Willie Nelson's Earth Biofuels, Inc. announced the opening of its own biodiesel truck stop/service station located in Grenada, Miss. The opening follows the company's initial biodiesel station near Jackson, Miss., opened over one year ago.
The opening was marked by the attendance of Mississippi state senator, Cindy Hyde-Smith, who stated, "I cannot think of anything better we can do for the agricultural and farming community than what we are doing here today."
Wednesday, March 29, 2006
Tuesday, March 21, 2006
South Africa takes a look at biodiesel
An interesting article at http://www.businessinafrica.net/features/oil/983255.htm showing how South Africa is looking at biodiesel fuel to ease global warming.
"Biodiesel is a clean-burning, biodegradable and renewable fuel that can be produced from oil seed crops such as sunflower, soy and groundnut. Seed bearing trees such as Jatropha are also good sources.
Jatropha is favoured because it is tough, drought resistant and frost hardy. Although it is not indigenous to southern Africa, it grows well in Zimbabwe and Zambia, and is already being used for biodiesel production in West African countries such as Mali, Ghana and Nigeria."
"Biodiesel is a clean-burning, biodegradable and renewable fuel that can be produced from oil seed crops such as sunflower, soy and groundnut. Seed bearing trees such as Jatropha are also good sources.
Jatropha is favoured because it is tough, drought resistant and frost hardy. Although it is not indigenous to southern Africa, it grows well in Zimbabwe and Zambia, and is already being used for biodiesel production in West African countries such as Mali, Ghana and Nigeria."
Saturday, March 18, 2006
Michigan State House passes bill
''The Fuels of the Future Commission will make Michigan a leader in the development of alternative fuels,'' Mayes, D-Bangor Township, said in a news release.
''Developing renewable fuels like biodiesel and ethanol right here in our state will help boost our agricultural economy and help break our dependence on foreign oil.''
''Developing renewable fuels like biodiesel and ethanol right here in our state will help boost our agricultural economy and help break our dependence on foreign oil.''
Monday, March 13, 2006
you can get more than fuel
an amazing story http://www.siouxcityjournal.com/articles/2006/03/13/news/latest_news/dbd291588698cbbd862571300069ace5.txt
about the gycerin byproduct that is produced when biodiesel fuel is made. A great use for the product would be in the manufacture of non toxic antifreeze.
about the gycerin byproduct that is produced when biodiesel fuel is made. A great use for the product would be in the manufacture of non toxic antifreeze.
Wednesday, March 08, 2006
world’s largest biodiesel plant
Indiana Governor Mitch Daniels has announced that the Louis Dreyfus Agriculture Industries LLC plans to build the world’s largest biodiesel plant near Claypool, Indiana. With this facility, two other biodiesel and six ethanol plants currently under construction, Indiana will become a leading producer in the biofuels industry.
Sunday, March 05, 2006
Get in on the biodiesel gold
The time is now for farmers:
Biodiesel opportunities may be limited
By MATTHEW WILDE
IOWA FALLS --- Biodiesel is like black gold, and industry experts say the time to cash in is now.
In Iowa Falls, the world's largest biodiesel plant is only months away from production. Many others are planned in the state. Officials say that is a good indication profitability exists in the industry, but they warn farmers not to wait too long get a piece of the action.
"The window of opportunity is now. I'm not sure if that will be the case later as large corporations come in and just build," said Mark Muench, an Ogden farmer and biodiesel consultant specializing in producer-owned plants. "In two or three years I think growth will ... level off."
Iowa produced 28.5 million gallons of biodiesel last year. About 75 million gallons was consumed nationally.
According to the Iowa Soybean Association, the state has four biodiesel plants, two under construction and 10 to 15 in the organization or feasibility study phase. If most of these plants are built, the state's production capacity will top 400 million gallons by 2010. States like Minnesota are also embracing the environmentally friendly fuel.
"Every corner of the state is looking at plants. ... If Iowa has 20 plants and nothing changes, it would certainly be possible to be over capacity," said Karen Andersen, ISA director of marketing.
Muench --- supplying expertise and capital --- helps biodiesel plants get off the ground. He's involved in projects at Wall Lake, Farley, Washington and Newton. It takes a minimum of 18 months to raise money and build a biodiesel plant if everything works out perfect, he said.
Biodiesel doesn't have the acceptance of its cousin, ethanol --- 4.3 billion gallons of the corn-based fuel was blended with gasoline last year. Future demand will dictate the profitability of biodiesel, Muench said. That's why it's important to start producing as soon as possible.
Experts believe established plants with a stable of buyers will be more successful.
"It's important Iowans own plants first. That's what value-added is all about," Muench said.
There are several reasons biodiesel production isn't booming in Northeast Iowa like ethanol. Four ethanol plants are either producing fuel, in the planning stages, under construction or expanding.
Ethanol has enjoyed more tax breaks, giving it a cost advantage at both the production and retail level. The infrastructure to get ethanol from plants into vehicles is more advanced. Ethanol has been on the market for more than two decades, compared to less than one for biodiesel.
And, refined products like soybean oil are needed to make biodiesel. Ethanol turns raw material like corn into ethanol. Plants aren't dependent on other companies. Soybean oil prices may be up even if soybean prices are down, which will cut into biodiesel profits. Ethanol producers don't have to worry about that, making the industry attractive to investors.
It wasn't until last year that biodiesel became competitive with ethanol and petroleum-based diesel. A $1 per gallon federal blenders credit was approved along with a federal tax credit of $1.5 million a year for investors in plants up to 30 million gallons. A state income tax credit of 5 percent to 10 percent is also available for biodiesel investors.
"This created an explosion of interest," Muench said.
Cargill is building a 37.5-million-gallon biodiesel plant and a 30-million-pound glycerin refinery next to its soybean crush facility in Iowa Falls. Company officials hope to turn the 35 million bushels of soybeans it crushes at the plant into fuel by the beginning of May.
Jim Sutter, vice president of Cargill's grain and oilseeds supply chain, believes the company is expanding its biodiesel production just in time. The $33 million Iowa Falls facility will be Cargill's first in the United States, though it has plants in Europe.
"We viewed being one of the first a good thing. We hope demand will be there," Sutter.
The ethanol industry went through the same growing pains 20 years ago, Sutter said. Today its thriving, he said.
Renewable fuels experts currently peg the return on investment for ethanol plants at 20 percent to 30 percent a year.
Farmers Cooperative, based in Marble Rock, is considering building a new 30-million-gallon biodiesel facility. The co-op used a $100,000 federal grant to do a feasibility study. The results were positive --- an equity drive is expected to begin later this month.
Steve Bodensteiner, co-op general manager, wouldn't reveal profit projections for potential investors, but he said it's similar to ethanol. Timing has a lot do with it, he said.
"Presently, it's a very viable industry. Let's put is this way, it's (profit potential) good," Bodensteiner said.
The 7.5-billion-gallon federal renewable fuels standard passed last year will boost demand. The soybean association projects biodiesel consumption nationwide will increase from 30 million gallons in 2004 to more than 700 million gallons by 2012.
However, the soybean association said more biodiesel retail outlets are needed in the state to give it mainstream acceptance. Last year there were only 52. Until that time comes and biodiesel is convenient for all drivers and retailers to get, investing in the industry is not a sure thing.
"We encourage people to look into the business aspect and not the emotional one," Andersen said. "We all like fuel made in America, but there is such a sting as the industry growing too fast. We don't want plants to fail."
Biodiesel opportunities may be limited
By MATTHEW WILDE
IOWA FALLS --- Biodiesel is like black gold, and industry experts say the time to cash in is now.
In Iowa Falls, the world's largest biodiesel plant is only months away from production. Many others are planned in the state. Officials say that is a good indication profitability exists in the industry, but they warn farmers not to wait too long get a piece of the action.
"The window of opportunity is now. I'm not sure if that will be the case later as large corporations come in and just build," said Mark Muench, an Ogden farmer and biodiesel consultant specializing in producer-owned plants. "In two or three years I think growth will ... level off."
Iowa produced 28.5 million gallons of biodiesel last year. About 75 million gallons was consumed nationally.
According to the Iowa Soybean Association, the state has four biodiesel plants, two under construction and 10 to 15 in the organization or feasibility study phase. If most of these plants are built, the state's production capacity will top 400 million gallons by 2010. States like Minnesota are also embracing the environmentally friendly fuel.
"Every corner of the state is looking at plants. ... If Iowa has 20 plants and nothing changes, it would certainly be possible to be over capacity," said Karen Andersen, ISA director of marketing.
Muench --- supplying expertise and capital --- helps biodiesel plants get off the ground. He's involved in projects at Wall Lake, Farley, Washington and Newton. It takes a minimum of 18 months to raise money and build a biodiesel plant if everything works out perfect, he said.
Biodiesel doesn't have the acceptance of its cousin, ethanol --- 4.3 billion gallons of the corn-based fuel was blended with gasoline last year. Future demand will dictate the profitability of biodiesel, Muench said. That's why it's important to start producing as soon as possible.
Experts believe established plants with a stable of buyers will be more successful.
"It's important Iowans own plants first. That's what value-added is all about," Muench said.
There are several reasons biodiesel production isn't booming in Northeast Iowa like ethanol. Four ethanol plants are either producing fuel, in the planning stages, under construction or expanding.
Ethanol has enjoyed more tax breaks, giving it a cost advantage at both the production and retail level. The infrastructure to get ethanol from plants into vehicles is more advanced. Ethanol has been on the market for more than two decades, compared to less than one for biodiesel.
And, refined products like soybean oil are needed to make biodiesel. Ethanol turns raw material like corn into ethanol. Plants aren't dependent on other companies. Soybean oil prices may be up even if soybean prices are down, which will cut into biodiesel profits. Ethanol producers don't have to worry about that, making the industry attractive to investors.
It wasn't until last year that biodiesel became competitive with ethanol and petroleum-based diesel. A $1 per gallon federal blenders credit was approved along with a federal tax credit of $1.5 million a year for investors in plants up to 30 million gallons. A state income tax credit of 5 percent to 10 percent is also available for biodiesel investors.
"This created an explosion of interest," Muench said.
Cargill is building a 37.5-million-gallon biodiesel plant and a 30-million-pound glycerin refinery next to its soybean crush facility in Iowa Falls. Company officials hope to turn the 35 million bushels of soybeans it crushes at the plant into fuel by the beginning of May.
Jim Sutter, vice president of Cargill's grain and oilseeds supply chain, believes the company is expanding its biodiesel production just in time. The $33 million Iowa Falls facility will be Cargill's first in the United States, though it has plants in Europe.
"We viewed being one of the first a good thing. We hope demand will be there," Sutter.
The ethanol industry went through the same growing pains 20 years ago, Sutter said. Today its thriving, he said.
Renewable fuels experts currently peg the return on investment for ethanol plants at 20 percent to 30 percent a year.
Farmers Cooperative, based in Marble Rock, is considering building a new 30-million-gallon biodiesel facility. The co-op used a $100,000 federal grant to do a feasibility study. The results were positive --- an equity drive is expected to begin later this month.
Steve Bodensteiner, co-op general manager, wouldn't reveal profit projections for potential investors, but he said it's similar to ethanol. Timing has a lot do with it, he said.
"Presently, it's a very viable industry. Let's put is this way, it's (profit potential) good," Bodensteiner said.
The 7.5-billion-gallon federal renewable fuels standard passed last year will boost demand. The soybean association projects biodiesel consumption nationwide will increase from 30 million gallons in 2004 to more than 700 million gallons by 2012.
However, the soybean association said more biodiesel retail outlets are needed in the state to give it mainstream acceptance. Last year there were only 52. Until that time comes and biodiesel is convenient for all drivers and retailers to get, investing in the industry is not a sure thing.
"We encourage people to look into the business aspect and not the emotional one," Andersen said. "We all like fuel made in America, but there is such a sting as the industry growing too fast. We don't want plants to fail."
Thursday, March 02, 2006
Biodiesel makes the grade for New Jersey Schools
New Jersey's Medford School District plainly shows the advantages of using biodiesel in it's school buses. In a four-year test which began in 1997, the district had run half of its 44 buses on B20 biodiesel fuel and the other half on petroleum diesel.
In basic performance, says district operations director Joe Biluck, no differences were detected between the two groups of buses. Fuel economy and start-up ability were identical even in colder weather. Biluck says the B20-fueled buses seemed to idle more smoothly, perhaps because of biodiesel's greater oxygen content.
"From a fleet manager's point of view the integration was completely seamless," he says. Importantly, the biodiesel fuel emitted noticeably cleaner exhaust. With students gathering around buses every day, the heavy black smoke from petroleum diesel is a constant health hazard.
The Medford district is not covered by EPA act. Its biodiesel test was funded by a Heavy Duty Vehicle grant from DOE to the New Jersey Board of Public Utilities, Division of Energy Department of Environmental Protection, which will largely dictate the future direction of biodiesel in the district. "If I had my way, we'd start using it in all of our buses," says Biluck.
In basic performance, says district operations director Joe Biluck, no differences were detected between the two groups of buses. Fuel economy and start-up ability were identical even in colder weather. Biluck says the B20-fueled buses seemed to idle more smoothly, perhaps because of biodiesel's greater oxygen content.
"From a fleet manager's point of view the integration was completely seamless," he says. Importantly, the biodiesel fuel emitted noticeably cleaner exhaust. With students gathering around buses every day, the heavy black smoke from petroleum diesel is a constant health hazard.
The Medford district is not covered by EPA act. Its biodiesel test was funded by a Heavy Duty Vehicle grant from DOE to the New Jersey Board of Public Utilities, Division of Energy Department of Environmental Protection, which will largely dictate the future direction of biodiesel in the district. "If I had my way, we'd start using it in all of our buses," says Biluck.
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