ACE Conference to Focus on #Ethanol Plant Profits

Joanna Schroeder

During this year’s American Coalition for Ethanol (ACE) Conference, ethanol producers will learn strategies to improve their bottom line. The annual event is taking place in Minneapolis, Minnesota August 8-10, 2016. This year there will be a series of breakout sessions with technical speakers who will go in-depth about pressing ethanol industry topics.

ACE logoThe breakout sessions will kick off Tuesday, August 9, 2016 in the afternoon, following the morning general session and lunch. The first round of breakouts includes a panel on how ethanol producers can make more money by improving carbon intensity. There will also be speakers discussing compliance with the Food Safety Modernization Act, as well as an overview of safety regulations impacting ethanol production facilities.

Round two of breakouts feature a presentation by Kristy Moore, a technical expert, on fuel quality regulations impacting the future of E15 and flex fuels, a discussion of new co-processing technologies, and a session specifically-designed for plant boards of directors on how to improve the bottom line.

The final round of breakout sessions will cover policies and trends impacting global ethanol demand, another breakout specifically for boards of directors titled “Board Pitfalls: When to say no, when to seek advice, and why you can’t do it all,” and a session on how to take advantage of online/digital content to be a better advocate of ethanol in a changing world.

To learn more about the breakout sessions and conference agenda, or to register to attend the ACE Conference, click here.

ACE previously announced that the conference general session will include a panel discussion on octane, an energy market keynote by Tom Kloza for the Oil Price Information Service (OPIS), discussion of efforts underway to develop export demand for ethanol and DDGs, and a ‘Progress at the Pump’ panel featuring retailers discussing the outlook for E15 and flex fuel sales.

ACE, ACE Ethanol Conference, E15, Ethanol

Report: Crop-Based #Biofuels Don’t Impact Food Supply

Joanna Schroeder

A recently released report finds that biofuels from crops do not harm food supplies. “Reconciling food security and bioenergy: priorities for action,” was funded by the U.S. Department of Energy and the World Bank along with several other international organizations. According to the findings, “The high-profile expansion of ethanol production in the United States and Brazil, in tandem with a global price spike in food and commodities in 2007–2008, led many to contend that a causal relationship exists between biofuels expansion and food insecurity.”

coverThe report authors continue, “The apparent short-term correlations are often cited as evidence of negative impacts of biofuels on food security. There are several problems with such assertions. First, many studies attribute the food price spikes in 2008 primarily to other factors such as oil prices, economic growth, currency exchange rates and trade policies. Speculation in food commodities also contributed to price spikes in 2008 and 2011. Second, the correlations did not persist as global biofuel consumption continued to grow and cereal prices fell or showed distinct patterns over the last six years, driven by oil price, national agricultural policies and exchange rates.”

The research identified several conclusions, one being that while the 2012 U.S. drought caused some ethanol plants to reduce output or temporarily shut:

“[t]hanks, in part, to the ethanol ‘supply cushion’ and market flexibility, there was not a notable jump in commodity prices as the 2012–2013 crop was harvested, despite a drought affecting 80% of U.S. agricultural land.”

“These findings reflect what the U.S. ethanol industry has been saying for some time — there is no correlation between the growth of biofuels and food supplies,” said Renewable Fuels Association (RFA) President and CEO Bob Dinneen. “Last year, farmers harvested a corn crop of 13.6 billion bushels, the third-largest ever. When grain stocks and ethanol co-products are properly considered, more grain is available for food and feed today than ever before. Meantime, one-third of every bushel of grain that enters the ethanol process is enhanced and returned to the feed market, most often in the form of distillers grains, corn gluten feed and corn gluten meal.”

Dinneen concluded, “This report should end the debate with those that continue to perpetuate the outdated and inaccurate ‘food versus fuel’ myth. There is clearly more than enough ethanol to feed and fuel the world.”

advanced biofuels, biofuels, corn, Ethanol, food and fuel, Research, RFA

American Ethanol E15 250 NASCAR Race Preview

Joanna Schroeder

The American Ethanol E15 250 presented by Enogen is set to hit the track this weekend at Iowa Speedway in Newton. The race, where all drivers compete using E15, a 15 percent ethanol blend, leaves the starting line on Sunday, June 19 at 12:30 pm CT. The NASCAR XFINITY Series race is part of Wide Opening Weekend at the speedway and this is the fifth consecutive year that American Ethanol and Enogen have sponsored the race. To get the scoop on events this weekend, I was able to speak with Chris Tingle, head of marketing for Enogen at Syngenta via Skpye.

American-Ethanol-E15-250-presented-by-Enogen-Event-LogoHe said that this race in particular, but the series in general, has had a great effect on getting the benefits of ethanol in front of consumers. The race is also a great way to mingle with growers who use Enogen corn or are considering making the switch to the technology that is specifically designed for ethanol production. For those attending the race, if you look outside the gate as you enter the track they will have a tailgating tent with beverages, snacks and prizes. They will have a second area set up inside the track as well.

Tingle explains that when planting the Enogen trait, not only does the grower see some positive benefits, like less use of water among others, when it is used in the ethanol production process, the Enogen corn serves as the enzyme, thus eliminating the need to add a separate enzyme to the process. This reduces costs while increasing efficiency and ultimately for the ethanol producer, saves money. “it’s a win, win, win,” says Tingle.

Syngenta has always been committed to growers and since the explosion of the ethanol industry, the company has been a champion of support. Tingle says that they created a program where they donated $1 for every acre planted with Enogen corn enzyme technology. Over the past several years, more than $600,000 has been donated to the Prime the Pump program that assists retailers install infrastructure to see higher blends of ethanol. Checks as part of the program were presented at previous races. In addition there will be an announcement on another ethanol-Enogen program during the race.

“Syngenta is committed beyond our product. We see the ethanol industry as a needed market for U.S. corn growers. Literally 35-40 percent of corn grown in the U.S. goes to ethanol and if we don’t support and sustain the industry, we just lost a market opportunity for growers and the ethanol industry is general, says Tingle.

To learn more about Syngenta’s sponsorship, the American Ethanol E15 250 presented by Enogen and what to expect this weekend, and more about Enogen, listen to my interview with Chris Tingle:
Prerace Interview with Chris Tingle, Enogen

American Ethanol, Audio, corn, Enogen, Ethanol, NASCAR, Syngenta, technology

New Ethanol Terminal Slated for Texas

Joanna Schroeder

Screen Shot 2016-06-15 at 11.04.55 AMGreen Plains, Inc. (GPRE) continues its growth with a new joint venture with Jefferson Gulf Coast Energy Partners to construct and operate an intermodal export and import fuels terminal at Jefferson’s existing terminal located in Beaumont, Texas. It’s anticipated that the 50/50 joint partnership investment for Phase I development will be $55 million. The first phase, expected to be finished during the second quarter of 2017, will focus on adding storage and throughput capabilities for multiple grades of ethanol. Going forward, the companies plan on adding capabilities to add other liquids products such as liquid hydrocarbons, vegetable oils and other non-liquid commodities.

“Once completed, we believe this terminal will provide Green Plains and other customers with significant advantages over other locations,” said Todd Becker, President and CEO of Green Plains. “As demand for the products we produce continues to grow both globally and domestically, we want to create a world class solution to service our customers. Access to three Class I railroads, barges and inbound/outbound vessels positions the terminal with transportation and cost advantages that will make this a successful partnership. This terminal will be one of the most modern and efficient solutions in the U.S.”

The joint venture’s terminal will have direct access to multiple transportation options including Aframax vessels, inland and coastwise barges, trucks, and unit trains with direct mainline service from the Union Pacific, BNSF and KCS railroads. GPRE says Phase I development will leverage existing infrastructure at the Jefferson terminal and is expected to include approximately 500,000 barrels of storage with expansion potential of up to 1,000,000 barrels.

“We are excited to be partnering with one of the largest ethanol producers and traders in North America. This project will add the necessary infrastructure at Jefferson Beaumont to distribute ethanol to markets worldwide,” added Greg Binion, President and CEO of Jefferson, a subsidiary of Fortress Transportation and Infrastructure Investors LLC. “Green Plains Trade Group will be the anchor customer of the joint venture, and the terminal is expected to serve other ethanol exporters as well. We are confident that Jefferson’s multimodal capabilities and sustainable cost-advantaged logistics will contribute to the success of this joint venture.”

biofuels, Ethanol, Exports

NFU Calls on Lawmakers to Stop Undermining #Biofuels

Joanna Schroeder

House lawmakers met this week to debate the Department of Defense Appropriations Act for FY2017 and one of the provisions up for debate is to exempt the U.S. military from biofuels use. The National Farmers Union (NFU) is calling on legislators to stop undermining national security and adopt the benefits of advanced biofuels.

National Farmers Union logo“Biofuels aid national security by reducing our nation’s foreign energy dependence and contributing to our Administration’s broader climate goals. The recurring attempts to quietly neutralize biofuels through the defense appropriations process are disappointing,” said NFU President Roger Johnson. “I am hopeful this provision will be successfully removed in further negotiations over the bill.”

The appropriations bill, as written, would exempt the military from Section 526 of the Energy Independence and Security Act of 2007, which prohibits federal agencies from making bulk purchases of synthetic fuels with a larger greenhouse gas footprint than traditional petroleum. However, especially in the advanced biofuels industry, the military’s use of biofuels has been a long-standing source of encouragement for new technologies. These technologies, says NFU, that are held out of transportation fuel markets by the exploitative practices of Big Oil.

Johnson concluded, “Section 526 is an important aspect of the Energy Independence and Security Act, one that has tremendous implications for family farmers’ ability to protect food security in a changing climate. I encourage lawmakers to carefully weigh the benefits of biofuels as they consider this provision.”

advanced biofuels, Biodiesel, Cellulosic, Ethanol, military, NFU

GRFA Calls on COP21 Parties to Take Action

Joanna Schroeder

The Global Renewable Fuels Alliance (GRFA) is calling on countries who have adopted the 21st Conference of the Parties (COP21) climate agreement to take immediate action. Of 195 attending countries, 177 have signed the official agreement. Bliss Baker, GRFA president, is calling for increased use of biofuels blending as part of these countries’ national carbon reduction plans. The transportation sector produces an estimated 25-30 percent of the world’s greenhouse gas (GHG) emissions. Baker says that biofuels, such as ethanol, are a cost-effective and immediate option for adoption and deployment.

GRFA logo“The GRFA is encouraged by the support for strong action to address climate change coming out of COP21” said Baker. “But if we are to have any hope of meeting the ambitious targets laid out in that agreement, substantial action is going to have to be taken soon. Biofuels represent a significant step in the right direction that governments can take today.”

GRFA cites that of the 162 intended nationally determined contributions (INDCs) submitted to date, more than 60 recognized the advantages of biofuels-supportive policies by including them in their carbon emission reduction plans.

Baker pointed out that in addition to the parties to the agreement at COP21, third party groups like the B Team coalition of chief executives and the Carbon Pricing Leadership Coalition have expressed their support for strong public emissions reduction policies that will provide the predictability necessary for the private sector to be able to develop long-term plans.

“Introducing biofuels supportive policies to reduce emissions from the transportation sector in the short and medium term just makes sense.” Baker added, “The biofuels industry will have a significant role to play in international efforts to transition away from carbon-intensive fossil fuels in the transport sector, and the GRFA looks forward to working with governments to develop policies to achieve those goals.”

biofuels, Climate Change, Ethanol, International

Formulae SAE Races to Lincoln on #Ethanol

Joanna Schroeder

HM_Formula_SAE_CompetitionFormulae SAE is racing into Lincoln with some of the racecars fueled by ethanol. Universities from around the world will race their custom Formula-style cars at Lincoln Air Park June 15-18, 2016 during the Formula SAE series. One of the competitors is the Husker Motorsports team that is being sponsored by the Nebraska Ethanol Board (NEB) and races on E85 (85 percent ethanol and 15 percent unleaded gasoline). The teams have a choice to use E85 or unleaded gasoline.

“E85 provides several technical advantages over gasoline,” said Charles Lee, a junior mechanical engineering major and the team’s lead powertrain engineer. “The high ‘latent heat of vaporization’ of ethanol creates a cooling effect to the combustion process, and the high octane rating makes E85 the ideal choice for an efficient, powerful engine. Aside from the technical benefits, we use E85 to help support Nebraskans.”

The Lincoln Formula SAE competition started in 2013 with only seven teams in the combustion category competing with E85. This year, 20 cars will race with E85 in their tanks.

Husker_Motorsports_Building_Car“Higher ethanol blends have become widely accepted as racing fuels, and it’s great to see students from across the world choosing to race on E85,” said Megan Grimes, Nebraska Ethanol Board public relations coordinator. “The cleaner-burning, higher octane benefits of ethanol is why NASCAR now races on E15.”

This year’s competition will include 100 teams – 80 combustion and 20 electric – from all over the world. According to James Peck, a senior mechanical engineering major and the team’s project manager, the size and diversity of the event makes it a great experience.

“Although we’re competing against one another, the atmosphere is always friendly and helpful,” he said. “Everyone is willing to talk about their car or help by lending tools, parts and materials. It’s an honor being the host team because we represent our sponsors locally and university fans can come watch the race.”

E85, Ethanol, Racing

Flint Hills Resources to Add Grain Capabilities

Joanna Schroeder

Flint Hills Resources, located in Iowa Falls, Iowa, has rolled out plans to begin adding grain capabilities. The ethanol plant will soon begin construction on improvements that include a new grain receiving pit and material handling upgrades. When complete, the project will more than double the biorefinery’s receiving speed while cutting truck turn times in half.

Flint Hills ResourcesAccording to Flint Hills, the new pit will increase receiving speeds by nearly 175 percent and truck turn times, from probe to exit, will be reduced by nearly 55 percent. The pit is expected to be open in time for harvest – October 1, 2016.

“We are excited to be making these investments in our plant,” said Matt Hamburg, plant manager at Flint Hills Resources Iowa Falls. “At Flint Hills, we strive to create value for our customers, and we hope these improvements will enhance our customers’ experience while on our site.”

In addition, Flint Hills Resources is currently hiring for open positions available at its seven ethanol facilities in Arthur, Fairbank, Menlo, Shell Rock, Iowa Falls, Iowa, Fairmont, Nebraska, and Camilla, Georgia, and its regional offices in Ames, Iowa. Click here for more information.

biofuels, Ethanol

DuPont Develops Momomers From Biorefining Process

Joanna Schroeder

DuPont is adding value yet again to the biorefining process. The company is working with ADM on a collaboration to convert fructose to momomers to polymers that can be used in consumer products. Last week attendees at the Corn Utilization and Technology Conference (CUTC16) learned about this emerging technology from Michael Saltzberg who is the business director for DuPont Industrial Biosciences’ biomaterials business.

cutc-16-michael-saltzbergSaltzberg spoke on the Biorefining II panel where he discussed a new product they are developing in collaboration with ADM. They are working on a new momomer that uses fructose, from corn, as the raw material. It’s a process that uses chemical catalysis in a several step process that takes fructose to a momomer that’s called furan dicarboxylic acid methyl ester or FDME.

What’s exciting, said Saltzberg, is that this momomer can be used to make exiting new polymers especially in the packaging area. For example, helping soft drink and beer manufactures downgage their packaging but offer the same shelf life is important for them he said.

So what does this mean for the biorefinery industry? Saltzberg noted a major focus of the conference is to see what other applications can utilize some of the corn fractions. “This is a great way to take corn starch to fructose to a very valuable chemical out of it. So I think for the ag processing industry and for farmers it offers that kind of opportunity,” he said.

And for a company like DuPont, added Saltzberg, being able to develop new momomers through renewable raw materials and creating new polymers out of them enables them to assist their customers in solving some of their challenges.

To learn more about emerging momomers and their applications, listen to Chuck’s interview with Michael Saltzberg: Interview with Michael Saltzberg, DuPont

Check out pictures from the conference: 2016 CUTC Photo Album.

Agribusiness, Audio, biochemicals, biomaterials, bioplastics, bioproducts, corn, CUTC

#Corn and #Soy Groups Testify for #RFS

Cindy Zimmerman

Leaders for the National Corn Growers Association (NCGA) and American Soybean Association (ASA) were among the more than 120 who testified at an EPA field hearing in Kansas City in support of statutory volume obligations for biofuels under the Renewable Fuel Standard (RFS).

NCGA president Chip Bowling testifies at EPA hearing

NCGA president Chip Bowling testifies at EPA hearing

NCGA president Chip Bowling of Maryland urged EPA to follow the law and finalize the 2017 conventional renewable fuel renewable volume obligation (RVO) at the 15-billion-gallon statutory level. “The EPA and this Administration made a pledge to the American people to become energy independent by developing American-based energy sources such as corn ethanol,” said Bowling. “Farmers responded by growing enough corn for all of our needs. Businesses responded by investing in production infrastructure across rural America. As a result of these government promises and private efforts, the U.S. is able to sustain a prosperous renewable fuels industry. Now it’s up to EPA to deliver on its promises.”

Listen to Bowling’s testimony here: NCGA president EPA hearing testimony

NCGA Chairman Martin Barbre of Illinois also testified, noting that the RFS was a successful policy when EPA first began proposing changes in 2014. “The RFS was doing exactly what it was intended to do: driving the adoption of domestic renewable alternatives to petroleum, supporting jobs across the country, ensuring the United States remains a global leader in developing renewable energy sources and decreasing greenhouse gas emissions here at home. The EPA’s proposal threatens these outcomes,” said Barbre.

Listen to Barbre’s testimony here: NCGA chairman EPA hearing testimony

Former ASA chairman and Iowa soybean farmer Ray Gaesser called on EPA to increase the proposed volumes for biomass-based diesel to 2.5 billion gallons. “We think EPA should enthusiastically support more aggressive, but easily achievable, volume targets for biodiesel,” said Gaesser. “We see no reason why EPA should not, at a minimum, support biomass-based diesel volumes of 2.5 billion gallons for 2018.”

Listen to Gaesser’s testimony here: ASA chairman EPA hearing testimony

Check out the EPA Hearing Photo Album.

Coverage of EPA RFS Hearing made possible by Coverage of EPA RFS Hearing made possible by Renewable Fuels Association
Audio, Biodiesel, biofuels, corn, EPA, Ethanol, Ethanol News, NCGA, Soybeans