PRESS RELEASES - Archives

1. Biodiesel from wastes commended by EPA, not so for soy-based fuel
2. Obama, ethanol won the election
3. Congratulations, Barack Obama
4. Ethanol Production and Demand
5. INEOS - Cars to run on fuel from household waste within two years

1. Biodiesel from wastes commended by EPA, not so for soy-based fuel
By Nicholas Zeman
Posted May 6, 2009

Life cycle analysis of Greenhouse gas (GHG) for biodiesel is a new part of the Renewable Fuels Standard (RFS2) and, under the proposed parameters established by U.S. EPA, biodiesel made from waste vegetable oils or yellow grease is among the top performing environmental fuels. The National Biodiesel Board, the American Soybean Association and others, however, think the EPA proposed ruling for the implementation of RFS2 is potentially damaging to soy and virgin vegetable oil-based biodiesel. “I think it’s wonderful that waste grease performs so well under this ruling,” said Charles Neece of FUMPA BioFuels in Redwood Falls, Minn. “But it seems like they aren’t giving us any other options.”

The Energy Independence and Security Act of 2007 established new categories and eligibility requirements based on the Environmental Protection Agency’s analysis of life-cycle GHGs from increased renewable fuel use. Biodiesel made from waste greases is one of the top renewable fuels in terms of reducing GHG emissions, said EPA in the proposed rule released Monday.

As a multi-feedstock operation, Neece says that a part of his job now will be to manage the mix of feedstocks to give FUMPA the best percentages for reducing GHGs and meeting the EPA guidelines. “Some of us that don’t use waste grease in our refineries are not going to be able to make it,” he says. “There’s just not going to be enough to go around—and if that is the only feedstock that will receive benefits, the industry is not going to be able to meet the volume requirements outlined by the federal government.”

2. Industry: Obama, ethanol won the election
Web exclusive posted Nov. 5, 2008 at 3:57 p.m. CST

The 2008 U.S. presidential election was a monumentous occasion for people and organizations across the country, but perhaps no industry had as much at stake as the renewable fuels industry. During his campaign, President-elect Barack Obama vowed to continue to support the development of a strong renewable fuels industry as a way to secure U.S. energy independence.

Among Obama’s campaign promises:

• A mandate requiring at least 10 percent of the nation’s energy to be derived
  from renewable resources within four years.
• Further support for renewable fuel subsidies.
• Continued federal tax incentives and government contracts for the development of second-generation biofuels.
• A requirement for automakers to begin producing drastically more
  fuel-efficient vehicles.
• Implementation of a cap-and-trade greenhouse gas emissions program.
• The creation of five million “green collar” jobs through federal investments of up to $150 billion over the next decade.
• The establishment of a national Low Carbon Fuel Standard in order to expand the use of non-petroleum fuels.

It remains to be seen how he hold to his campaign promises, but ethanol industry members are optimistic that an Obama administration is a bright light for renewable fuels.

EPM spoke to members of the industry to gain their perspectives:

Larry Mitchell, director of government affairs, American Corn Growers Assocation: “It’s quite obvious from their voting records and their platforms that Obama will do a much better job to advance ethanol and especially advanced ethanol, biodiesel, geothermal, wind…I would say that energy as a whole probably has a much brighter future under a Barack Obama presidency.”

Brian Jennings, executive vice president, American Coalition for Ethanol: “It’s clear that renewable energy and particularly biofuels were an important part of Obama’s campaign for president and I think it’s clear that renewable energy and biofuels will be at the center of the energy strategy and policy that he pursues as president. I think it’s safe to say that when he assembles his advisors and they begin to confront energy policy, independence and security that they will have a broad recognition that we need to continue to build upon the advances made by corn ethanol and accelerate the pace at which we commercialize cellulosic biofuel. Simply put, I think ethanol won in this election and I feel very good about where we’re heading.”

Clayton McMartin, president, Clean Fuels Clearinghouse: “Obama will bring much needed stability to the current renewable fuel standard program. This should give those in the business a more solid base to build from as they develop and implement strategic plans for future renewable fuel operations.”

Keith Bolin, president, American Corn Growers Association, as well as a farmer and livestock producer: “I think it’s good news for rural America, not just for ethanol but for the broader base of agriculture. My hope is that there’s going to be a little more fairness and equity in federal policy.

3. Congratulations, Barack Obama
November 5, 2008 – Washington, DC – "On behalf of America's renewable ethanol industry, we congratulate President-elect Barack Obama on his historic victory.

"Throughout this campaign, President-elect Obama has reiterated that American farmers and ethanol producers are a critical component of our national strategy to help reduce America's dependence on foreign oil. In addition, President-elect Obama has steadfastly held that ethanol, biodiesel and other forms of renewable energy need to be the building blocks of a new, green economy to generate much-needed economic activity, jobs, and opportunities that harness the innovative and entrepreneurial spirit that has made our country great.

"We look forward to working with an Obama Administration and members of Congress from both sides of the aisle to ensure the full potential of America's home grown ethanol industry is realized. This means continuing consistent public policies that allow investments in technology and infrastructure to be made with confidence, expanding the markets for ethanol in a manner that is responsible and collaborative with other stakeholders, and fostering the kind of innovative expertise necessary to continuing moving this industry forward.

"On behalf of America's grain and cellulosic ethanol producers, we congratulate President-elect Obama, Vice President-elect Joe Biden, and all those elected to Congress. Together, we must seize the opportunity to move America further down the path of energy independence."

4. August 2008: Ethanol Production and Demand
November 3, 2008 – WASHINGTON, DC – According to the Energy Information Administration (EIA), American ethanol facilities were producing 647,000 barrels per day (b/d) in August. That is up from 614,000 b/d in July.

Ethanol demand, as calculated by the Renewable Fuels Association, continued to outpace production. In August, the RFA estimated ethanol demand at 661,000 b/d. As an annualized figure, demand exceeds 10 billion gallons a year. This demand is approaching the legal limit of ethanol allowed, known colloquially as the "blend wall." In order to achieve the full promise offered by America's ethanol industry, expanding markets for ethanol is critical.

The RFA released the following statistics:

August 2008 Statistics
(mg = million gallons; b/d = barrels per day)

A couple of interesting numbers stand out in the last report by EIA. First, the growth in ethanol production in August came amid declining corn prices that today are half of what they were at their peak in late June. Such a dynamic further erodes the argument of livestock, poultry and food processing companies that have argued ethanol is responsible for the dramatic increase in food prices. It also calls into question the reports from groups such as the World Bank, the United Nations and others that US ethanol production is responsible for high corn prices.

Further evidence of the fallacy of these arguments can be seen here.

Second, the dramatic increase in imports seen in August signals the urgency with which importers were seeking to capitalize on the final days of a loophole in trade regulations known as the duty drawback. This provision allows for the import of ethanol and the export of another fuel, like jet fuel, to recapture the $0.54 tariff placed on foreign ethanol imports.

More information on ethanol production can be found at www.ethanolrfa.org.

5. Cars to Run on Fuel from Household Waste Within Two Years,
July 19, 2008 - Fayetteville.

INEOS now has technology to produce commercial quantities of bio ethanol fuel from landfill waste. Second generation bio ethanol reduces greenhouse gases from car use by 90% and doesn’t use food crops in the production process.

Cars to run on fuel from household waste within two years

“This is a breakthrough technology” says INEOS Bio CEO

INEOS, one of the world’s top three chemical companies, announced today that it is aiming to produce commercial quantities of bioethanol fuel from biodegradable municipal waste within two years.

INEOS new technology will produce bioethanol in huge quantities from municipal solid waste, green waste, animal waste and agricultural residues amongst other things.

According to Peter Williams, INEOS Bio CEO, “Consistent with changing policy, in regions such as North America and Europe we see around 10% of the gasoline or petrol being replaced with second generation bioethanol. We believe our technology will make a major contribution to reducing greenhouse gases and the world’s need for fossil fuels.

INEOS Bio Ethanol releases up to 90% less net greenhouse gases than petrol. One tonne of dry waste can be converted into about 400 litres of ethanol, which can be blended with or replace traditional fuels to substantially reduce vehicle emissions.

The technology – already proven at pilot plant scale – uses a simple three-stage process. The waste is first superheated to produce gases. Then, through a patented process, the gases are fed to naturally occurring bacteria, which efficiently produce ethanol. Finally, the ethanol is purified to make the fuel ready to be blended for use in cars.

Car companies have already developed engines that can run efficiently on both bioethanol and conventional fuels. Up to now, the challenge has been that bioethanol has been manufactured primarily from food crops and this has raised concerns on price and availability.

Peter Williams says, “The fact that we have been able to decouple second generation biofuel from food is a major breakthrough, and we expect our technology to provide a low-cost route to renewable fuels”.

Dr Geriant Evans is the Technology Transfer Manager for the UK’s National Non Food Crops Centre. He says: “This technology really ticks all the boxes. It turns waste into biofuel; it reduces greenhouse gases and doesn’t rely on food crops. We need this produced on a global scale as soon as possible. It’s a revolutionary technology”.

Governments, NGO’s and Municipal Authorities are already welcoming second generation Bio Fuels such as INEOS Bio Ethanol, which will contribute to both reducing greenhouse gases and the ever-growing waste disposal problem.

The process was developed in Fayetteville, Arkansas where Dan Coody is Mayor. He recognises the enormous potential. “We’re proud that this technology has been developed here and it is definitely a technology that we’d like to employ in the City of Fayetteville. It will help us reduce our landfill, reduce our CO2 emissions and our reliance on foreign fuels all at the same time”

With the technology proven at pilot scale, the next challenge is to bring second-generation bioethanol into commercial production. INEOS aims to do this within two years.

Peter Williams, INEOS Bio CEO says: “We expect to announce the location of the first commercial pilot plant fairly shortly and we will quickly roll out this technology around the world. We aim to be producing commercial amounts of bioethanol fuel, for cars, from waste within about two years.

ENDS

Note To Editors :

• INEOS Bio is a new INEOS business. It was created on July 1st 2008 to commercialise and license a highly innovative thermo-chemical and bio-chemical technology for the production of biofuel, renewable power and chemical intermediates from a wide range of low-cost carbon materials. Our initial focus will be the commercialisation of the World’s leading second generation bioethanol technology process to serve the global renewable transport fuels market.

• Central to the INEOS Bio technology is a highly selective, highly efficient, proprietary biochemical conversion of synthesis gas to bioethanol. The use of a bacterial biocatalyst is the essential key to unlocking the value chains from low cost carbon through synthesis gas to fuel.

A process of continuous innovation has transformed a simple concept into a World leading bioethanol process. The biocatalyst used for the biocatalytic conversion far out-performs any known conventional catalyst.

• The INEOS Bio second generation bioethanol technology efficiently converts a wide range of low cost, organic materials, including household and commercial wastes into bioethanol for use as a renewable road transport fuel or petrochemical intermediate. The INEOS Bio process comprises three main steps:
o Gasification of the prepared organic carbon material using oxygen to produce synthesis gas, a mixture of CO, H2 and CO2. The hot synthesis gas is quenched and cleaned. Heat is recovered to generate renewable power.
o The cleaned, cooled synthesis gas is passed into a fermentation process, where it is consumed by anaerobic bacteria (the biocatalyst) and turned into ethanol. The fermentation broth contains a carefully controlled mixture of nutrients to deliver a reliably high yield of ethanol production. The bacteria achieve a very high selectivity to ethanol. The high yield and high selectivity translate to an outstanding process efficiency and leading production economics. The off-gas from the fermenter is used to produce additional power and heat.
o The ethanol solution is purified to make anhydrous ethanol (>99.7% ethanol). This is subsequently blended into gasoline (e.g. at 5% ethanol concentration for E5 or at 85% ethanol concentration for E85 as required for the local renewable road transport fuel market).
• Two independent life cycle assessments on the production of INEOS Bioethanol from waste biomass both indicate that GHG savings of > 90% vs. petrol should be achieved. This magnitude of GHG saving is significantly higher than the best performing bioethanol today (sugar cane ethanol made in Brazil delivering a maximum GHG saving of 70%).[Reference ?]
• It is expected that the INEOS Bio technology, producing clean bioethanol will form an important part of the overall INEOS biofuels strategy. As a technology business this sits well alongside INEOS Enterprises, which has more than 10 years experience in the biodiesel sector. The Balleycourt biodiesel facility is centrally located in the heart of France's second largest vegetable oil producing region, the site currently transforms 110,000 per annum of rape seed oil for supply to customers in the fuel distribution and chemical industries.

• INEOS is the world’s third largest chemicals company and a leading manufacturer of petrochemicals, specialty chemicals and oil products. Comprising 19 businesses, with a production network spanning 70 manufacturing facilities in 14 countries. The company produces more than 40 million tonnes of petrochemicals, 20 million tons per annum of crude oil refined products (fuels). INEOS employs 16,000 people and has sales of around $44bn.

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