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Commodities: Lower natural gas production may impact prices

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By Ben Straus, U.S. Energy Services

June 30, 2015

Markets 

Natural gas production growth in 2014 was spectacular. While 2015 was expected to be muted on the growth front, substantial declines in domestic dry gas production were not anticipated. June data has challenged this forecast.

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Station owners who offer ethanol blends above 10 percent are gaining increased sales and higher customer counts, contrary to assumptions made by the U.S. EPA in its recent proposal for the renewable fuel standard (RFS).

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Euronext has announced that it will be launching a new wood pellet commodities futures contract in the autumn of 2015, subject to regulatory approval. The contract is aimed at producers, wholesalers and retailers and targets the heating sector.

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This week, we'll hear from someone that was part of a project to restart an idled ethanol plant in 2013. It was an ambitious and interesting effort and I'm sorry to hear it wasn't ultimately successful.

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UNICA, the Brazilian sugarcane association, has announced mills in the country's south-central region produced 1.66 billion liters (438.53 million gallons) of ethanol during the first half of June, including 1.02 billion liters of hydrous ethanol.

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The U.K. Green Investment Bank has announced 2014-'15 results and a plan to raise private capital. The organization also noted that after 2.5 years of operations, it has reached profitability.

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Amyris Inc. has announced the successful completion of a diesel demonstration program with Volkswagen of America Inc. that was designed to test the commercial readiness of Amyris renewable diesel and its ability to enhance VW's diesel technology.

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USDA's Rural Business Cooperative Service and Rural Utilities Service has published an interim final rule for the Biorefinery, Renewable Chemical, and Biobased Product Manufacturing Assistance Program.

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Business Briefs

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By Staff

June 26, 2015

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Biomass Magazine Executive Editor Tim Portz reflects on the July issue and the battles faced by the entire biomass energy industry.

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The USDA's Rural Business Cooperative Service and Rural Utilities Service has published an interim final rule for the Biorefinery, Renewable Chemical, and Biobased Product Manufacturing Assistance Program, formerly known as the Biorefinery Assistance

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Were the record profits in the ethanol industry during the past couple of years a temporary blip? Or are they reflecting a new normal, driven by a robust ethanol export market? “The answer appears to be some of both,� writes Scott Irwin.

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On June 25, the U.S. EPA held a hearing to address its proposed rule for the 2014, 2015 and 2016 renewable fuels standard (RFS) in Kansas City, Kansas. More than 250 people were scheduled to testify at the event.

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U.S. Sens. Chris Coons, D-Del., and Jerry Moran, R-Kan., and Reps. Ted Poe, R-Texas, and Mike Thompson, D-Calif., have announced the reintroduction of the Master Limited Partnerships Parity Act, which aims to level the playing field for renewables.

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Late last week, the Worldwatch Institute released a 2015 global status report for renewables.

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In mid-June, the Canadian government announced funding for two biogas projects. One award will support the development of a technology that converts landfill gas into renewable liquefied natural gas. The other supports purification of landfill gas.

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Microvi Biotechnologies, working with the Advanced Biofuels Process Demonstration Unit at the Lawrence Berkeley National Laboratory, has demonstrated breakthrough improvements to biological ethanol production.

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Morgan State University professor Seong W. Lee and his research team are the recipients of a $100,000 Phase 1 award from the Maryland Innovation Initiative to transition his CycloBurn Combustion System from prototype to commercialization.

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Spero Energy Inc., a company that licenses Purdue intellectual property, has received federal funding to develop its one-step, patent-pending technology that could improve the efficiency of alternative fuel production.

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U.S. ethanol production set a new record the week of June 19, when production averaged 994,000 barrels per day. The new record comes only two weeks after the previous weekly record of 992,000 barrels per day was tied.

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On June 25, the U.S. EPA held a hearing to address its proposed rule for the 2014, 2015 and 2016 renewable fuels standard (RFS) in Kansas City, Kansas. More than 250 people were scheduled to testify at the event.

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Biomass Power Association Bob Cleaves discusses challenges currently being faced by the California biomass power industry.

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After a House vote of 44-9, Oregon Gov. Kate Brown has signed a bill that exempts biomass-derived carbon dioxide emissions from regulation under certain air pollution laws.

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U.S. Sens. Chris Coons, D-Del., and Jerry Moran, R-Kan., and Reps. Ted Poe, R-Texas, and Mike Thompson, D-Calif., have announced the reintroduction of the Master Limited Partnerships Parity Act, which aims to level the playing field for renewables.

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Microvi Biotechnologies, working with the Advanced Biofuels Process Demonstration Unit at the Lawrence Berkeley National Laboratory, has demonstrated breakthrough improvements to biological ethanol production.

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Renewable Fuels Association member company East Kansas Agri-Energy recently hosted key officials from the U.S. EPA at its facility in Garnett, Kansas, 70 miles southwest of Kansas City.

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Spero Energy Inc., a company that licenses Purdue intellectual property, has received federal funding to develop its one-step, patent-pending technology that could improve the efficiency of alternative fuel production.

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A misconception following ethanol is that it causes compatibility issues in certain engines. But new data shows that the opposite is true, and ethanol-free gasoline blends actually increase much of the wear and tear on hoses, seals, and fuel tanks.

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Biomass's role in the federal Clean Power Plan is up in the air, but the industry hopes for a smooth touchdown.

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SynSel Energi AS has entered into an IH2 process demonstration license agreement with CRI/Criterion Catalyst Co. Ltd. The technology is a continuous catalytic thermo-chemical process that converts biomass material into hydrocarbon fuels.

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