Qi BioEnergy

The Blue Flint Ethanol facility is unique in the industry. Most ethanol plants are built with a natural gas-fueled boiler to provide heat for drying. As natural gas prices have increased in recent years, coal-fueled plants have become more common. However, Blue Flint does not have a boiler. Instead, waste heat from the adjacent Coal Creek power plant is redirected to Blue Flint to supply all the heat that a boiler would provide. The result is one of the industry’s most energy efficient, environmentally friendly facilities.

BioFuel Energy is a development stage company whose goal is to become one of the leading ethanol producers in the United States.  Headquartered in Denver, Colorado, the company is currently constructing large-scale ethanol production facilities in Fairmont, Minnesota and Wood River, Nebraska.  It is also developing a third large-scale ethanol plant later this year.

BIOF

 
For an ethanol plant owner, the first rule of surviving high corn prices is that more capacity tends to be better.

“The old joke about size does matter is certainly the case here,” said Dan O’Neill, senior vice president at Northland Securities, a Minneapolis bank that finances new mid-sized and large ethanol plants.

After size, “plants that are more efficient, those that have long-term contracts for feedstocks…are not as exposed to commodity risk,” he added.

So far, reports of ethanol plants shutting down are few and far between. Alchem Limited stopped production at its 10 million-gallon-a-year facility in North Dakota late last year, citing corn prices. More common are announcements of delays in the construction of new plants - even large, high-tech facilities with strong financial backing that could be expected to push through tough times.

Agricultural giant Cargill Inc., for example, in February indefinitely postponed plans for a 100 million-gallon-a-year ethanol plant in Topeka, Kan.  

(Largest to Smallest Production Capacity as of January 200

Sources: Renewable Fuels Association, Washington, DC. Nebraska Energy Office, Lincoln, NE.

This table was updated on March 18, 2008. Typically, there is one month between updates.

NExBTL Renewable diesel is a second generation biodiesel developed by Neste Oil.

Most commonly produced biodiesel is first generation methyl esther (FAME = Fatty Acid Methyl Esther). Fossil methanol is used in the production process in addition to renewable raw material. End product is blended into diesel. Due to current fuel specifications, maximum 5 % can be blended.

Neste Oil’s NExBTL renewable diesel is second generation biodiesel. NExBTL diesel is pure hydrocarbon which by its properties and quality is similar to fossil diesel. Wider feedstock base can be utilized in the production process. Due to quality, it is possible to blend tens of percents of NExBTL into diesel. The higher the NExBTL content is, the less there are emissions. The first NExBTL production unit will be on-stream summer 2007 in Porvoo, Finland.

Neste Oil is involved in developing third generation biodiesel technology. Third generation utilizes gasification and Fischer-Trops technology. Third generation end product does not significantly differ from NExBTL. Technology enables to exploit the whole plant (biomass) and thereby widens the feedstock base. First commercial scale third generation biodiesel plants are estimated to be on-stream 2015.

Syntec Biofuel Inc (OTC.B.B. ‘SYBF’), a company developing biomass to fuel conversion technologies, is pleased to announce that it has achieved a yield of 105 gallons of alcohol (ethanol, methanol, n-butanol and n-propanol) per ton of biomass. This marks a major milestone for Syntec as this yield is equivalent to revenues in excess of $27 million per year for a 300 ton per day biomass processing facility.

“We are consistently seeing monthly improvements in our Biomass to Alcohols (B2A) Process.” says Michael Jackson, President of Syntec Biofuel Inc. “This level of achievement makes the B2A process profitable in relatively small scale facilities using a wide variety of waste biomass feedstocks in any combination.”

The Syntec B2A technology, initially developed at the University of British Columbia, is focused on second-generation cellulosic ethanol production. The Syntec process parallels the low-pressure catalytic synthesis process used by methanol producers. Syntec’s innovative technology uses any renewable waste biomass such as hard or soft wood, sawdust or bark, organic waste, agricultural waste (including sugar cane bagasse and corn stover), and switch-grass to produce syngas. This syngas, comprised of carbon monoxide and hydrogen, is then scrubbed and passed through a fixed bed reactor containing the Syntec catalysts to produce ethanol, methanol and higher order alcohols. The Syntec technology can also produce alcohols from biogas (sourced from anaerobic digestion of manure and effluent), landfill gas or stranded methane.

Recent media coverage on ethanol produced from food crops, such as corn, and the use of agricultural cropland for biofuel production, has prompted an international questioning of the ethics and “hidden costs” behind the production of such alternative fuels. “Syntec’s technology only uses sustainable waste biomass to produce its biofuel.” explains Mr. Jackson. “We believe strongly that fueling the worlds energy needs can be achieved without further impact to our environment, and that we possess the best and most ethical solution to bio-ethanol production”

For information on Syntec Biofuel Inc., a Washington State Company, please contact info@syntecbiofuel.com or call 604-688-3836.

Under the EIA AEO2008 forecast, a shortfall in cellulosic ethanol production will trigger an adjustment of the RFS target. Click to enlarge.
The US Energy Information Administration (EIA) is forecasting a significant shortfall in the production of cellulosic biofuels required to meet the targets of the Renewable Fuel Standard established in the Energy Independence and Security Act of 2007 (EISA2007).

In testimony before the US Senate Committee on Energy and Natural Resources today, EIA Administrator Guy Caruso provided a summary of the agency’s Annual Energy Outlook 2008 (AEO200 forecast, revised to factor in the different provisions of EISA2007, including the new RFS target of 36 billion gallons by 2022 and new CAFE requirements.

While the situation is very uncertain, the current state of the industry and our present view of projected rates of technology development and market penetration of cellulosic biofuel technologies suggest that available quantities of cellulosic biofuels prior to 2022 will be insufficient to meet the new RFS targets for cellulosic biofuels, triggering both waivers and a modification of applicable volumes as provided for by paragraphs 7(D) and 7(F), respectively, of Section 211(o) of the Clean Air Act as amended by EISA2007.

The modification of volumes reduces the overall target in 2022 from 36 billion gallons to 32.5 billion gallons. The modified cellulosic biofuel requirement is projected to be met by a combination of domestic cellulosic ethanol, imported cellulosic ethanol, and biomass-to-liquids diesel, but the specific mix is again highly uncertain.

—Guy Caruso
Overall, the EIA sees ethanol use grows from 5.6 billion gallons in 2006 to 24.3 billion gallons in 2030 (more than 16% of total gasoline consumption by volume).

Ethanol use for gasoline blending grows to 13.3 billion gallons and E85 consumption to 11.0 billion gallons in 2030. The ethanol supply is expected to be produced from both corn and cellulosic feedstocks, with corn accounting for 15.0 billion gallons of ethanol production in 2030. The AEO2008 reference case also expects strong growth in ethanol imports after 2010, reflecting the pending expiration of the tariff on imported ethanol in January 2009.

—Guy Caruso

Transportation dominates liquid fuel use. Click to enlarge.
The forecast puts biodiesel use at 1.3 billion gallons in 2030 (about 1.6% of total diesel consumption by volume), but the consumption of diesel liquids produced from biomass (BTL) at to 4.2 billion gallons in 2030, 4.9% of total diesel consumption by volume.

Other transportation-related highlights in the Administrator’s summary of the revised AEO2008 forecast include:

The total consumption of liquid fuels will grow at an average annual rate of 0.4% in the AEO2008 reference case, from 20.7 million barrels per day in 2006 to 22.8 million barrels per day in 2030 led by growth in transportation uses, which account for 68% of total liquid fuels demand in 2006, increasing to 73% in 203O. Improvements in the efficiency of vehicles, planes, and ships are more than offset by growth in travel.

Based on the new CAFE regulations, the average in-use fuel economy for the stock of light-duty vehicles in 2030 increases to 28.0 mpg, 38% above its 2006 level.

US crude oil production grows from 5.1 million barrels per day in 2006 to a peak of 6.3 million barrels per day in 2018, primarily due to increased production from the deep waters of the Gulf of Mexico and from the expansion of enhanced oil recovery operations in onshore areas supported by higher crude oil prices. Domestic production subsequently declines to 5.6 million barrels per day in 2030, as increased production from new smaller discoveries is inadequate to offset the declines in large fields in Alaska and the Gulf of Mexico.

Total domestic liquids supply, including crude oil, natural gas plant liquids, refinery processing gains, and other refinery inputs (e.g., ethanol, biodiesel, BTL, and liquids from coal) grows from 8.3 million barrels per day in 2006 to 10.5 million barrels per day in 2030.

The EIA forecasts as its base case real world crude oil prices (defined as the price of light, low-sulfur crude oil delivered in Cushing, Oklahoma, in 2006 dollars) decline gradually from current levels to $57 per barrel in 2016 ($68 per barrel in nominal dollars), as expanded investment in exploration and development brings new supplies to the world market. After 2016, real prices begin to rise, as demand continues to grow and higher cost supplies are brought to market. In 2030, the average real price of crude oil is $70 per barrel in 2006 dollars, or about $113 per barrel in nominal dollars.

The Carbo-V^® Process is a three-stage gasification process involving the following sub-processes:

• low temperature gasification,
• high temperature gasification and
• endothermic entrained bed gasification.

During the first stage of the process, the biomass (with a water content of 15 – 20 %) is continually carbonized through partial oxidation (low temperature pyrolysis) with air or oxygen at temperatures between 400 and 500 °C, i.e. it is broken down into a gas containing tar (volatile parts) and solid carbon (char).

During the second stage of the process, the gas containing tar is post-oxidized hypostoichiometrically using air and/or oxygen in a combustion chamber operating above the melting point of the fuel’s ash to turn it into a hot gasification medium.

During the third stage of the process, the char is ground down into pulverized fuel and is blown into the hot gasification medium. The pulverized fuel and the gasification medium react endothermically in the gasification reactor and are converted into a raw synthesis gas. Once this has been treated in the appropriate manner, it can be used as a combustible gas for generating electricity, steam and heat or as a synthesis gas for producing SunDiesel.

Lignin, a complex biopolymer found in all vascular plants is the second most abundant renewable carbon source and is currently obtained as a byproduct in the pulp/paper industry.  Lignin conversion into higher value fuels and additives can significantly enhance the competitiveness of lignocellulose-to-ethanol technology.  Our technology describes a multi-step catalytic process for the conversion of lignin to liquid fuels (high-octane gasoline) and fuel additives of high quality.

Researchers at RTI International, North Carolina State University and the University of Utah are seeking to scale up proven laboratory technology that they believe will produce low-cost ethanol fuel through the gasification of biomass and other organic waste products.The project, funded by a $2 million cost-shared contract with the U.S. Department of Energy, seeks to develop non-food-based ethanol that costs less than $1.10 per gallon produced from lignocellulosic biomass feedstocks. Current ethanol produced from corn costs more than $2 per gallon.

“We have already proven the technical feasibility in the laboratory,” said David Dayton, Ph.D., project manager at RTI International. “Our efforts are focused on scaling up the process and integrating the unit operations at the pilot scale to validate the technology for commercial applications. Our goal is to produce lignocelluosic ethanol at a competitive price.”

The gasification facility at the University of Utah will be host to this integrated technology demonstration. Technology developed at RTI — called a “Therminator” — will be used as the primary gas cleanup step to remove impurities from the high-temperature output of the gasifier. Once these impurities have been removed, the resulting clean syngas (essentially carbon monoxide and hydrogen) can be converted at high pressure in another catalytic process to produce ethanol and other fuels.

“We believe the integration of these individual processes will result in technology that can produce ethanol cleaner, cheaper and faster than other methods,” said Raghubir Gupta, director of RTI’s Center for Energy Technology.”

Over the next 24 to 36 months, researchers will work toward developing a commercially viable process to validate what they have successfully demonstrated in the lab.

The “beauty” of this process is that it works on everything from pine cones and scrub brush to hog waste, all of which are plentiful in North Carolina and many other rural areas. Such feed stocks also reduce the reliance on corn and other food sources for fuel production.