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CoBank: Ethanol industry continues to recover in Q4

By Erin Krueger

January 18, 2021

Feedstocks Policy Business Operations Markets Coproducts 

The ethanol sector continued to recover during the fourth quarter of 2020 with production levels up 3.5 percent when compared to the third quarter, according to a new quarterly report released by CoBank's Knowledge Exchange on Jan. 14.

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FROM THE FEBRUARY ISSUE: Data analysis for process improvements can range from simple to complex, low cost to high. In many plants, the keys to optimize maintenance, cleaning and overall performance remain unused.

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The U.S. EIA has released is Short-Term Energy Outlook for January, The EIA currently predicts ethanol production will average 1.02 million barrels per day next year, up from 980,000 barrels per day in 2021.

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Scanning CMMS Efficiencies

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By Susanne Retka Schill

January 13, 2021

FROM THE FEBRUARY ISSUE: Fully utilizing computerized maintenance management systems can tighten inventory, reduce overtime and increase equipment life. Put to work right, CMMS systems help producers attain both greater efficiency and productivity.

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U.S. ethanol production was up nearly 1 percent the week ending Jan. 8, according to data released by the U.S. Energy Information Administration on Jan. 13. Weekly ending stocks of fuel ethanol increased by nearly 2 percent.

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Ingredion confirmed on Jan. 6 it is idling its 45 MMgy ethanol plant in Cedar Rapids, Iowa. A company spokesperson attributed the decision to “current market conditions [that] have impacted the entire ethanol industry.�

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U.S. ethanol production was down 4 percent the week ending Dec. 25, according to data released by the U.S. Energy Information Administration on Dec. 30. Weekly ending stocks of fuel ethanol increased by more than 1 percent.

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The USDA recently released its Grain Crushings and Co-Products Production report for December, reporting that corn use for fuel ethanol production reached 433 million bushels in October, up from the previous month, but down from October 2019.

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The U.S. EPA has released data showing that more than 1.61 billion renewable identification number (RINs) were generated under the Renewable Fuel Standard in November, up from 1.58 billion generated during the same month of 2019.

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U.S. ethanol production was up 2 percent the week ending Dec. 18, according to data released by the U.S. Energy Information Administration on Dec. 23. Weekly ending stocks of fuel ethanol increased by 1 percent.

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45Q - The Drive to Qualify

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By Alex Tiller

December 22, 2020

The road to qualifying for the 45Q tax credit can be confusing, with strict limitations on project phases and what constitutes start of construction. But, navigated properly, the credit is a promising opportunity.

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Enzyme provider CTE Global is raising the bar on service with made-to-order testing and contextual plant data analysis from a single lab.

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CoBank on Dec. 17 issued a report on the year ahead, predicting the 2021 outlook for ethanol is stable but guarded, with considerable growth and margin opportunities favoring ethanol coproducts versus fuel.

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Documenting, communicating and resolving near misses can help reduce incidents that cause serious injury or death. Jacob Hencke, with PROtect, emphasized this in his presentation during the Plant Maintenance and Safety Summit, Dec. 16 and 17.

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It's important to be aware of different safety and inspection requirements for different piping classifications, according to Jay Beckel, of PROtect. And don't rely on your nondestructive testing (NDT) provider to keep track of it, he added.

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U.S. ethanol production fell by more than 3 percent the week ending Dec. 11, according to data released by the U.S. Energy Information Administration on Dec. 16. Weekly ending stocks of fuel ethanol increased by nearly 4 percent.

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Green Plains Inc. announced on Dec. 15 that its subsidiary, Green Plains Hereford LLC, has entered into an asset purchase agreement to sell its 100 MMgy ethanol plant in Hereford, Texas, to Hereford Ethanol Partners L.P.

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Novozymes has expanded its portfolio of innovative enzyme solutions for the bioenergy industry with the launch of Fortiva Hemi. The unique new product brings novel enzymes to liquefaction that enable higher corn oil and ethanol yields.

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U.S. fuel ethanol production increased by nearly 2 percent the week ending Dec. 4, according to data released by the U.S. Energy Information Administration on Dec. 9. Ethanol stocks were up by approximately 4 percent.

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The U.S. Energy Information Administration slightly increased its forecast for 2021 fuel ethanol production in its latest Short-Term Energy Outlook, released Dec. 8. The forecast for 2020 ethanol production was maintained.

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UNICA, the Brazilian sugarcane industry association, has announced the production of hydrous ethanol was down during the first half of November. Ethanol exports and the production of corn ethanol, however, continued to trend higher.

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Rex American Resource reported a significant increase in gross profit for the third quarter, with the One Earth Energy and NuGen Energy plants running at capacity. The company cautioned, however, that crush spreads are deteriorating.

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U.S. fuel ethanol production fell by nearly 2 percent the week ending Nov. 27, according to data released by the U.S. Energy Information Administration on Dec. 2. Weekly ending stocks increased by 2 percent.

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The USDA's Rural Business-Cooperative Service is soliciting applications for FY 2021 funding under the Rural Energy for America Program. Biomass energy systems, including biogas and anaerobic digesters, are among those eligible for the program.

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As one of America's largest biorefiners moves forward with two more installations of Fluid Quip Technologies' 50% protein technology, critical production redundancy is in hand. Products with even higher protein levels are already in the pipeline.

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U.S. fuel ethanol production increased by 3 percent the week ending Nov. 20, according to data released by the EIA. Stocks expanded by more than 3 percent, and for the first time in several months were up when compared to the same period of 2019.

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The biggest morale boosters have taken a direct hit this year, but ethanol plants and other industry organizations are evolving to keep spirits as high as possible. Open communication, schedule flexibility, coaching and kindness are going a long way.

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The USDA recently released its Grain Crushings and Co-Products Production report for November, reporting that corn use for fuel ethanol was at 401 million bushels in September, down from both the previous month and September 2019.

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The U.S. EPA has released data showing nearly 1.56 billion renewable identification numbers (RINs) were generated under the Renewable Fuel Standard in October, down from 1.73 billion generated during the same month of last year.

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