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Failure Is Not An Option

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By Mike Bryan

March 18, 2015

Policy Business 

Is the ethanol industry too big to fail? No, writes Mike Bryan of BBI International. Will it ever let failure be an option? As Winston Churchill said, never, never, never!

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On March 11, the Internal Revenue Service published guidance pertaining to the Section 45 Production Tax Credit and Section 48 Investment Tax Credit. Legislation signed into law in late 2014 extended the credits through the end of 2014.

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Bobby Likis featured Judd Hulting, commodities manager at Patriot Renewable Fuels LLC, in Annawan, Illinois, during his two-hour Saturday morning radio show, Bobby Likis Car Clinic, on March 14.

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On top of opening the largest biomass-fired power station in North America, Ontario Power Generation reported 2014 income at $568 million before extraordinary gain, a 334 percent increase compared to $135 million in 2013.

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Dragonair has announced that it will operate its first-ever commercial flight using a certified sustainable biofuel blend in March, highlighting its commitment, and the commitment of the Cathay Pacific Group as a whole, to sustainable development.

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The Department of Transportation's Pipeline and Hazardous Materials Safety Administration has published a final rule in the Federal Register that amends pipeline safety regulation, including adding ethanol to the definition of hazardous materials.

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MXI Environmental Services LLC has completed installation of the distillation column for the company's new plant in Bristol, Tennessee. The installation went smooth and company is one step closer to operating.

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Progressive Waste Solutions Ltd. recently celebrated the official opening of its renewable natural gas facility, the largest of its kind in Canada and one of the largest in North America. The facility is located in Terrebonne, Quebec, near Montreal.

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Alstom has signed two contracts with Danish power plant specialist Burmeister & Wain Scandinavian Contractor for geared reaction steam turbines (GRT) to be used in two U.K. biomass projects.

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Tempe approves ASU food waste-to-energy study

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By City of Tempe, Arizona

March 17, 2015

The city of Tempe and Arizona State University's Global Institute of Sustainability are teaming up on a study that will analyze food waste and fats, oils and grease (FOG) to determine the feasibility of turning this material into renewable energy.

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Legislation pending in Minnesota aims to establish state production incentives for advanced biofuels, renewable chemicals and biomass thermal. The measure was introduced in the Minnesota House of Representatives and the Minnesota Senate in February.

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Red Rock Biofuels LLC has unveiled a strategic partnership with Flagship Ventures that sets the stage for the construction of its first commercial scale refinery in Lakeview, Oregon. As part of the partnership, Flagship will invest in Red Rock.

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The U.S. EPA has published a notice on its website inviting comment on an analysis of the greenhouse gas emissions (GHG) attributable to the production and transport of pennycress oil for use in biofuel production.

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Executive Editor offers a congratulations to Ed Billington on the recent sale of his pellet distribution business to Drax and offers some thoughts on what it says about Drax and pellet business in general.

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More Than Simply Numbers

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By Bob Dinneen

March 17, 2015

While both numbers and personal stories show the benefits of the ethanol industry many politicians and naysayers are continuing their attacks on the industry, writes Bob Dinneen of the Renewable Fuels Association.

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On March 17, Rentech Inc. announced 2014 financial results, reporting the company is commissioning its 45,000 metric ton Atikokan, Ontario, pellet plant and nearing the end of construction at its 450,000 metric ton Wawa, Ontario, facility.

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Iowa sets new E85 sales record in 2014

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By Iowa Renewable Fuels Association

March 17, 2015

The Iowa Renewable Fuels Association has announced Iowa motorists purchased more than 2.93 million gallons of E85 in the fourth quarter of 2014, and a record-setting 11.96 million gallons in all of 2014.

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Ceres Inc. and Raizen S.A., have signed a multiyear collaboration agreement to develop and produce sweet sorghum on an industrial scale. Sweet sorghum can extend the operating season of Brazilian sugarcane ethanol mills.

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Legislation pending in Minnesota aims to establish state production incentives for advanced biofuels, renewable chemicals and biomass thermal. The measure was introduced in the Minnesota House of Representatives and the Minnesota Senate in February.

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BASF has made biobased Polytetrahydrofuran 1000 (PolyTHF 1000) available for the first time. The company is now providing this intermediate to selected partners for testing various applications in a large scale.

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Introducing renewable natural gas, the new player in the cellulosic RINs market.

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Dyadic International Inc. recently released 2014 financial results, reporting revenue of $12.5 million, down from $17.1 million the prior year. The decrease is primarily attributed to a $6 million BASF upfront license fee in 2013.

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BioAmber Inc. has released 2014 financial results and announced commissioning has begun at its 30,000 metric ton succinic acid plant in Sarnia, Ontario. The facility is expected to reach commercial production by the third quarter.

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The Urban Air Initiative filed a new petition against the U.S. EPA as the next step in what UAI officials describe as their ongoing effort to challenge EPA's defective models and policies relating to ethanol.

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Retailers selling E15 say business is up, consumers are satisfied and everyone is excited to help local economies, improve the environment and reduce our nation's addiction to foreign oil, writes Tom Buis of Growth Energy.

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Dyadic International Inc. recently released 2014 financial results, reporting revenue of $12.5 million, down from $17.1 million the prior year. The decrease is primarily attributed to a $6 million BASF upfront license fee in 2013.

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In the current tight ethanol margin environment, strong distillers grains markets have partially offset some of the pressures of the energy market. Economists examine factors influencing distillers grains pricing in a recent FarmDoc Daily post.

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Aemetis Inc. has released 2014 financial results, reporting record revenues of $208 million, up from $178 million in 2013. Record adjusted EBITDA was $30 million in 2014, up from $10 million in the prior year. Gross profit was $37 million last year.

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What's holding up approvals for modified microorganisms?

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Leading players in the U.K.'s biomass industry have joined forces to develop a skills standard under the British government's Apprenticeship Trailblazers program. The Biomass Installation Engineer program is led by Neil Harrison of re:heat.

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