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Special Report: Ethanol plant margins strong in uncertain times

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By Susanne Retka Schill

January 21, 2014

Feedstocks Policy Business Markets 

Ethanol producers are enjoying generous margins in recent weeks, even as uncertainty over the fate of the renewable fuels standard (RFS) weighs upon the long-term outlook. Late November saw the best ethanol margins since the height of the 2006 boom.

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In December, logistics were the primary market driver in the DDGS market. Whether in railcar turn times, empty container availability or even truck availability to move the product, transportation is affecting prices.

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Valmet Corp. has announced it will supply a prehydrolysis system to Bioprocess Pilot Facility BV's (BPF) pilot plant, which is located in Delft, the Netherlands. The BPF is a multi-purpose facility established by a consortium of industrial partners.

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Deinove, a cleantech company that designs and develops new industrial production processes based on the exploitation of Deinococcus bacteria, has managed to produce 9 percent ethanol with unparalleled performance.

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Experts in the DDGS industry addressed current challenges and opportunities during a Jan. 16 webinar hosted by Ethanol Producer Magazine. The event was sponsored by the 2014 Fuel Ethanol Workshop & Expo.

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Patent filed for ethanol-water separation module technology

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By Greenbelt Resources Corp.

January 16, 2014

Greenbelt Resources Corp. has announced a patent protection filing for its proprietary ethanol-water separation membrane module technology on behalf of its subsidiary Diversified Ethanol Corp. The system utilizes the Hitachi-Zosen membrane.

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Brentwood, Tenn.-based convenience store operator MAPCO Express Inc. has announced it will begin offering E15 to customers. According to the company, E15 will be included in new build and select mega store locations beginning in 2014.

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United Ethanol LLC has temporarily ceased ethanol production at its 48 MMgy plant in Milton, Wis., following a fire that broke out in a grain drying tower on Jan. 12. It is currently unclear how many days the plant will remain idle.

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Marathon executive to headline National Ethanol Conference

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By Renewable Fuels Association

January 14, 2014

The Renewable Fuels Association is proud to announce David Whikehart, director of product supply and optimization at Marathon Petroleum Co., as the keynote speaker at the 19th annual National Ethanol Conference in Orlando, Fla.

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Germany-based CropEnergies AG has released financial results for the first three quarters of its current fiscal year, reporting a 5 percent increase in the production of ethanol. Production for the nine-month period reached 626,000 cubic meters.

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For all the media melodrama displayed at this time last year when the USDA released its tally on the drought-suppressed 2012 corn crop, there's been predictably little ado over last week's news that the 2013 crop is the largest on record.

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The USDA has released its January WASDE report, announcing that 2013 was a record crop year with a harvest of 13.93 billion bushels. The average yield was 159 bushels per acre. The forecast for corn use for ethanol was increased to 5 billion bushels.

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Aphios Corp. has announced that it was granted U.S. Patent No. 8,540,847 entitled "Methods and Apparatus for Processing Cellulosic Biomass," for its Aosic enabling technology platform, which utilizes "SuperFluids," such as carbon dioxide.

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Air Products, one of the leading suppliers of liquid carbon dioxide in the United States, has announced the signing of a long-term agreement for the production of liquid CO2 with Big River Resources Boyceville LLC in Boyceville, Wis.

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The U.S. Energy Information Administration has released the January issue of its Short-Term Energy Outlook, slightly increasing its forecast for 2014 ethanol production to an average of 913,000 barrels per day.

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RFA: U.S. ethanol export opportunities abound

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By Renewable Fuels Association

January 08, 2014

U.S. ethanol exports surged to 82.4 million gallons in November, with large volumes finding their way into new or emerging markets such as China and India, as well as the Philippines, Tunisia, Panama, and Mexico, according to government data.

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Ergon Inc. recently announced that its wholly owned subsidiary Ergon Ethanol Inc. has acquired Bunge North America Inc.'s share of the former Bunge-Ergon Vicksburg LLC ethanol plant, located in Vicksburg, Miss.

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A new report published by Iowa State University's Center for Agricultural and Rural Development demonstrates that 2014 statutory requirements for the renewable fuels standard (RFS) could be met without additional infrastructure investments.

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An analysis from Informa Economics Inc. indicates renewable identification number (RIN) credits did not affect retail gasoline prices during 2013. Rather, crude oil prices were determined to be the primary driver of gasoline prices.

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Distillers Grains Technology Council appoints CEO

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By Distillers Grains Technology Council

January 07, 2014

The Distillers Grains Technology Council is pleased to announce that it has selected Kurt Rosentrater, a faculty member at Iowa State University, to be its next executive director and CEO. Rosentrater succeeds Charlie Staff, who recently retired.

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Anyone working in, or on the edges of, cellulosic ethanol should take notice of the advanced biofuels panels taking place March 25-26 at the International Biomass Conference & Expo, in Orlando, Fla.

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Ontario-based Just Energy Group Inc. has closed on the sale of Terra Grain Fuels Inc. to a group of undisclosed Saskatchewan businesses. The 150 MMly plant, located in Belle Plaine, Saskatchewan, is expected to continue operations.

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Australia-based Elk Petroleum Inc. recently announced it has finalized and executed a binding agreement with Nebraska-based Bridgeport Ethanol LLC to purchase carbon dioxide for use in enhanced oil recovery operations.

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A new poll conducted in Ohio has revealed citizens of the state overwhelmingly support the Ohio Clean Energy Initiative, which aims to enact a constitutional amendment that would provide $1.3 billion a year for Ohio to invest in clean energy.

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Iowa produced 3.7 billion gallons of ethanol in 2013

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By Iowa Renewable Fuels Association

January 03, 2014

The Iowa Renewable Fuels Association has announced that Iowa's 42 ethanol plants produced 3.7 billion gallons during 2013, matching 2011 and 2012 production. Iowa continues to be the number one ethanol producing state.

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Sinav offers GTL Resources, Illinois River Energy for sale

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By Ascendant Financial Partners LLC

January 02, 2014

The Board of Directors of Sinav Ltd., the owners of GTL Resources and Illinois River Energy, have retained Ascendant Financial Partners LLC to assist them in the sale of the GTL/IRE business.

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An idle ethanol plant in South Bend, Ind., is expected to resume operations this year following the completion of retrofit activities that kicked off in December. The 100 MMgy plant was purchased by Noble Americas South Bend Ethanol LLC in 2013.

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A recent FarmDocDaily post addresses renewable identification number (RIN) stocks and the implications of the U.S. EPA's proposed 2014 volume requirements for the renewable fuel standard, predicting 1.7 billion RINS will be carried over into 2014.

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Poet-DSM provides update of Project Liberty

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By Poet-DSM Advanced Biofuels

December 31, 2013

Poet-DSM Advanced Biofuel's first commercial cellulosic ethanol plant remains on schedule for startup in the first part of 2014 as workers continue equipment installation and other activity through the winter.

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Pacific Ethanol recently announced its entrance into debt reducing and ownership increasing agreements. he move will increase the company's ownership interest in the Pacific Ethanol plants to 91 percent.

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