Soyoil Futures Rise on Crude Oil Spike

John Davis

May soyoil futures on the Chicago Board of Trade rose to a high of 33 cents per pound Thursday.. the highest for a nearby contract in nearly three years.

Those nearby soyoil futures have appreciated more than 10% over the last three weeks. According to this AP story in the Houston Chronicle, the rise has been fueled by the jump in price for crude oil:

The resurrected crude oil market has reignited index fund buying in soyoil, said John Kleist, senior analyst with Top Third Ag Marketing in Chicago. Soyoil’s link to biodiesel is boosting it much like corn has been boosted by ethanol prices, he added.

The strength of petroleum prices has reignited confidence in the idea that usage of soyoil for biodiesel will increase, said Anne Frick, senior oilseed analyst with Prudential Financial in New York.

Tensions in the Middle East, particularly involving Iran, have fueled crude oil rallies recently and soyoil’s recent gains have coincided with those price moves, analysts said.

Biodiesel

Broin Changes Name

Cindy Zimmerman

The nation’s largest dry mill ethanol producer has changed its name from Broin to Poet ™.

According to a company release, “the change was made by the company in order to strengthen its communications, unify its several companies under one brand and better reflect its current position.”

Poet Poet President and CEO Jeff Broin said they wanted a name that would reflect the unique nature of their organization. “We wanted a name that would represent, rather than describe, who we are and what we do,” Broin said. “As a poet takes everyday words and turns them into something valuable and beautiful; we use creativity that comes from common sense to leave things better than we found them.”

In announcing the change, he said, “This company is not about one person. This company is about an unbelievable team of dedicated professionals who work together to change the world we live in. Although I plan to be part of this organization for a long time, I don’t feel that my last name is the best name to take this company through the next generation.”

The Poet name will now be on all formally-Broin companies, including:
Broin Companies, which will now be simply Poet; Broin Management, which will be Poet Plant Management; Broin & Associates, now Poet Design & Construction; Ethanol Products, now Poet Ethanol Products; Dakota Gold Marketing, which will now be called Poet Nutrition and Broin Enterprises, which will be Poet Research Center.

EPIC, Ethanol, News

Black and White and Green All Over

Cindy Zimmerman

Police car Ford Motor Company‘s new 2008 Crown Victoria Police Interceptor will be offered as a flexible fuel vehicle allowing it to operate on E85 ethanol or gasoline.

According to a news release, Ford is the largest producer and seller of police vehicles with more than 80 percent of the market. As police and government agencies move toward becoming more environmentally conscious and seek alternative fuel vehicles for their fleets, Ford is in the position to fill this need for its police customers.
Ford
“The ability to offer an E85 capable vehicle to our police customers is significant,” said Gerald Koss, Ford’s fleet marketing manager. “Many municipalities and states across the country are encouraging, if not mandating, that their police and other government fleet vehicles begin using alternative sources of fuel. We can now help our police fleet customers achieve this goal.”

Car Makers, E85, Ethanol, Flex Fuel Vehicles, News

O2 Diesel Powers SD School Buses

Cindy Zimmerman

O2DThe historic communities of Lead and Deadwood, South Dakota will be the latest to experience a promising new age in environmentally friendly school transportation. All buses in the Lead-Deadwood School District will be powered by O2Diesel(TM), a fuel blend of ethanol-diesel.

City HomeAccording to an O2 Diesel press release, “The essence of why we are using O2Diesel is we believe it is a much cleaner fuel, and the health and safety benefits for our children is our number one priority,” said Dr. Dan Leikvold, Superintendent, Lead-Deadwood School District. “In addition, the Lead-Deadwood School District wants to do its part to investigate and utilize alternative fuels.”

The introduction of this cost-effective, revolutionary fuel blend in school buses is part of the CityHome Program(TM), a national air quality initiative that enables municipal transit systems and school bus operators to make the switch to O2Diesel at no additional cost. The costs of conversion are shared by the corporate sponsors.

In partnership with the National Arbor Day Foundation, a tree will be planted in the Black Hills National Forest for each child who rides these school buses. Additional sponsors include KL Process Design Group and the Ethanol Promotion and Information Council.

Biodiesel, EPIC, Ethanol, News

Energy Department Funding

Cindy Zimmerman

DOEThe U.S. Department of Energy has announced just over $23 million in federal funding for five projects focused on developing highly efficient fermentative organisms to convert biomass material to ethanol.

According to a DOE press release, Assistant Secretary for Energy Efficiency and Renewable Energy Alexander Karsner said the projects will study ways to produce cellulosic ethanol cost-effectively. “Ultimately, success in producing cost-competitive cellulosic ethanol could be a key to breaking our nation’s addiction to oil. By relying on American farmers and ingenuity for fuel, we will enhance our nation’s energy and economic security.”

The companies to receive funding for fermentation projects are:

* Cargill Incorporated – $4.4 million
* Celunol Corporation – $5.3 million
* E.I. Dupont de Nemours & Company – $3.7 million
* Mascoma Corporation – $4.9 million
* Purdue University – $5.0 million

Cellulosic, Ethanol, News, Research

History Made at Homestead

Cindy Zimmerman

e-podcastThe IndyCar Series made history in Homestead under the lights on March 24, filling up and feeling good on 100 percent fuel grade ethanol for the first time.

This edition of “Fill up, Feel Good” includes comments from Renewable Fuels Association president Bob Dinneen, Indiana Senator Dick Lugar, IndyCar drivers Jeff Simmons, Scott Sharp and Dan Wheldon, RLR owner Bobby Rahal, ethanol industry members Dan Schwartzkopf, Dave Vander Griend, Troy Prescott and Jack Alderman and the IRL’s Tony George.

The “Fill up, Feel Good” podcast is available to download by subscription (see our sidebar link) or you can listen to it by clicking here. (6:45 MP3 File)

The Fill Up, Feel Good theme music is “Tribute to Joe Satriani” by Alan Renkl, thanks to the Podsafe Music Network.

“Fill up, Feel Good” is sponsored by the Ethanol Promotion and Information Council.

Audio, EPIC, Ethanol, Fill Up Feel Good, Indy Racing

Minnesota Biodiesel Shows Improvement

John Davis

A year ago, clogged fuel filters and angry truckers were a big part of the biodiesel scene in Minnesota, where the state had just implemented a biodiesel requirement. But according to this story in the St. Paul Pioneer Press, this past winter was much better:

Truckers in Minnesota still experienced lots of clogged fuel filters over the winter, but an extensive analysis at the University of Minnesota found that other problems – not biodiesel-related – were overwhelmingly to blame. Kelly Strebig, a U research engineer, nevertheless got an earful on the Minnesota Diesel Help Line.

“When we got the real cold weather in late January and February, then we got a lot of calls, complaints from throughout the state,” Strebig said. “Of those, we really had very few that we could trace to the biodiesel problem.”

NBB logo Nationally, “we did see sporadic incidents that had to do both with fuel quality and some handling issues,” said Jenna Higgins, a National Biodiesel Board spokeswoman. “But in general, I would say that the fuel suppliers have a heightened awareness of what it takes to produce a quality product every time. And as they become more savvy, the problems are decreasing.”

Things seem to be getting so much better, Minnesota Governor Tim Pawlenty wants to raise the state’s 2% biodiesel mandate to 5% once the last of the problems are fixed.

Biodiesel

Biodiesel Part of Latest Illinois State Agribusiness Grants

John Davis

Gov Rod Blagojevich Illinois Governor Rod Blagojevich has given out $240,000 in Opportunity Returns grants including money for a feasibility study to find new uses for a by-product of biodiesel production.

Northern Illinois University in DeKalb received $16,850, to identify and evaluate new uses for glycerin to use as an energy feedstock.

This from a governor’s press release:

“This investment demonstrates Gov. Blagojevich’s commitment to growing the renewable fuels industry,” Agriculture Director Chuck Hartke said. “In addition to the biodiesel project, funds have been awarded to help establish two facilities that will improve our ability to transport distiller’s dried grains, a by-product of the ethanol manufacturing process that can be sold and used as an animal feed.”

These AgriFIRST grants follow Blagojevich’s energy independence plan to replace 50 percent of the state’s current supply of imported oil with renewable, homegrown biofuels like ethanol and biodiesel. He has proposed investing $100 million over the next 5 years to build up to 20 new ethanol plants across Illinois and $25 million to help build five new biodiesel plants.

Biodiesel, Government

E Energy Adams Webcam Live

Chuck Zimmerman

E Energy Adams WebcamIf you’ve ever wanted to watch an ethanol plant being built, well now you can.

E Energy Adams is letting you get a very up front and personal view of their plant construction.

They’ve got a very cool live webcam set up which allows you to control it (pan, tilt, zoom, etc.). This is a still photo from earlier today. You have two choices of what kind of stream you want to view, Motion Jpeg or Mpeg-4. You can watch as the crews are hard at work. If more than one person is on at the same time it puts you into a queue so you wait your turn. Then you’ve got about a minute before your time’s up.

E Energy Adams WebcamHere’s a photo from just a few minutes ago. It doesn’t look quite as busy at night.

The mission statement for E Energy Adams says, “Our goal is to use locally grown grains to produce an environmentally friendly fuel which will add value to the local economy while generating profits for both our investor owners and area grain and livestock producers.”

Listen to an interview with E Energy Adams chairman Jack Alderman who was at the Homestead IndyCar race this past weekend. Listen to MP3 File Jack Alderman (2:30 min MP3)

Audio, Ethanol, Facilities, News, Video

New Team Ethanol Sponsors

Cindy Zimmerman

The Ethanol Promotion and Information Council (EPIC) has announced additional sponsors for the No. 17 Rahal Letterman Racing Team Ethanol 2007 IndyCar® Series season.

Team EthanolCompanies who have joined forces with the founding partners Fagen Inc., ICM Inc., and Broin Companies as major sponsors include:

Endress+Hauser Inc.
A&B Process System
E & I Specialists, Inc.
Victory Energy
Novozymes
Flottweg Separation Technology
US Water Services Pioneer

Additional sponsors are WINBO Tank; McCormick Construction; Alfa Laval; Tranter; Fremont Industries, Davenport Dryer; NY Blower; Monsanto; Eclipse Burner; Kenny Pipe & Supply; KL Process; Advance Tank; Brown Tank LLC; Invensys Foxboro Co.; J & D Construction; and Laidig Systems, Inc.

EPIC, Ethanol, Indy Racing, News