Algae-Biodiesel Maker Raises Funds for Commercial Plant

John Davis

petroalgae2A Florida-based algae-biodiesel maker has raised funds for what it hopes will become its first commercial plant.

This story from TheAutoChannel.com says PetroAlgae Inc. has raised $10 million in capital for the project:

“The proceeds from this offering are expected to help finance the launch of PetroAlgae’s most significant milestone to-date, the commercialization of its first biodiesel product derived from algae,” said Dr. John Scott, Chairman of the Board of PetroAlgae Inc. “As a result, 2009 could represent the breakthrough year not only for PetroAlgae but for the entire biodiesel and alternative energy markets. We are pleased to be able to position PetroAlgae at the forefront of these emerging markets and look forward to providing our shareholders, employees and customers with our detailed commercialization strategy in the weeks ahead,” concluded Dr. Scott.

The money was raised through sales of stock to two existing investors.

Biodiesel

Iowa Gets First Biodiesel Blender Pump

John Davis

The folks who visit Ron’s Five Point Mart in Dubuque, Iowa will have a choice in the variety of biodiesel they put into their tanks… not just a choice of using biodiesel. The gas station has installed Iowa’s first biodiesel blender pump, which this article from the Dubuque (IA) Telegraph Herald says gives drivers a choice in what percentage of biodiesel they use in their tanks:

At a typical diesel pump, one option exists — regular diesel. Some pumps offer a biodiesel blend, as well.

But at a blender pump, diesel vehicle drivers are looking at a multiproduct dispenser that pours either B2, B5, B10 or B20.

irfa2“What this pump does is offer availability to a variety of fuels,” [Iowa Renewable Fuels Association managing director Lucy] Norton said.

The pump looks different from regular gas pumps. More buttons dot the machine, and the buttons should appear in different colors to alert customers that they are purchasing a different fuel mix.

The biodiesel blender pump was made possible, in part, thanks to a grant from the IRFA. Association officials believe this will encourage more use of biofuels.

Biodiesel

E85 Station Opens in Broomfield, CO

co-cornThe Colorado Corn Growers Association, the Governor’s Biofuels Coalition (GBC) and Western Convenience Stores partnered to celebrate the opening of a new E85 pump location at 12702 Lowell Boulevard, in Broomfield, Colorado. The station sold E85 for 85 cents per gallon during the recent grand opening festivities.

“We are glad to partner with the Governor’s Biofuels Coalition (GBC) and Western Convenience who are working to expand E85 availability throughout the state. Together, we are making a difference for Colorado’s air quality and for consumers who support renewable fuel,” says Mark Sponsler, CEO of Colorado Corn. “Western Convenience, GBC, and auto industry leaders like GM have been outstanding partners in this effort.”

This new E85 station brings the total number of E85 locations in Colorado to about 90. Western Convenience has invested in 32 of those locations throughout Colorado. Eighteen stations are reportedly adding the clean, domestically produced fuel soon.

The Colorado Corn Growers Association and GBC have provided funding and support to most of the E85 refueling sites across the state.

corn, E85, Miscellaneous, News

Eat Christmas Cookies, Save the Earth

John Davis

Christmas cookies helping you grow your spare tire a little more this season? Well, you could get that fat sucked out and made into biodiesel to power your green ride.

bittnerAccording to this article from Forbes, for a time, Beverly Hills doctor Craig Alan Bittner was turning the fat he liposuctioned from patients into biodiesel and putting it into his and his girlfriend’s SUVs:

Love handles can power a car? Frighteningly, yes. Fat–whether animal or vegetable–contains triglycerides that can be extracted and turned into diesel. Poultry companies such as Tyson are looking into powering their trucks on chicken schmaltz, and biofuel start-ups such as Nova Biosource are mixing beef tallow and pig lard with more palatable sources such as soybean oil. Mike Shook of Agri Process Innovations, a builder of biodiesel plants, says this year’s batch of U.S. biodiesel was likely more than half animal-derived since the price of soybeans soared.

A gallon of grease will get you about a gallon of fuel, and drivers can get about the same amount of mileage from fat fuel as they do from regular diesel, according to Jenna Higgins of the National Biodiesel Board. Animal fats need to undergo an additional step to get rid of free fatty acids not present in vegetable oils, but otherwise, there’s no difference, she says.

Greenies like the fact that waste, such as coffee grounds and french-fry grease, can be turned into power. “The vast majority of my patients request that I use their fat for fuel–and I have more fat than I can use,” Bittner wrote on lipodiesel.com. “Not only do they get to lose their love handles or chubby belly but they get to take part in saving the Earth.”

Now here’s the catch: it’s illegal in California to use human medical waste as fuel for vehicles. The state’s health department is looking into Bittner’s activities… some unrelated to the body-fat biodiesel processing… and a message on his company’s Web site says he’s closed his Beverly Hills office and moved to South America.

While there might be some legal issues about using your own fat to make your own biodiesel… besides the “ick” factor… the idea is good. And after all, isn’t it the thought that counts?

Please excuse me while I grab another slice of pie… I gotta do my part to build up my fat layer to eventually save the planet.

Biodiesel

IRS Offers Biodiesel, Ethanol Tax Guidance

John Davis

irslogoIn a previous post, I told you how I felt that with all the holidays and the bowl game season how this was truly the most wonderful time of the year. Unfortunately, it leads into the most DREADED time of the year… tax time. The end of the year means that lots of folks will be getting their tax information together, and the Internal Revenue Service has issued some guidance for those taking income and excise tax credits for biodiesel and cellulosic biofuels.

This article from Biodiesel Magazine has details:

Regarding biodiesel, the notice details changes made to the biodiesel and biodiesel mixture tax incentives resulting from the revision of the ASTM D 6751 standard for biodiesel. To claim these incentives, taxpayers must generally obtain from the biodiesel producer a certificate that identifies the product, and the percentage of “biodiesel and agri-biodiesel” contained within the product, according to Stoel Rives LLP. In order to complete the required certificate, the producer must certify, among other things, that the biodiesel meets ASTM D 6751 requirements. Effective Oct. 13, 2008, ASTM revised this standard by adding a cold soak filtration test for biodiesel.

According to the notice issued by the IRS, if a claim relates to the production, sales or use of biodiesel or a biodiesel blend, and the production, sale or use occurs before April 1, 2009, a certification that the biodiesel meets ASTM D 6751 requirements is valid if the biodiesel meets the requirement in effect either before or after the Oct. 13 revision. If the production, sale or use of the biodiesel or biodiesel blend occurs after April 1, a certification that the biodiesel meets ASTM D 6751 is only valid if the biodiesel meets the requirements in effect after the Oct. 13 revision, adding the cold soak filtration test for biodiesel.

Regarding cellulosic biofuels, the Food, Conservation and Energy Act of 2008 created an income tax credit for producers of certain cellulosic biofuels. Under the legislation, cellulosic biofuels are defined as any liquid fuel, other than low-proof alcohol, that is produced from any lignocellulosic or hemicellulosic matter available on a recurring basis, meeting the registration requirements for fuels and fuel additives established by the U.S. EPA under section 211 or the Clean Air Act. The credit can be claimed for qualifying cellulsoic biofuels that are produced and sold after Dec. 31, 2008, and before Jan. 1, 2013. To qualify for the credit, the producer must register with the Secretary of the Treasury.

More information is available from the IRS.

Biodiesel, Cellulosic, Ethanol, News

$1.5 Million in Grants for E85 and Biodiesel

irfa1According to AgWeb, $1.518 million in grants will be given to retailers and terminal operations for the installation of E85 and biodiesel fuels. The announcement was made by the Renewable Fuels Infrastructure Board (RFIB).

Fifteen E85 and thirteen biodiesel retailers in Iowa will be granted the funds. This will include the first biodiesel blender pump in the state. Also to recieve monies are twelve tank wagons and three biodiesel terminals.

“Iowa retailers are to be congratulated for responding to their customers’ request for E85 and biodiesel,” said Lucy Norton, Managing Director of the Iowa Renewable Fuels Association. “And the RFIB made history by awarding a grant for the state’s first biodiesel blender pump to be installed in Dubuque, which will provide truckers and motorists with a variety of biodiesel blend levels. The interest in renewable fuels infrastructure and demand for state grants exemplifies the success of this program and warrants additional funding to build greater access to renewable fuels produced here in Iowa.”

Biodiesel, E85

Bowl Game Powered by Wind

John Davis

emeraldbowlIt’s the most wonderful time of the year… when football fans like me get to feast on a cornucopia of football games! Basically, from now (and even before) until the first week in January, there will be a steady parade of college bowl games, and one I’d like to point out this year is the Emerald Bowl.

This posting from Greenbang.com says the December 27th game between the Universities of Miami and California played in San Francisco is being 100 percent powered by wind-energy credits bought by Florida Power and Light:

“College bowl games provide a platform to educate fans on climate initiatives, and we feel that the best way we can educate is to lead by example,” said Gary Cavalli, executive director of the Emerald Bowl. “With FPL Energy, we will lessen the environmental impact of the game as well as promote environmental awareness to a broad audience of sports enthusiasts.”

Befittingly, one of the participants in the game uses a mighty wind as its symbol: the Miami Hurricanes.

Wind

Military Inks $35 Mil in Algae-Biodiesel Contracts

John Davis

darpa_logoThe U.S. military has inked a pair of deals worth about $35 million to develop biodiesel made from algae.

Cleantech.com reports two San Diego companies will work on the fuel to be used by the U.S. Army and Air Force:

The Defense Advanced Research Projects Agency (DARPA) signed a $14.9 million deal with Science Applications International to work on making the algae-based jet fuel commercially and technically feasible.

DARPA also signed a $19.9 million deal with General Atomics to research algae-based fuel.

The two agreements are expected to last through 2010.

For several years, the U.S. Department of Defense has been searching for an alternative to its Jet Propellant 8 (JP-8) fuel for military jets…

DARPA says that more than 90 percent of the fuel used by the Department of Defense is JP-8, amounting to 71 million barrels and a cost of $6 billion in 2006. The kerosene-based fuel is less flammable and less hazardous than other fuel options, allowing for better safety and combat survivability.

JP-8 is a flexible fuel for military applications used in heaters, stoves, tanks, and other vehicles in military service.

Biodiesel, Government

Iowa RFA to be Lead by Biodiesel Producer

John Davis

irfaFor the first time in its history, the Iowa Renewable Fuels Association is being led by a biodiesel producer. And, another biodiesel producer is the group’s vice president.

This story from Biodiesel Magazine says Denny Mauser, with biodiesel producer Western Iowa Energy, has become president of the IRFA, and Nile Ramsbottom, with biodiesel producer REG Inc., was appointed vice president:

[IRFA Executive Director Monte] Shaw said this is the first time the IRFA will be led by a board member representing a biodiesel producer. “This does not represent a change in focus for IRFA,” he said. “Rather, it simply highlights how Iowa’s biofuels producers are working together during this difficult time to return the state’s renewable energy ag economy to the positive driving force it’s been for rural Iowa in the past.”

Other IRFA leadership positions include Quad County Corn Processors’ Mike Jerke, as IRFA secretary; Walter Wendland of ethanol producer Golden Grain Energy, treasurer; and IRFA Executive Committee Officers Bruce Rastetter of Hawkeye Renewables and Central Iowa Energy’s Jeremie Parr.

Biodiesel