From the Birmingham (AL) News – The installation of the first ethanol-and-biodiesel-blended-fuel pumps along Interstate 65 in Alabama should begin in early 2007, state officials said Thursday.
State officials are talking with interested gasoline-selling convenience store operators and working quickly to make alternative-fuel purchase an option for drivers, said Kathy Hornsby of the Alabama Department of Economic and Development Affairs.
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The US Department of Agriculture lowered its corn production forecast Thursday by one percent from last month to 10.7 billion bushels, but that’s still the second largest crop on record. Meanwhile, the corn price forecast rose 40 cents to $2.80 to $3.20 a bushel as demand remains brisk.
Expected corn use for ethanol this year was left unchanged at 2.15 billion bushels but farmers are likely to plant more acres in corn next year because of greated demand for ethanol, according to Keith Collins, chief economist for USDA.
Increased demand for E85, biodiesel products brings need for more trains, trucks and storage. Story by David Pitt of the Associated Press.
With new ethanol and biodiesel plants going online, transportation companies are scurrying to provide the needed trains, trucks and storage tanks to keep up.
The fuel-additive industry is growing from regional to national distribution, driven by a federal renewable-fuels standard beginning in 2006 that is expected to double the use of ethanol and biodiesel by 2012.
According to the National Biodiesel Board, all of the major biodiesel producers in Minnesota are now accredited under BQ-9000, the voluntary biodiesel industry fuel quality control program.
Last week, FUMPA Biofuels of Redwood Falls, Minn., and Minnesota Soybean Processors of Brewster, Minn. became the latest accredited biodiesel producers. Metro Fuel Corp. of Brooklyn, New York also became certified as a biodiesel marketer.
There are currently three BQ-9000 certified biodiesel marketers and 14 accredited biodiesel producers. They account for more than 40 percent of the biodiesel production capacity in the U.S.
Ethanol for the 2007 IndyCar Series will be supplied by Renova Energy of Wyoming.
Ethanol Promotion and Information Council executive director Tom Slunecka made that announcement during a press conference Thursday announcing the new team for Rahal-Letterman Racing.
“Of course all of our member plants are producing the same high quality product,” said Slunecka. “But Renova Energy will actually be fueling the Indy Car Series with product coming out of their plant in Torrington, Wyoming.”
Slunecka says Renova has proven to be able to be a “strong technical partner in making sure that this fuel supply is safe and fast.”
The IndyCar Series needs to have a single consistent fuel supplier to guarantee that all cars in the league are using the same quality and grade of fuel.
Alcohol will be powering the 2007 Rahal-Letterman Racing team in more ways than one.
The number 17 Team Ethanol car will be driven once again by Jeff Simmons and sponsored, of course, by the ethanol industry. The second car in the RLR stable will be Number 8, piloted by veteran IndyCar Series driver Scott Sharp and sponsored by Patrón Spirits Company premium brand tequila.
During a press conference Thursday, Rahal-Letterman co-owner Bobby Rahal praised Jeff Simmons’ efforts this year, coming on board after the tragic death of driver Paul Dana before the first race of the season. “It was some difficult shoes to fill and he came in and with each race gained more and more confidence,” Rahal said. “And with Jeff we are fortunate to have the relationship with the ethanol industry.”
The IndyCar Series is making the switch to 100 percent ethanol in 2007 and Rahal said they have been very pleased with the results of the fuel. “Any myths that were associated with lack of performance (regarding ethanol) have been shattered.”
Driver Jeff Simmons is looking forward to his first full year with the IndyCar Series and Rahal-Letterman and said his goals for 2007 are simple, “To win races and be a good spokesman for ethanol.”
Tom Slunecka, executive director of the Ethanol Promotion and Information Council, said the ethanol industry’s partnership with Rahal-Letterman and the Indy Racing League has taken ethanol to new heights. “The ‘e’ on the side of that car is starting to represent more than just a brand for a commodity product. It really is a movement that has been strengthening, letting consumers know the performance in that Indy Car can be purchased locally at their gas station.”
Shares of Archer Daniels Midland Co. and VeraSun Energy Corp., the two biggest U.S. ethanol producers, soared on speculation that Democratic control of the U.S. House of Representatives will boost demand.
“A Democrat-led House is likely to amount to a political net plus for the ethanol industry,” Stanford Group Co. analyst Mark McMinimy wrote today in a report to clients. “The political climate for ethanol in the Congress will shift from an environment that was already favorable to one that is promising for ethanol-friendly legislation over the coming two years.”
Read more from Bloomberg.
The Chicago Tribune reports on comments from Archer Daniels Midland executives that they foresee “rapid growth in the market for gasoline blended with 10, 15 or even 20 percent concentrations of ethanol, but slower acceptance of so-called “E-85.” Read full story.
Archer Daniels Midland Company made presentations to financial analysts in Chicago Wednesday outlining plans to be the global leader in ethanol and biodiesel production, while expanding its top position in the agricultural processing value chain.
“ADM is uniquely positioned at the intersection of the world’s increasing demands for both food and fuel,” said Patricia Woertz, ADM CEO and President. “As one of the largest agricultural processors in the world and the largest biofuels producer in the world, ADM is in a category of one to capitalize on the exceptional opportunity ahead.”
Read more from ADM press release,
and Reuters report one and two.
A 40-year-old discovery is showing promise as a chemical pre-treatment that breaks down plant fiber. That could release the simple sugars in corn stalks or switchgrass so they can be fermented into ethanol. And that could add value to Iowa’s crops or the fibrous co-products of ethanol production. John Verkade, left, a University Professor of chemistry at Iowa State, and Reed Oshel, a graduate student in biorenewable resources and technology, are studying the compound which they are not identifying as they explore patent options.
Read more here from ISU.
