 20 Renewable Energy Group biodiesel locations nationwide.

Biodiesel

New Holland Supports Biodiesel

Cindy Zimmerman

The National Biodiesel Conference is underway this week in San Francisco with the theme of “Leading Change Now.”

NBB 09 Jobe and HemphillOne of the first companies to realize biodiesel’s potential for both farmers and farm machinery was New Holland, thanks to the influence of Gene Hemphill, manager of North American Industry Affairs for the company, pictured here (right) with National Biodiesel Board CEO Joe Jobe.

Two years ago, Hemphill received the Biodiesel Innovation Award at this conference for his foresight and support of the industry, which he says goes back over 20 years. “We became involved with it when they were actually calling it soy diesel,” Gene says. “We were the first company to offer a warranty on all of our engines for 20 percent biodiesel and about a year and a half later to offer a warranty for 100 percent biodiesel in all of our engines.”

New Holland’s support for the National Biodiesel Conference includes annual sponsorship of the media room, in addition to other special treats such as the display of Jay Leno’s Eco-Jet concept car and the appearance of Rolling Stones keyboardist Chuck Leavell, who will speak about his support of renewable fuels and entertain at the Tuesday evening reception.

Listen to an interview with Gene Hemphill here: [audio:http://www.zimmcomm.biz/nbb/nbb-09-gene.mp3]

Follow all the activities at the National Biodiesel Conference this week on the conference blog.

2009 National Biodiesel Conference Photo Album

Biodiesel, Biodiesel Conference, NBB, New Holland

Ethanol Leaves Rahal-Letterman in Limbo

Cindy Zimmerman

The loss of ethanol as a sponsor has left Rahal-Letterman Racing (RLR) without a car or a driver for the upcoming IndyCar Series season, but co-owner Bobby Rahal is still looking.

bobby rahalIn a statement responding to media reports this week, Rahal said, “As of this time we do not have any sponsorship that will allow us to compete in the IRL in 2009, but by no means does that mean that we are giving up. We are continuing to search for sponsorship to run the 2009 season and to run in the Indianapolis 500 and we feel that there is still time for us to put something together that will allow that to happen.”

Rahal is still hoping the team, which does have some secondary sponsors, will at least be able to compete in the Indianapolis 500 in May if a major sponsor steps forward. But the tough economy is making it difficult to find a replacement for what amounts to a $6 million commitment.

Team EthanolRahal Letterman’s number 17 Team Ethanol car driven by Ryan Hunter-Reay won its first race last year at Watkins Glen, N.Y. Hunter-Reay was also named Indy 500 Rookie of the Year, but at this point he has no ride for the 2009 season.

RLR is co-owned by television talk show host David Letterman. The team won the 2004 Indianapolis 500 with driver Buddy Rice and brought Danica Patrick to the IRL in 2005 when she was named Rookie of the Year. Rahal himself won the Indy 500 in 1986. Rahal Letterman Racing remains committed to its programs in the Firestone Indy Lights Series as a partner with Andersen Racing, its American Le Mans Series program with BMW Rahal Letterman Racing Team as well as its new partnership with Formula BMW Americas.

Ethanol, Indy Racing, News, Racing

Ethanol 2009 Emerging Issues Forum

Cindy Zimmerman

An impressive line-up of national leaders in ethanol production, marketing, co-products, transportation, engineering, financing and environmental issues have been announced for the Ethanol 2009 Emerging Issues Forum, April 2-3 in Omaha.

NE EthanolOrganized by the Nebraska Ethanol Board, the Emerging Issues Forum is an annual regional conference for ethanol producers, marketers and related industries. Special topics this year will include ethanol policy under the new administration, innovations in corn fractionation, financial and legal issues, the blend wall, and the dynamics of RINs.

The event will be held at the Magnolia Hotel in Omaha and the deadline for room reservations in March 3.

conferences, Ethanol, News

Government Announces Biomass R&D Funding

Cindy Zimmerman

The U.S. Departments of Energy (DOE) and Agriculture (USDA) today announced up to $25 million in funding for research and development of technologies and processes to produce biofuels, bioenergy, and high-value biobased products.

USDA-DOE“These projects will be among many Obama Administration investments that will help strengthen our economy and address the climate crisis. A robust biofuels industry – focused on the next generation of biofuels – is critical to reducing greenhouse gas emissions, reducing our addiction to foreign oil and putting Americans back to work,” said Secretary of Energy Steven Chu.

“USDA is committed to research that will support President Obama’s goal of dramatically increasing the production of biofuels in the United States,” said Agriculture Secretary Tom Vilsack. “These grants will help support the development of a sustainable domestic biofuels industry by broadening the nation’s energy sources as well as improving the efficiency of renewable fuels.”

Funding is being offered for projects in three specific areas – Feedstocks development; Biofuels and biobased products development and Biofuels development analysis.

biomass, Energy, Government, News, USDA

Latest 2008 Ethanol Production Estimates

Cindy Zimmerman

Ethanol production for 2008 is still expected to have exceeded the goal of nine billion gallons for the year, but not by as much as anticipated. While the industry was on track to produce about ten billion gallons for the year, the latest figures for November indicate it will be more like 9.1 billion.

According to the Energy Information Administration (EIA), American ethanol facilities averaged 668,000 barrels (about 28 million gallons) per day. That’s about 8 million gallons per day more than November of 2007. Through November, the ethanol industry was averaging 596,000 b/d of production – which would mean about 9.1 billion for the year if December holds up to the average.

RFAThe Renewable Fuels Association reports that demand continued to outpace production for ethanol in November by about 15,000 barrels per day. Average ethanol demand for the year through November 2008 was over 26 million gallons per day.

According to RFA, the recent economic troubles have had an impact on America’s ethanol industry as they have every other sector of the American economy and they estimate that approximately 1.8 billion gallons of production capacity is currently idled.

Ethanol, News, RFA

Oregon Biodiesel Standard to Start in September

John Davis

oregondeptofagOregon could become the latest state to mandate that every gallon of diesel sold in the state have a 2 percent biodiesel blend.

As you might remember from my post last August 29, the state has a new five-million-gallon-a-year biodiesel plant run by Sequential Pacific Biodiesel, and five-million gallons is the threshold for Oregon’s mandate to kick in. This article in the Burns (OR) Times Herald says the state Department of Agriculture and Oregon Department of Energy are letting motorists know they expect the actual production to hit that mark this coming September:

“The most important thing for motorists to know is that they shouldn’t see any change to their fuel economy or their vehicle’s performance when using a 2 percent biodiesel blend,” said Stephanie Page, ODA’s renewable energy specialist.

House Bill 2210, which established Oregon’s renewable fuel standards, passed in the 2007 legislative session and was signed into law. When in-state biodiesel production, using materials from Oregon, Washington, Idaho and Montana, reaches five million gallons per year, the renewable fuel standard for biodiesel kicks in.

With the expansion of SeQuential Pacific’s biodiesel manufacturing facility in Salem, that capacity is expected to be reached sometime this summer. Ninety days after the trigger has been reached, the standard requires that only 2 percent biodiesel blends be sold. By fall, it’s likely that every licensed Oregon gas station that carries diesel must sell the 2 percent blended fuel.

The implementation of the biodiesel requirement follows last year’s implementation by ODA of the renewable fuel standard requiring 10 percent ethanol in gasoline sold in Oregon. About 1.5 billion gallons of gasoline are sold in Oregon each year and about a half billion gallons of diesel. Even though the biodiesel requirement will affect far fewer motorists, state officials want to get the word out.

Officials went on to caution retailers and wholesalers that they should clean and prep their storage tanks before receiving the blended diesel.

Biodiesel, Government

Farm Foundation to Hold Wind Energy Forum

John Davis

farmfoundationforumWind energy is an important resource for the country, and our friends at Farm Foundation are sponsoring another important conversation on the subject.

The Farm Foundation Forum: Wind Energy Issues and Challenges will be held Tuesday, February 10, 2009 from 9 to 11 am (coffee starts at 8:30 am) at the National Press Club, 529 14th Street NW, in Washington D.C.:

Presenters will be: Ian Baring-Gould, National Renewable Energy Laboratory; Peggy Beltrone, Commissioner, Cascade County, Montana; Mark Willers, MinWind, Luverne, Minn.; and John Holt, National Rural Electric Cooperative Association.

There is no charge for attending, and everyone is invited. As always, Farm Foundation hopes to get a wide variety of opinions at this forum to make sure they’re hearing real solutions… not just everyone singing from the same page. These conversations are challenging, because these days we really need ideas that challenge the norm.

If you want to attend, please RSVP by noon CST, Friday, Feb. 6, to Mary Thompson, Farm Foundation Director of Communications, mary@farmfoundation.org.

Farm Foundation, Wind

NEVC Elects New Board Members at Annual Meeting

nevcThe National Ethanol Vehicle Coalition (NEVC) recently elected five new members to three years terms on their Board of Directors. New members include: Shirley Ball of Ethanol Producers and Consumers ((EPAC) Ms. Ball was re-elected to an additional 3 year term); Don Borgman of John Deere; Tom May of MFA Oil Company; Dave Weber of Abengoa Bioenergy Trading; and DeVonna Zeug of the Minnesota Corn Growers Association.

“It is a privilege for MFA Oil to have a retailer’s voice at the table with the rest of the valued stakeholders in the efforts to reduce our dependence on foreign oil, have cleaner emissions from our transportation sector and bring economic value to our country thru the NEVC’s continued efforts to promote higher level blends of ethanol,” said Tom May, director of marketing for MFA Oil Company. MFA Oil Company operates more than 50 E85 fueling stations throughout the Missouri, Iowa and Arkansas.

The NEVC also elected officers for 2009: Bernie Punt, general manager of Siouxland Energy and Livestock Cooperative of Sioux Center, Iowa will serve as the Board Chairman. Elected as Vice-Chairman was Dwayne Siekman, executive director of the Ohio Corn Growers Association. Scott Negley, director of North America Product Management of Dresser Wayne will be serving as Secretary of the NEVC. Finally, DeVonna Zeug, a corn and soybean farmer from Walnut Grove, Minnesota, will serve as Treasurer representing the Minnesota Corn Growers Association.

“We are pleased to welcome these industry leaders as new NEVC board members,” noted Chairman of the NEVC Bernie Punt. “The NEVC provides the opportunity of bringing together a group of stakeholders that can offer unique views while working together to promote high level blends of ethanol fuel in flexible fuel vehicles. We look forward to working with each of them in advancing this goal.”

E85, Equipment, Ethanol, John Deere, National Ethanol Vehicle Coalition, News

Biodiesel is Part of a Mickey Mouse Operation

John Davis

That headline is not a slap to the green fuel. Biodiesel made from what would be waste is now fueling the trains at one of America’s most beloved theme parks.
disneytrain
This story from Orange County (CA) Register says Disneyland is now using the leftover grease from its restaurants to power its trains:

On Wednesday, the five Disneyland Railroad trains that circle a one-mile perimeter of the park began running on cleaner burning biodiesel made with oil that comes from the resort’s restaurants and hotels.

Park officials had tried a soybean-based biodiesel starting in 2007, but had to give up on that in November 2008 because of problems storing it underground.

So they regrouped while the trains went back to regular diesel fuel, then came up with the idea of recycling discarded cooking oil and turning into biodiesel for the trains.

“The improvement here is that it’s no longer using food for fuel. There are no soybeans grown in the Midwest to fuel our trains, just cooking oil that we’re already generating,” said Frank Dela Vara, Disney’s director of environmental affairs.

Barrels of discarded oil – which resembles maple syrup – are shipped to the Coachella Valley, mixed with a small portion of diesel fuel, then shipped back to Disneyland.

Park officials eventually want to run the Mark Twain paddlewheel steamboat, some cleaning equipment and light towers on the french-fry grease biodiesel.

Biodiesel