Domestic Fuel

With persistent rain affecting ethanol and sugar production in Brazil this season, prospects are that U.S. ethanol may be exported to that country to meet the demand.

According to the Brazilian Sugarcane Industry Association UNICA, ethanol production this year is down more than three percent so far while demand continues to grow. “While production has been negatively affected by weather conditions, reducing the availability of products offered in the market, demand has been growing steadily,” UNICA reports. “Ethanol (anhydrous and hydrated) sales to the domestic market in the month of September reached 2.05 billion liters, 14.9% more than in the same month last year.”

As for the export market, total shipments from April to September reached 2.1 billion liters, down 12.52% from the 2.41 billion liters recorded in the same period last year. The most significant reduction in exports involves anhydrous ethanol – the type that is blended with gasoline – with total shipments down 58.03% for the year, although there was a 42.46% increase in hydrated ethanol exports over the same period.

Reuters this week reported on the buzz about ethanol exports to Brazil, with the weak dollar making prices more competitive. All gasoline sold in Brazil contains 25 percent ethanol. Last year Brazil exported 1.365 billion gallons of ethanol, with 740 million of that coming to the U.S.

The Colorado Department of Agriculture is now offering several Advancing Colorado’s Renewable Energy (ACRE) grants. Eligible projects include agricultural related renewable energy systems, feasibility studies and research projects. The ACRE program is a set of grants that provide funds to conduct feasibility studies, install renewable energy systems or do research into renewable energy projects.

Grant applications submitted must be for projects that will be completed withing two years of grant award. Examples of past projects that have been supported by the ACRE grant program include wind turbines, solar panels, micro-hydro systems, biomass systems, and biodiesel plants. Funds will be distributed in three categories.

1) Feasibility Studies –  must study the feasibility of an agricultural energy-related project. Feasibility studies may address the market for the product, engineering requirements, economic viability, environmental concerns, legal requirements, management, and other necessary study components. A maximum allocation for each study is $25,000.

2) Project Participation — for projects will completed feasibility studies, awards will be granted to assist with the project.. A maximum allocation of $100,000 has been established per project.

3) Research — applications for research of agricultural energy-related topics will be considered in an effort to bring new information to the marketplace. Research should be tied to a particular issue or problem in Colorado. A maximum allocation of $50,000 per project has been set.

Grant applications are being accepted through October 30th. Contact ROI for more information at 517-812-3285.

The “FUEL“ caravan, which includes the Big Green Energy Bus and the Algaeus, is arriving in Chicago tomorrow for the launch of the award winning film. The October 10th event, taking place at Loews Pipers Alley 4 beginning at 4:00 pm, will be kicked off with a motorcycle ride-in. Director Josh Tickell and Producer Rebecca Harrell will ride a Harley Davidson with a diesel engine that tops 100 mph and boasts nearly 80 miles per gallon at legal highway speeds. Movie patrons will also be able to check out the Zero S, the first fully electric high-performance motorcycle.

The Veggie Van Organization has been touring the country in support of the documentary, “FUEL“. The film opened in theaters nationwide on September 18th in New York. As part of the showing, Tickell and Harrell will be available for a question and answer session on Saturday. Click here for more information about the film and ticket information.

It won’t be long before the snow starts to seriously fly in Vermont (if it isn’t already!), and the heating oil dealers in that state are encouraging those Green Mountain Boys… and Girls… to use a biodiesel blend to heat their homes when they come in from shoveling.

This article in the Barre Montpelier Times Argus says Matt Cota of the Vermont Fuel Dealers Association is touting the benefits of biodiesel blended with heating… a combination known as bio heat that is better for the environment and oil burners in homes:

Cota said about 20 heating oil dealers in the state sell the bio heat blend, which can safely be burned in existing heating systems.

“It’s a very progressive and proactive step by the industry, from South Carolina to Maine, to endorse, support and encourage federal and state bodies to enact essentially a provision which everyone is selling the same high quality, environmentally friendly product,” said Cota, executive director of the Vermont Fuel Dealers Association.

There are seven states with biodiesel mandates, and Massachusetts requires all home heating oil sold in the state to be a biodiesel blend.

A corn grower leader is working on using ethanol to help fuel diesel engines.

National Corn Growers Association chairman Bob Dickey is also chairman of CleanFlex Power Systems, which is so new they haven’t built a website yet, but what they have done is developed a method to efficiently use ethanol in diesel engines.

Dickey started the idea a year ago when he bought a new John Deere 150-hp four-cylinder turbo diesel irrigation system engine and retrofitted it to use an ethanol and diesel blend. “It worked so well that we applied for a grant at the University of Nebraska and we’re currently doing research there to bring credibility to what we’re doing,” Dickey says.

The company has developed a new hydrated-ethanol fuel called EM60 (a mixture of 60% ethanol and 40% water) to combine with diesel fuel to power diesel engines. “Just like oil and water don’t mix, ethanol and diesel don’t mix,” Dickey said. So, they run two lines into the diesel engine. “The only time the ethanol, water and diesel are together is at the point of combustion and it really works well. The engine runs cooler, it runs more efficient and the emissions are reduced.”

CleanFlex president Ron Preston says the fuel they are using is 120 proof ethanol. “Most ethanol plants are putting out 200 proof ethanol and we add distilled water or reverse osmosis water to get it to 120 proof,” he said.

Preston says they are talking with agricultural equipment manufacturers, railroads, and even bus companies about the idea because the EM60 fuel has the potential to help meet Tier 4 emission standards that become effective in 2011. “There are 60 million diesel engines in the United States,” Preston says. “We’ve been working with EPA and going through the proper steps to make ethanol a solution that will help them meet emissions requirements.”

They have already tested the fuel with two and five percent biodiesel blends and it works just as well. “The bottom line is that we can become less dependent on foreign oil,” Dickey says.

The head of United Airlines says commercial airlines and military aircraft in the U.S. are ready to make a long-term commitment to alternative fuels.

Reuters reports that Glenn Tilton, the chief executive officer of UAL Corp and its United Airlines unit, says because of the tight economic times the industry is facing, the commitment would have to come after the government and private resources offered more incentives to develop the new fuels infrastructure:

“We’re willing to step up and be the buyers,” he said of alternative fuel sources that could act as a cleaner burning hedge against expensive crude oil resources.

He said airlines are committed to seeing the expansion of specifications for jet fuel options from renewable and non-renewable sources.

Back in August, eight airlines, including United, signed a deal that will see them buying 1.5 million gallons of renewable biodiesel a year from Rentech, Inc. to use in ground equipment starting in 2012.

For many people who are passionate about alternative vehicles, the Alternative Fuels & Vehicles Conference + Expo (AF&V) has been the place to be for more than a decade. This is not changing as Las Vegas will be the host of the 2010 show being held May 9-12, and the show will renew its focus on fleets through its “Focus on Fleets” program.

According to AF&V, 20 percent of the average fleet (ranging from 300 to more than 1,000 vehicles on average) is made up of a vehicle that runs on alternative energy.

Speaking of fleets, natural gas has become all the rage with 19 of the 25 Clean Cities Recovery Act Awards announced in August 2009 including CNG and LNG stations and vehicles in their project proposals. To support the growing number of natural gas vehicles, it is estimated that 133 CNG and 10 LNG stations will come on-line in the several years to fuel some 2,473 CNG and 416 LNG vehicles according to the winning proposals.

As part of the AF&V 2010 “Focus on Fleets” program, you can register to win one of 25 free conference registrations worth $899 each. To qualify, you must be the primary fleet manager or owner with a minimum of 25 vehicles and be new to the conference. The deadline to register is October 16th. Click here for more information.

The biofuels industry has yet to get a famous show like Mythbusters to test some of the false information floating around about biodiesel and ethanol. Well, maybe we don’t need them. The National Biodiesel Board (NBB) just released a new educational piece called, “Biodiesel Myths: Busted,” that highlights nine of the most circulated myths and corrects them.

A few “myths” include biodiesel contributes to the rising cost of food and biodiesel contributes to global warming. These are both false. And as I hear rumors that it may snow in the Midwest this weekend, here is a proper time to bust this myth: that biodiesel doesn’t perform in cold weather.

According to NBB, “Properly managed, high quality biodiesel blends are used successfully in the coldest of climates. Biodiesel will gel in very cold temperatures, just as common #2 diesel does. Although pure biodiesel has a higher cloud point than #2 diesel fuel, typical blends of 20 percent biodiesel are managed with similar management techniques as #2 diesel. Blends of 5 percent biodiesel and less have virtually no impact on cold weather operability.”

Click here to learn the facts behind all the myths.

Secretary of Agriculture Tom Vilsack, White House Council on Environmental Quality Chair Nancy Sutley, and Wisconsin Governor Jim Doyle will tour Crave Brothers Farm and Dairy Operation in Waterloo, Wisconsin Friday to see bioenergy in action.

Crave Brothers is an example of a successful modern dairy, using green energy sources to power the farm, cheese factory and 120 area homes. Crave Brothers Dairy Farm and its cheesemaking enterprise, Crave Brothers Farmstead Cheese, have a sophisticated, computer-controlled anaerobic digestion system that generates electricity that runs on organic waste from their 750 pampered and productive Holsteins.

The Administration and State officials will discuss the opportunities for rural America to embrace science and lead efforts to create clean energy jobs, achieve energy independence, mitigate climate change, and transition to a clean energy economy.

A California-based company has filed a patent for technology that could turn carbon dioxide into fuel.

According to a press release, Carbon Sciences, developer of a breakthrough technology to recycle carbon dioxide (CO2) emissions into gasoline and other portable fuels, today announced the filing of a patent application for a highly efficient nano-scale CO2 to fuel reactor, which is the most critical part of the company’s CO2-to-Fuel technology.

The company previously announced several important breakthroughs for the commercial viability of its proprietary CO2-to-Fuel technology including: (1) a low energy enzyme based biocatalytic process, and (2) a proprietary enzyme encapsulation technology that increases the life of key enzymes to reduce the cost of fuel production. Carbon Sciences has now successfully incorporated all of these discrete innovations into a self-contained nano-scale CO2-to-Fuel reactor optimized for the efficient transformation of CO2 and H20 molecules into hydrocarbon molecules that are identical to today’s transportation fuels.

Carbon Sciences is calling these nano-scale reactors “Smart Particles™” which are designed to “absorb CO2 molecules and excrete fuel molecules.”

Coal mines could be the next place to grow a feedstock for biodiesel.

Researchers in Missouri are looking at feeding the carbon dioxide that is plentiful in coal mines to algae, which can be turned into biodiesel. Biodiesel Magazine reports that the work of David Summers, professor of Mining Engineering at Missouri University of Science and Technology, could prove that underground mines are the perfect incubators for algae:

“You can isolate the algae from the sun in a mine,” Summers said. “We can use artificial light in short intervals and fool the plants into thinking that days and nights are very short [which means they grow faster]. We have a stable temperature underground, ambient conditions and modulated light—this means better control.”

A reactor could be 30 feet deep in a mine and, combined with other aspects suited to cultivation, could increase yields 500 times over algae grown on pond surfaces, Summers told Biodiesel Magazine. Algae could also help coal-producing companies find cheaper alternatives to becoming emissions-free, and may provide a carbon sink for coal-fired power plants.

Meanwhile, Washington University’s Photosynthetic Research Center in St. Louis and the Advanced Biofuels Systems at the Donald Danforth Plant Science Center just got $35 million dollars from the Energy Department to look at the oil-producing characteristics of algae. Maybe the two places ought to talk to each other about a little collaboration, huh?

A flexible fuel vehicle (FFV) rally is being held tomorrow, October 8 beginning at 10:30 a.m. The driver education campaign will begin with a press conference at the Midway U-Gas location at 210 NW 79th Avenue in Miami, Florida. After the press conference, E85 will sell for 85 cents per gallon from 11 a.m. until noon.

The educational rally was announced in July at the Florida Farm-to-Fuel Summit by Charles Bronson, Florida Commissioner of Agriculture and Consumer Services, and Florida Governor Charlie Crist. The Clean Fuels Foundation and the FlexFuel Vehicle Club of America are the organizers of the campaign.

The campaign will help locate, educate, and motivate FFV owners to use higher blends of ethanol so the U.S. can meet the goals of the national renewable fuel standard (RFS) and pave the way for 2nd generation biofuels in Florida. Brazilian Sugarcane Industry Association (UNICA) is sponsoring the upcoming series of IndyCar Race related events which is the next phase of the driver education campaign.

Two free IndyCar Race Tickets and special parking/FFV Corral passes will be given to the first 50 FFV owners to purchase E85 at the Rally tomorrow. IndyCar Race Driver Mario Moraes will be available for autographs from 11 a.m. to 11:40 a.m.

A cellulose product made from wastewater holds the potential of being used to make ethanol.

Qteros and Applied CleanTech have announced a joint development project for making Recyllose™, a recycled solids-based material produced from municipal wastewater, into fuel for cars.

Qteros has entered into a joint development project with Applied CleanTech (ACT), a commodities recycling company based in Israel, to use ACT’s Recyllose™-based feedstock, produced from municipal wastewater solids, for even more efficient and low-cost ethanol production. ACT’s Sewage Recycling System (SRS), a revolutionary solution for recycling wastewater solids, produces high-quality alternative energy sources for the production of electricity or ethanol, while reducing sludge formation and lowering wastewater treatment plant costs and increasing plant capacity.

The companies said they are the first to demonstrate commercial success in creating ethanol from the cellulose in municipal and agricultural liquid waste, and to offer a process that all municipalities can use to help reduce expenses.

A Colorado-based company is working to develop a fleet of biorefineries based on retrofitting existing ethanol plants to produce biobutanol.

Last week, Gevo, Inc. announced the start up of the first biobutanol demonstration plant designed from retrofitting an existing demonstration scale ethanol plant in St. Joseph, Missouri. The company is using the plant to demonstrate the viability of its technology for retrofitting existing ethanol plants to make biobutanol, which can be blended directly into gasoline and be used to make renewable hydrocarbons (“green gasoline”), diesel and jet fuel, chemical intermediates and biobased plastics.

This is the first time that an existing ethanol operation has been successfully retrofitted to produce biobutanol instead of ethanol. ICM’s pilot plant at St. Joseph has been designed and constructed as a reduced scale replica of a dry-milled ethanol production process. Additionally, Gevo’s biobutanol has higher energy content than ethanol and a lower Reid Vapor Pressure (RVP) – which means lower volatility and evaporative emissions. Importantly, standard automobile and small engines can run on biobutanol blended into gasoline at any ratio.

The retrofit of the pilot plant was completed in less than three months and the company says it also represents the first step along the route to produce cellulosic biobutanol which will be possible once biomass conversion technology becomes commercially available.

Registration is officially opened for the Renewable Fuels Association’s 15th Annual National Ethanol Conference “Climate of Opportunity” which will be held February 15-17, 2010 in Orlando, Florida.

Speakers and sessions will focus on the historic opportunities facing our industry. As a renewable fuel, as an industry continuing to reduce energy inputs, and an industry diversifying into new feedstocks, ethanol is poised to make a significant contribution to our planet’s environment. Climate change is a seminal focus of the Obama Administration and an increasingly important issue to the public at large, and the momentum is in our favor. With steadfast resolve to increase ethanol’s marketshare in blends and E85, and a commitment to the best science, technical knowledge and quality, we have an opportunity to improve the industry as well. It’s clearly a Climate of Opportunity for the ethanol industry.

Conference and hotel registration information is available on-line.