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EIA: Ethanol operating margins pushed to multiyear lows

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By U.S. Energy Information Administration

August 14, 2019

Business 

Estimated operating margins for corn-based fuel ethanol plants in the Midwest decreased to multiyear lows in 2019, averaging about 3.5 cents per gallon through the first half of the year, according to the U.S. Energy Information Administration.

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RFA safety webinar seeks to train trainers

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By Renewable Fuels Association

August 14, 2019

The Renewable Fuels Association, in partnership with TRANSCAER, is hosting a free ethanol safety “Train the Trainer� webinar on Aug. 20, for ethanol emergency response teams. The webinar will take place from noon to 2 p.m. ET.

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The U.S. Energy Information Administration has maintained its forecasts for 2019 and 2020 ethanol production in its latest Short Term Energy Outlook, released Aug. 6. Short-term forecasts for ethanol consumption were also maintained.

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A report recently filed with the USDA Foreign Agricultural Service's Global Agricultural Information Network shows the average ethanol blend rate in India is expected to reach a record 5.8 percent this year, up from a record of 4.1 percent in 2018.

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FROM THE SEPTEMBER ISSUE: Plants that planned ahead when margins were better are leading the industry today.

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Trans-Atlantic Trade-Offs

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By Emmanuel Desplechin

August 13, 2019

FROM THE SEPTEMBER ISSUE: The EU's opportunity to grow European ethanol by aligning trade policy with its environmental goals.

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Praj Industries has entered into a cooperation agreement with Dedini S/A Indústrias de Base to provide ethanol production technologies to the Brazilian market. Dedini will market Praj's technologies, including those for grain-based ethanol.

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Growth Energy and GasBuddy announced Aug. 13 that drivers across the nation can now take advantage of Unleaded 88's affordable prices through GasBuddy's database and app. The app tracks E15 prices at more than 1,800 retail locations.

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The Department of Energy's Office of Efficiency and Renewable Energy is seeking public input on its EERE and Bioenergy Technologies Office research priorities, including those focused on corn fiber biofuel, food waste, data efforts and algae biomass.

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Edeniq Inc. announced Aug. 8 the California Air Resources Board has approved Golden Grain Energy LLC for cellulosic ethanol production from corn kernel fiber. Golden Grain is a 120 MMgy corn ethanol plant in Mason City, Iowa.

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NewEnergyBlue acquired exclusive rights to Inbicon bio-conversion technology throughout the Americas and will first employ it to turn North Dakota wheat straw into a high-value, carbon-neutral automotive fuel.

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The EPA announced Aug. 9 it approved 31 of the 38 SREs that were pending for compliance year 2018. Eight remaining SRE petitions that were pending for compliance years 2016-2018 were denied, while one for 2018 was withdrawn or declared ineligible.

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A group of petitioners, including Urban Air Initiative and National Farmers Union, have filled a legal petition with the U.S. Court of Appeals requesting judicial review of an EPA rulemaking that would limit blends of ethanol higher than 15 percent.

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Business Briefs

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By Ethanol Producer Magazine

August 09, 2019

FROM THE SEPTEMBER ISSUE: BIO restructures to add public affairs executive vice president, Nelson Engineering undergoes name change, and Midwest AgEnergy's 12-year safety record.

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RFA: E15 sales up, but SREs suppress expansion

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By Renewable Fuels Association

August 08, 2019

Data released Wednesday by the Minnesota Department of Commerce prove that the marketplace is already responding to President Trump's elimination of a decades-old regulatory barrier severely limiting the sale of E15 in the summertime.

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Novozymes released second quarter 2019 financial results Aug. 8 reporting sales for its bioenergy segment were flat organically for the three months period and down 4 percent organically for the first half of the year.

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For retailers who are still looking to add E15 to their product mix, Growth Energy's vice president of market development, Mike O'Brien believes there's no better place to learn about and ask questions than the Prime the Pump program.

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Aemetis Inc. released second quarter financial results Aug. 8, reporting growth for its biodiesel business in India, outlining improvement projects underway at its corn ethanol plant, and discussing planned RNG and cellulosic ethanol production.

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Gevo Inc. announced Aug. 5 it has achieved its International Sustainability and Carbon Certification under the ISCC PLUS scheme for food, feed, industrial applications, energy, and biofuels outside Europe.

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The Minnesota Department of Agriculture announced Aug. 6 funding for a bioenergy pilot plant and three biofuel blending infrastructure projects, including one that that focuses on E15 and E85 distribution.

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The U.S. exported 128.42 million gallons of ethanol and 962,592 tons of distillers grain in June, according to data released by the USDA Foreign Agricultural Service on Aug. 2. Exports of both products were both down when compared to June 2018.

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The Andersons Inc. released second quarter financial results Aug. 7, reporting that its ethanol group remained profitable during the three-month period. Ethanol earnings, however, were down significantly due to the poor margin environment.

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SD Farmers Union meets with EPA official to discuss E30

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By South Dakota Farmer Union

August 06, 2019

South Dakota Farmers Union, together with leaders from 13 South Dakota agriculture organizations, sat down with Gregory Sopkin, U.S. EPA Regional Administrator for District Eight Aug. 1 to discuss farm challenges and higher ethanol blends.

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During an Aug. 6 earnings call, Green Plains officials discussed progress with the Project 24 initiative, criticized Trump's EPA and trade policies for harming the ethanol industry, and indicated the company continues to explore the sale of assets.

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Advanced Bioenergy LLC announced Aug. 5 an agreement to sell its two corn ethanol plants in South Dakota to Glacial Lakes Energy LLC for $47.5 million plus the value of ABE inventory at the time of closing.

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Utilizing Market Access Program and Agricultural Trade Program funds, the U.S. Grains Council's Mexico office has invested in marketing U.S. distillers dried grains with solubles (DDGS) through strategic feeding trials in southeast Mexico.

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Growth Energy announced Aug. 2 that Nathan VanderGriend has been elected to the organization's board of directors. VanderGriend is the president and CEO of ERI Solutions Inc. He also oversees Paragon NDT LLC.

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A recent report filed with the USDA Foreign Agricultural Service's Global Agricultural Information Network discusses the current use of biofuels in the European Union and the potential for increased use in the future.

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The U.S. EPA submitted its final Safer Affordable Fuel-Efficient (SAFE) Vehicles Rule for Model Years 2021-2026 Passenger Cars and Light Trucks to the White House Office of Management and Budget on Aug. 2.

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Pacific Ethanol president and said the company's second quarter crush margin improved, but the industry is still suffering from oversupply.

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