Posted June 28, 2010
 

 Several biodiesel ballots are on the table this week at the ASTM meeting in Kansas City, Mo. Steve Howell, technical director for the National Biodiesel Board, sat down with Biodiesel Magazine to discuss the measures. 
 
 Some in the industry believe biodiesel should have different grades, No.1 and No.2, similar to diesel fuel. This is one ballot being considered by subcommittee this week. "We're balloting a No.1/No.2 spec," Howell said. "The specs we currently have work just fine for 99 percent of the people. The philosophy is like with No.1 and No.2 diesel-No.2 works fine for about everybody, but if for some reason it doesn't work for you, try premium diesel fuel." 
 
 Not everyone, however, agrees that a No.1/No.2 biodiesel spec would be good for the industry. One source told Biodiesel Magazine that this approach could drive down the price of most biodiesel, what would be No.2, while placing a premium on No.1. It could also discourage use of feedstock with less than desirable cloud point and other properties. 
 
 Howell said as diesel fuel and engines change, the biodiesel specification will have to adapt. 
 
 Another measure up for ballot at the subcommittee level is a new test method allowing the Cognis QTA system to be used for analysis of multiple biodiesel properties. "It has an AOCS [American Oil Chemists Society] test method number now, so we're balloting to adopt that AOCS method into an ASTM method," Howell said. "That's the first time in the fuel business ASTM has tried adopting an AOCS method." 
 
 He said it would be a real benefit to suppliers and users because they could simply put drop of fuel on the analyzer to get instant analysis for several properties, and they could be analyzed as many times as desired quickly and cheaply, instead of costing 500 dollars a batch. So the cost savings can be huge. There still must be a wet chemistry standard, which will remain the referee in the event that there is differing results. 
 
 "People can use the QTA system as an option," Howell said. "It would increase quality analysis, meaning the fuel could be tested more often, and it would decrease cost." 

 
 Also up for vote, this time in the main committee, is a new stability method that is not so different from the current one except for some technical details with equipment, such as the size, type and length of tubes used in the test. 
 
 The new cold soak filtration test, ASTM D7501, is finally being balloted at the subcommittee level to officially replace the current annex method in the ASTM D6751 biodiesel spec. Howell said, "The new method allows for a water bath to heat the fuel up after the cool down, it's a faster test, and it will help make sure we don't end up with false crystals that haven't gone back into solution. It's also more repeatable, and it specifies one kind of filter paper so it's more consistent." In the annex method, one could get a variety of answers and testers could select labs that use certain filters and always pass. "So this will really tighten up the method and make sure we don't get false negatives," Howell told Biodiesel Magazine. 
 
 Votes at the subcommittee level are first ballots, so it's rare for them to pass on the first vote. Howell said the Biodiesel Task Force, which is 50 people strong, has worked hard through mock ballots and consideration to ferret out any concerns before voting time. "We say, 'Here's the proposal, what are the concerns?'" Howell said. "We don't always catch every one, but when the ballot comes out it's usually less contentious, but it does take more time and effort, but it also helps the ASTM process go faster." He said if there's a big concern in the task force, the measure doesn't get balloted. "If we did, someone would vote negative and the whole thing will get entrenched, so we do that research upfront."

Biodiesel ballots up for vote at ASTM meeting

Posted June 29, 2010
 
 Elevance Renewable Sciences Inc. announced that it has entered into an agreement to form a joint venture with Wilmar International Ltd., one of the largest global agribusiness groups, to construct a world-scale biorefinery. The joint venture will use Elevance's proprietary biorefinery technology to produce high-value performance chemicals, advanced biofuels and oleochemicals. Large existing and rapidly emerging new demand exists for these products in surfactants, antimicrobials, lubricants, renewable biodiesel and green jet fuels. 
 
 This commercial-scale manufacturing facility will begin with a capacity of 180,000 metric tons (approximately 400 million pounds) with the ability to expand up to 360,000 metric tons of products. The facility will be located within Wilmar's new integrated manufacturing complex now under construction in Surabaya, Indonesia. 
 

 The new plant is expected to come online in 2011, and like all facilities based on Elevance's biorefinery technology, it will be capable of operating using multiple renewable oil feedstocks, such as palm, mustard, soybean, jatropha or waste oils.
 
 Once operational, the biorefinery will produce green olefins, including a unique distribution of alpha and internal olefins for chemicals and advanced fuels; novel multifunctional esters and acids, including 9-decenoic acid, as well as a premium mixture of oleochemicals and advanced biofuels. 
 
 "Elevance's unique technology fits our current business and asset footprint very well and provides an exciting growth opportunity. It is a very capital-efficient way to enhance the value of the renewable resource feedstocks we produce," said Rahul Kale, Head of Biofuels and Oleochemicals at Wilmar. "We look forward to working together to develop and deploy the technology at our facility." 
 
 "As a leader in producing, refining, and marketing renewable feedstocks, Wilmar represents an ideal partner for the first commercial-scale biorefinery that Elevance will be investing in," said K'Lynne Johnson, CEO of Elevance. "Wilmar's extensive capabilities and existing operations in Asia will allow us to quickly build and begin operating an integrated facility, accelerating the delivery of cost-effective, high-performing, renewable-based specialty chemicals to the market. This joint venture represents the next step in growing Elevance internationally."
 
 The joint venture is subject to certain conditions such as relevant government approvals.
 
 SOURCE: ELEVANCE RENEWABLE SCIENCES INC.

Elevance, Wilmar to build biochemical refinery

Posted June 30, 2010
 
 Biodiesel will be one of many panel topics at the Northeast BIOMASS Conference & Expo in Boston, Aug. 4-6. One particularly relevant panel to the region, The Ongoing Pursuit of Biodiesel Production and Process Enhancements in the Northeast, will feature Don Scott, director of sustainability for the National Biodiesel Board. 

 
 Scott will address what role biodiesel can play in the Northeast to reduce fossil fuel dependence while providing jobs and economic stimulus for the area. Scott will also discuss regional-specific feedstock options, and what the future holds for new, alternative biodiesel feedstocks. He will also talk about heating oil applications in the Northeast; several New England states, and the city of New York, have either already passed biodiesel or Bioheat mandates, or are seriously considering it. 
 
 University students researching and studying biodiesel applications are the future of the industry, so University of New Hampshire students Rebecca Wilson and Gina Chaput are scheduled to present on their two independent biodiesel projects. 
 
 Wilson is planning to present on her project to optimize biodiesel production. She's been working on a bench-scale two batch process. She said the project started last fall and has spent the entire year putting the system together. Things haven't been seamless, she said, but that's how research projects go. "Six of the 9 valves broke, we had to replace tubing, our main processor broke, then our soap adsorption column broke," she said. A few of the resultant biodiesel properties she's analyzing include the heat of combustion, viscosity, total glycerin count and acid number. 
 
 Chaput will present on her ongoing algae project, looking at various concentrations and makeup of wastewater streams for use as nutrients for algae production. She said some of the aspects of the project include looking at using urea rather than potassium nitrate as a chemical nutrient, and wastewater with and without salts. "Our metrics include cell counts, absorbance, biomass productivity, lipid content, determining if our hypothesis that substituting urea for potassium nitrate will increase biomass yield and oil content," she said. 
 
 Ron Kotrba, editor of Biodiesel Magazine, is scheduled to moderate this panel.

Biodiesel panel preview for Northeast BIOMASS Conference & Expo

Late May was intense, watching and waiting for the House to act on H.R. 4213 and the $1 per gallon biodiesel tax credit, which it finally did on Friday afternoon before the Memorial Day holiday break. By the time this July issue is published, I hope the Senate will have done the same to reinstate the credit and get this industry back on its feet. 

 
 I don't envy the biodiesel lobbyists, who have their work cut out for them in the second half of this year to push for a longer term biodiesel tax credit, which many believe is desperately needed to bring investment and confidence back to this great industry.
 
 H.R. 4213 contains legislation raising the oil spill liability cap, and one would think popular sentiment would be strongly in favor of raising it, considering the catastrophe in the Gulf of Mexico. The situation is still unfolding and time-lapsed reports show the oil, if not properly contained, can foul virtually all of Florida's beaches and make its way up the East Coast, and into the Atlantic Ocean toward Europe. One person told me, "I'm so aghast at the oil thing that my first defense is to not pay much attention. That's not an okay position, I know." 
 
 A network news broadcast went to the shores of Alaska where the Exxon Valdez oil spill occurred in 1989. After all of the cleanup that was done, and after more than 20 years, black crude still soaks the beaches. Move a rock and there is oil. Dig a few inches and there is more oil. It's not going away for a long, long time. 
 
 According to a New York Times article, "BP later acknowledged to Congress that the worst case, if the leak accelerated, would be 60,000 barrels a day, a flow rate that would dump a plume the size of the Exxon Valdez spill into the gulf every four days. BP's chief executive, Tony Hayward, has estimated that the reservoir tapped by the out-of-control well holds at least 50 million barrels of oil."
 
 Certainly everyone in the biodiesel industry is doing what they can to see that the tax credit is reissued as soon as possible, but assuming it's passed by the Senate by the time this issue is printed, will the same thing happen next year? The entire situation begs the question; can the industry survive without the tax credit? 
 
 Convention says no, it cannot, which is why the federal credit needs to be reissued immediately. However taboo it may be to discuss this scenario, an exercise in "what ifs" may prove valuable, just in case. 
 
 What would be necessary for the industry-or perhaps more appropriately, "an" industry, since any biodiesel industry forming in an America without the credit would likely be very different compared to the existing one that grew over five years with it-to survive without the tax credit? 
 
 RIN credit prices of a dollar would be a good start, and much higher petroleum prices would be needed. It's sort of funny that the only people who seem to want and need higher petroleum prices are those in the renewable fuels business. Consistently low feedstock prices, and much more reliance on lower-cost waste oils, fats and greases, would also be required, as a gross majority of biodiesel production input costs come from feedstock. But what about novel technologies that can reduce chemical and energy input costs and consumption, or lower the cost of fuel washing and polishing, or improve glycerin profits or usefulness in the plant as either a feedstock itself or an energy source? 
 

 I believe all of these things would be necessary for a new and more streamlined biodiesel industry to emerge from the darkness in which we all find ourselves today. And if none of these things can make a gallon of biodiesel cost-competitive with fossil diesel fuel, there still remains the fact that many consumers find solace in paying a higher price for an environmentally responsible product, which biodiesel most certainly is. 
 
 This was one of many topics on my weekly blog, F.A.M.E. Forum, which received some interesting feedback from readers. Check it out at www.biodieselmagazine.com/fameforum.

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The Dreaded 'What If' Question

The Restoring American Financial Stability Act of 2010, originally introduced into the U.S. Senate by Senator Chris Dodd (the Dodd Bill), contained several provisions that could have drastically altered the current landscape for private investments by high net-worth, wealthy individuals. Many companies rely on Regulation D of the Securities Act of 1933 for registration exemptions of private securities offerings. One of the purposes of Regulation D was to enable smaller companies to raise significant capital without incurring the cost and delay typically associated with securities offerings registered with the Securities and Exchange Commission and applicable states.
 
 Of significant importance is Rule 506 of Regulation D, which permits a company to raise capital from an unlimited number of "accredited investors," but only 35 nonaccredited investors, subject to other restrictions. An individual's accredited status under Rule 506 is determined by reference to the amount of his financial net worth or annual income. The original Dodd Bill would have required the SEC to adjust those financial thresholds by an amount appropriate in light of price inflation since those figures were originally determined. It is estimated that these figures would have been adjusted from $200,000 to approximately $450,000 for the individual annual income threshold, and from $1 million to $2.3 million for the individual net worth threshold. Such significant increases in these thresholds would likely have dramatically reduced the eligible pool of investors for private offerings. 
 
 The U.S. Senate, however, adopted an amendment to the original Dodd Bill that would only initially change the accredited investor thresholds by excluding the value of an investor's primary residence in the determination of whether he satisfies the current $1 million net worth standard. It would then require the SEC to review, not earlier than four years after the enactment of such legislation and at least once every four years thereafter, the applicable accredited investor definitions for natural persons and, in its discretion, make adjustments appropriate in light of the economy and in the public interest. 
 
 The original Dodd Bill would have also implemented a 120-day review period for all Regulation D investments, which would have seriously impeded a business' ability to privately raise capital in a timely manner. It would have also jeopardized the current uniform national regulation of Rule 506 private offerings, thereby resulting in increased costs and decreased efficiency and certainty. However, at the urging of small business supporters, this proposed drastic Regulation D overhaul was deleted in favor of inclusion of a so-called "bad boy" provision, which would disqualify certain persons from offering securities pursuant to Rule 506 that have been convicted of certain crimes or are subject to certain orders of a state agency prohibiting them from engaging in certain securities and financial activities. 
 
 Although this amendment could result in higher accredited investor financial thresholds in the long-term, it better protects smaller businesses' ability to privately raise capital under Regulation D in the short-term, which is especially significant in light of the current state of the U.S. economy. However, it remains to be seen how many investors could be excluded as accredited investors if their personal residences are excluded from their net worth calculation.
 
 These reforms to the current Regulation D framework are only proposed at this time. The Dodd Bill was passed by the U.S. Senate on May 20. The U.S. House of Representatives' version of this bill must be reconciled with the Dodd Bill before any final legislation may be proposed for enactment.
 
 Ashley Fuhrmeister is an attorney with BrownWinick, a Des Moines, Iowa-based law firm serving the renewable fuels industry. Reach her at (515) 248-6621 or <a href="mailto:fuhrmeister@brownwinick.com">fuhrmeister@brownwinick.com</a>.

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Proposed Legislation Could Alter  Business' Ability to Raise Capital

Tennessee Bio Energy is a small biodiesel plant located in middle Tennessee. The batch plant production capacity is around 3.5 MMgy utilizing a variety of feedstock, from used cooking oil to virgin vegetable oils. It has been a tough year, with the loss of the tax credit and the rising cost of chemicals and feedstock required to produce biodiesel. 

 
 We have owned the facility for a little over a year and a half, and have been vigilant in upgrading and modifying it to maximize the processing, quality and conformance to the new RFS2 requirements. 
 
 The loss of the federal credit has certainly prompted us to look at every aspect of the biodiesel process to ensure we are not wasting product or time. We have rewritten procedures and adjusted manpower to lower costs and maintain productivity. We have downsized our operating staff from seven people to two, and have maintained our production amounts. In doing so, we have had to focus on streamlining and time management. This has been a big challenge but it's been worth it, and we are a better company for doing so.
 
 One thing that sets this company apart from other biodiesel producers is that it uses its own biodiesel to run a 180-kilowatt Perkins single-phase generator to provide power for a variety of pumps, reactors and various electrical appliances. This has worked out well with little to no down time, and has provided a safe, clean, and dependable electrical source. We also use a large stationary air compressor that runs on biodiesel, for drying our product.
 
 The biggest challenge has been in the winter months when the temperature drops and stays below the 30-degree mark. We have installed hot water lines heated by an all fuel 500,000-Btu boiler with a bio/glycerin fuel source that is produced in our plant. This boiler with the hydronic lines also provides the heat for our feedstock and glycerin storage tanks. We can preheat our feedstock up to between 120 and 130 degrees prior to the reaction process. 
 
 We also use a variety of vehicles in the production and pick-up of our feedstock, including two 2005 Mack Vision tractors, one F-800 delivery truck and an F- 500 flatbed work truck. In the warmer months we use B99 and in the winter months we use a B80 blend. Our fuel has performed well and we've had no down time due to the use of our biodiesel. Our trucks are getting 7-plus miles to the gallon utilizing speed control and biodiesel, enabling us to make round trips on one tank of fuel. 
 
 Being in an agricultural area, local farmers also depend on our biodiesel to power their equipment. Tractors, combines and harvesters are a few examples of machinery that can be fueled with biodiesel. Some also use our biodiesel as a machine lubricant. These are just a few ways that we can help our community implement renewable fuels, and help farmers truly stay green.
 
 Whether Tennessee Bio Energy is using its fuel for production, selling it to be blended or supplying agricultural demands, the company is continually striving to promote environmental sustainability, energy security and economic development. As you can see, our company has only benefitted by the use of our biodiesel. There are no limitations on how far biodiesel will take us in the future. 
 
 Chris Layton is plant manager for Tennessee Bio Energy Inc. Reach him at <a href="mailto:chris@consolidatedbioenergy.com">chris@consolidatedbioenergy.com</a>.

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Biodiesel in Stationary Use

Pacific Biodiesel Inc. announced that Marine Corps Base Hawaii is using a B20 blend of biodiesel for the first time as of May 28, part of the Biodiesel Demonstration in Tactical Vehicles Project. Pacific Biodiesel is donating the biodiesel, made locally from used cooking oil, for the project's initial fill-up. 

 
 "The military is one of the biggest consumers of petroleum in the country and Pacific Biodiesel is happy to be part of the solution to our energy security and sustainability issues," said Kelly King, Pacific Biodiesel vice president and director of marketing and communications. "The disastrous spill in the Gulf should be our last wake-up call that the true cost of petroleum is not accurately reflected at the pump and that we must reduce our dependency on fossil fuel." 
 
 Bob King, president of Pacific Biodiesel, said, "The military recognizing the importance of using biodiesel reinforces that it's an essential part of a sustainable energy future. Now it's time for Congress to take action and reinstate the expired tax credit that has 70 percent of the industry shut down." 
 
 This demonstration project will involve regular testing of fuel quality, fuel stability and operational parameters, and the results will support future efforts to use B20 in nontactical fleets by ensuring fuel quality and identifying appropriate environments for its use.

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Marine Corps Base Hawaii tests B20

The Canadian Renewable Fuels Association released in May the first-ever comprehensive third-party economic impact assessment of renewable fuels investments in Canada. The assessment conducted by econometric firm Doyletech Corp. concluded that, "The grand total of the annual positive economic impact of renewable fuels is $2.013 billion." 
 
 The report studied 28 ethanol and biodiesel plants across Canada whose total production volume nears 600 MMgy. The CRFA noted there are major benefits from renewable fuels in "rural revitalization, increased oil exports from western Canada, industrial development, and valuable options for rebalancing fuel 'mix.'" 
 
 The economic impact of the construction phase of renewable fuels plant was assessed to include the creation of 14,177 direct and indirect jobs, while the economic impact of operating the 28 Canadian renewable fuels plants was assessed to include the creation of a net 1,038 direct and indirect jobs annually. 
 
 "Even making allowance for the opportunity costs of alternate investments, and the opportunity costs of alternate feedstock sales, renewable fuels plants in Canada represent a positive net economic benefit," the report concludes. 
 
 "This is the first report of its kind to study the economic impact of Canadian renewable fuel plants, and the results are undisputable, ethanol and biodiesel in Canada are driving growth," added Gordon Quaiattini, president of the Canadian Renewable Fuels Association CRFA. "It's overwhelmingly clear that Canada's new renewable fuel standard is delivering on its promise of jobs, investment and growth." 
 
 A copy of the "Total Economic Impact Assessment of Biofuels Plants in Canada" can be found at www.greenfuels.org.

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Biofuels add $2 billion to  Canadian economy annually

For the first time, an entire class of professional tractor pullers will use biodiesel in their drives toward the finish line. The United Soybean Board/soybean checkoff will sponsor the National Tractor Pullers Association's 2010 season and its newest competition division, the Light Pro Stock class. As part of this new program, all of the tractors competing in the Light Pro Stock class will run on biodiesel.
 

 "I think tractor-pull enthusiasts will be very impressed by the performance of biodiesel," said USB Director Russ Carpenter, a soybean farmer from Trumansburg, N.Y. "Biodiesel, in many ways, is superior to traditional diesel, and what better way to demonstrate that superiority than to push it to the max the way tractor pullers push their fuel to the max?"
 
 According to NTPA Office General Manager Gregg Randall, many pullers already realize the performance benefits of biodiesel and use biodiesel in competition.
 
 "We sent out a questionnaire to our NTPA Grand National Super Farm competitors, and 60 percent related that they use biodiesel fuel in competition," Randall said. "Many pullers believe in the fuel, and they use it in competition. The consumption should grow with the sponsorship of the Light Pro Stock class."
 
 "Tractor pulls allow us to talk to people who like to watch power, including farmers and truck drivers," Carpenter said. "This represents a great opportunity to communicate with the right people and give the right answers to their questions about biodiesel. It also offers the chance to let farmers talk to other farmers about using the fuel made from their soybeans in their operations."
 
 USB and the NTPA have partnered together since 2007 to increase the availability and use of biodiesel.

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Tractor pullers running on biodiesel

An alliance of industry, academic and government organizations, formed to commercialize technologies that will utilize concentrated solar energy to convert waste carbon dioxide (CO2) into diesel fuel, was announced June 1. 
 
 The alliance team members include Sandia National Laboratories, Renewable Energy Institute International, Pacific Renewable Fuels, Pratt Whitney Rocketdyne (a United Technologies Division), Quanta Services, Desert Research Institute and Clean Energy Systems. Commercial partners have also signed on to advance work on the first round of commercial plants. 
 
 The solar reforming technology platform will be co-located next to industrial facilities that have waste CO2 streams such as coal power plants, natural gas processing facilities, ethanol plants, cement production facilities and other stationary sources of CO2. A solar reforming system is currently being demonstrated in Sacramento, Calif., and demonstrations will continue both at Sandia's facilities in New Mexico and at a power plant project site in Bakersfield, Calif. Planning for the first round of commercial plants is under way at several locations in the U.S. The project team anticipates that deployment of the first commercial plants can begin in 2013. 
 
 The project team has received a first phase of funding from the National Energy Technology Laboratory to demonstrate these technologies.

CO2 to diesel fuel using solar reforming tech

Construction of the 75-MMgy Dynamic Fuels renewable diesel plant in Geismar, La., not far from Baton Rouge, is nearing completion, according to Jeff Bigger, Syntroleum Corp.'s senior vice president and director of the Dynamic Fuels management committee. Dynamic Fuels LLC is a 50/50 joint venture between Tyson Foods Inc. and Syntroleum. 
 
 The facility will use Syntroleum's trademarked Bio-Synfining process to convert low-cost feedstocks to renewable diesel fuel, with coproduction of naphtha and liquid petroleum gas. Mechanical completion was expected in June.

 
 "Construction is very near complete, with primary efforts at this point being completion of quality inspections on the piping, and items such as post-weld heat-treating, weld X-ray, hardness testing and final restoration after pressure testing," he said. Commissioning, plant start-up and full-rate operations are expected in the third quarter. "Nine of the 27 systems in the plant have been turned over from the contractor to Dynamic Fuels and are being commissioned," Bigger said. "The staff is ready to operate as soon as the plant is completed."

Dynamic Fuels plant nearly complete

Agricultural Research Service scientists have long-term studies underway to examine growing camelina as a bioenergy crop for producing jet fuel for the military and the aviation industry. This research supports the recently signed memorandum of understanding between the USDA and the Department of the Navy and interests of the Commercial Airlines Alternative Fuels Initiative. 
 
 Native to Europe, camelina (Camelina sativa) is a member of the plant family Brassicaceae and has been grown since ancient times for use as lamp fuel, among other things. The seed's high oil content has made it a promising candidate as a new source for biofuels. 
 
 Since 2006, ARS researchers and university collaborators throughout the country have been examining how to incorporate camelina and other oilseed crops into existing crop production systems. Preliminary results from Sidney, Mont., suggest that current camelina varieties use about as much water as spring wheat, so growers would still need to leave land fallow in alternate years to build up water or accept possible yield losses for wheat grown in rotation. However, with appropriate breeding and selection for uniform, desirable agronomic and oil quality characteristics, camelina has potential to be a good oilseed crop for planting during fallow years. 
 
 Also, scientists in Maricopa, Ariz., have identified a few lines of germplasm from the ARS camelina collection that are suitable for rotations with cotton. ARS camelina germplasm research concentrates on identifying high-yielding lines that industry can use to develop new cultivars suitable for different growing conditions across the country. 
 
 In addition to Sidney and Maricopa, other ARS laboratories involved in camelina and other oilseed research are Akron, Colo.; Morris, Minn.; Peoria, Ill.; Prosser, Wash.; and Pullman, Wash. The ARS camelina germplasm collection in Ames, Iowa, has 85 accessions of seven camelina species from around the world available to researchers throughout the country. 
 
 ARS is the principal intramural scientific research agency of the USDA. This research supports the USDA priority of developing new sources of bioenergy.

USDA-ARS scientists are studying the potential of camelina as a source of biofuel for jets. PHOTO: ROBERT EVANS, ARS

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ARS researches camelina as a new biofuel crop

In the production of biodiesel from either high free fatty acid (FFA) or a low FFA feedstock, water in methanol is a huge problem. When water is present, particularly at high temperatures, it can hydrolyze the triglycerides to diglycerides and form FFAs. 
 
 When water is present in the reaction, it generally manifests itself through excessive soap production. The soaps of saturated fatty acids tend to solidify at ambient temperatures, so a reaction mixture with excessive soap may gel and form a semi-solid mass that is very difficult to recover.
 
 Some water in the system can be tolerated, because R-O- is a stronger base than OH-, so the transesterification reaction occurs at a higher rate than the saponification of glycerol, leading to FFAs. As a result of the slow reaction rate, only very minor amounts of FFAs are formed during transesterification if the reaction is free of water at the beginning.
 

 Proceeding with transesterification with a water level in methanol higher than 500 parts per million not only leads to an undesirable byproduct of FFA, but also makes the fuel hard to pass the ASTM specifications for water and sediments, acid number and oxidation stability.
 
 Prior to the process reactions, the obvious source of water is the feedstock. Care should be taken to make sure the feedstock has as little water possible, since no one wants to pay for water and then use precious energy drying the oil to get rid of it. Also, the premixed liquid methanol and catalyst bought should be checked for water content to make sure it has a negligible amount of moisture. Prior to the delivery, if the oil, methanol and the catalyst from vendors stay out in the open for very long, they tend to absorb water, so any quality checks have to be performed before unloading the material.
 
 During the reactions, the major source of water in the transesterification reaction is the water carryover in the impure methanol from esterification and prior transesterification reactions (if the methanol is not purified).
 
 Drying biodiesel and glycerin off of methanol is critical for meeting ASTM specs and to transport glycerin. Due to this drying process, used or wet methanol will consist of water with high biological oxygen demand/chemical oxygen demand (BOD/COD), trace quantities of biodiesel, glycerin and FFA. The methanol coming straight from the drying process has fairly large amounts of water and other materials, and the issues discussed above will result from its usage in biodiesel production.
 
 One of the proven and effective ways to reduce water and other impurities in methanol is distilling the used or wet methanol to between 99.7 and 99.9 percent pure methanol. When considering systems to purify methanol, consider the total installed cost, operational cost, input variance (water-to-methanol to other material ratio), output quality and any waste or losses.

This diagram chemically shows how water causes hydrolysis of triglycerides to form free fatty acids. 

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Keep water content in methanol to a minimum

Students from three schools around the country who participated in projects involving biodiesel, Bioheat and potential biodiesel feedstocks were presented the President's Environmental Youth Award at a recent ceremony in Washington. 
 
 Seven Westerly Middle School students in Westerly, R.I., were recognized for their "TGIF" project: "Turn Grease into Fuel." Cassandra Lin, John Perino, Marissa Chiaradio, Taylor Fiore-Chettiar, Vanessa Bertsch, Miles Temel and Alaxander Lin are members of the Westerly Innovations Network at Westerly Middle School. Together, they decided to do their part in tackling global warming by creating a sustainable project that collected waste cooking oil, refining it into biodiesel and distributing it. 
 
 The students presented the project to the local town council and convinced them to place a grease receptacle at the town's transfer station to collect the waste cooking oil from residents. The youths also convinced 64 local restaurants to donate their waste cooking oil left over from fried food. To collect the waste oil from the restaurants and the transfer station, the students collaborated with a company to collect it and bring it to a waste cooking oil/biodiesel refiner. The proceeds from the refiner were used to purchase Bioheat from a local distributor to give to local charities. 
 
 In Gainesville, Fla., the Oak Hall School Biodiesel Project began as a science fair project to collect and process waste cooking oil into biodiesel fuel for the school's diesel-powered lawn equipment and, eventually, school buses. With the dedication of several high school students, the project evolved into a plan to build a student-operated biodiesel facility on the school campus as an effort to pursue alternative energy sources and to encourage school-wide environmental stewardship. 
 
 Members of the Oak Hall School Biodiesel Project team obtained all necessary local and state regulatory approvals for biodiesel production; raised funds for the reactor, a facility to house the reactor and supplies to manufacture biodiesel; collected more than 250 gallons of waste cooking oil; and produced more than 25 gallons of biodiesel. The students also wrote an instruction manual to encourage other schools to replicate the biodiesel project. 

 
 Jeffrey Morris, an Oak Hall student, blogged about his experience in Washington. He wrote, "Move aside baby boomers and step out of the way Generation X-today's youth is who's going to change the world! I've witnessed it first hand on this second day in D.C., and due to my fellow PEYA recipients and their impressive projects, my belief that my generation will change America's old ways and even the entire globe's practices has truly been fortified." 
 
 While identifying and satisfying governmental regulations regarding biodiesel manufacture, one of the team members discovered Florida Statute 206. This statute imposes a burdensome reporting requirement and tax that may inhibit other school administrators from launching school-based biodiesel activities. The students also learned that a school may petition to have this tax refunded based on its tax exempt status. The Oak Hall School Biodiesel Project team has sought legislative relief from Statute 206. The team has obtained commitments from a Florida State senator and several members of the Florida House of Representatives to sponsor an amendment to reduce this reporting and tax hurdle. The project team is preparing a presentation for the Florida House and Senate Committees in the 2010 legislative session in support of this initiative. 
 
 From Pleasant Hill and Martinez, Calif., the Project Jatropha Team-Adarsha Shivakumar, Apoorva Rangan and Callie Roberts-promoted cultivation of jatropha as an ecologically friendly, economically sustainable source of alternative fuel production. To date, the work of Project Jatropha has supported the planting of 13,000 seedlings by more than 50 farm families in Southern India.
 
 Shivakumar and Rangan got the idea for this project while visiting their grandfather's farm in Karnataka's Hunsur County, India, where they became aware that poor farmers need an alternative to cultivating tobacco for income since tobacco production in rural India requires ongoing wood fires to cure the leaves, which contributes to greenhouse gases and deforestation. To address the problem, they conducted research and learned that biodiesel produced from the jatropha seeds provides an alternative source of energy to power diesel engines, vehicles and equipment like irrigation pumps, and produces cleaner exhaust emissions than traditional fuels. 
 
 In 2008, the three youths founded Project Jatropha to supply jatropha seedlings to farmers in India. They manage the project by visiting India during summer and winter breaks from school and by telephone from the U.S. during the year. Participants in the project are provided training in agronomics for the new crop and financial relief while the plants mature. Upon harvest, the project purchases the seeds back from farmers at market price. 
 
 With the aid of a nongovernmental organization and a plant biotechnology company in India, the team conducted outreach activities for individual farmers and women's self-help groups in Hunsur County. Local residents were educated about Project Jatropha through town-hall meetings, a presentation at Rotary International, and a press conference in the City of Mysore. In the U.S., team members collaborated with high school and middle school student leaders, teachers, environmentalists, nonprofit organizations and city council members. Project Jatropha also established a partnership in the U.S. with Sirona Cares Foundation, a sustainable fuel and living project.
 
 The project was implemented successfully because the three members of Project Jatropha believed one simple thing: "Have an idea? Just go do it," Shivakumar said.

President Barack Obama poses with winners of the President's Environmental Youth Awards in Washington. PHOTO: U.S. EPA

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Students recognized as the future of biodiesel

Kam Controls Inc. of Houston has successfully conducted a test of its upcoming in-line fatty acid methyl ester (FAME) detector-the Kam FAME Meter. Kam Mohajer, president of Kam Controls, said the device uses patent-pending optical technology. "We use one wave length that is absorbed equally by both the jet fuel and the FAME, and another wavelength that is only absorbed by FAME, which is used as reference and it automatically recalibrates and adjusts," Mohajer told Biodiesel Magazine. He said some of the optics involved are also used by astronomers to study the cosmos, which is why the prototype cost more than $170,000. 
 
 The test, conducted in the lab with jet fuel contaminated with varying amounts of FAME, confirms the accuracy, stability and repeatability of the science and electronics behind the detector, the company stated. "We found the stability and the repeatability of the instrument to be very good, and suitable to measure FAME concentrations from 1 ppm and higher," Mohajer said. "The response time was instantaneous. In short, we are confident that we will be able to measure the FAME from 1 ppm and higher with a great degree of precision." 
 

 Accurate detection of FAME levels is critical for aviation safety. Recently the management agency for NATO's largest European pipeline (CEPMA), supplying both NATO and civilian airports, announced all clients must provide proof that deliveries satisfy current mandates of less than 5 ppm of FAME. 
 
 Contamination of jet fuel with FAME is a direct result of transporting biodiesel in product tankers or in multi-product pipelines. FAME can adhere to the walls of the tank or pipeline, as well as the manifolds and elsewhere. When jet fuel is transported after biodiesel in either a product tanker or pipeline, it can release the FAME that has been left behind. This contamination is of particular concern to producers, shippers, and consumers of jet fuel. 
 
 According to a Special Air Worthiness Information Bulletin issued by the Federal Aviation Administration in August 2009, "At high enough concentrations, FAME can impact the thermal stability of the fuel that could lead to coke deposits in the fuel system. FAME contamination can also impact the freezing point of jet fuel resulting in gelling of the fuel. These conditions can result in engine operability problems, and possible engine flameout." 
 
 The Kam FAME Meter is of particular importance in these efforts because it installs in-line, providing real-time accurate data. Current methods for measuring FAME require time-consuming sampling and laboratory testing, which comes at great expense due to demurrage, storage, man-hours and more. 
 
 By the fourth quarter, however, when Kam Controls expects the product to be commercially available, Mohajer said the price tag would be between $30,000 and $40,000. 
 
 Two different models will be available, a flow-through version for pipeline operators and a laboratory model, Mohajer said, adding that all of the major oil companies have volunteered to test the equipment as part of the validation and certification process. 
 
 Predicted accuracy will be plus or minus 1 percent of full scale, i.e., for a scale measuring 1 ppm to 100 ppm, accuracy will be plus or minus 1 ppm; for a scale measuring zero to 200 ppm, accuracy will be plus or minus 2 ppm. 
 
 The product can also be used to confirm compliance with government mandates for minimum biodiesel percentages within blended diesels.

The Kam FAME Meter, anticipated for commercial sale by fourth quarter 2010, can test down to single-digit parts per million, according to its developer, Kam Controls Inc. PHOTO: KAM CONTROLS INC.

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New FAME meter can test down to 1 ppm

Boston in the summer: Fenway Park, warm weather and … home heating? Though it may not fit with summer the way swimsuits and sunscreen do, Bioheat fuel is certainly a hot topic in the Northeast. 
 
 The United States uses 6.7 billion gallons of No. 2 heating oil annually. The mid-Atlantic and Northeast states account for 88 percent, or 5.5 billion gallons, of that volume, so a delegation of more than two dozen industry stakeholders from around the nation headed to Boston to see exactly what this means for biodiesel. 

 
 In a three-day whirlwind of meetings, press events and demonstrations, we absorbed as much Bioheat information as possible. The group hit Massachusetts for the Biodiesel & Bioheat Conference and additional collaboration meetings. We heard from industry experts and learned how biodiesel is having a positive impact on the home heating industry. We learned Bioheat fuel is the industry-accepted term for 2 to 5 percent blends of pure biodiesel blended with conventional high or low sulfur home heating oil.
 
 Last year the oilheat industry set a new course for home heating oil. At the national oilheat industry policy summit, oilheat leadership, including National Oilheat Research Alliance, the New England Fuel Institute, and Petroleum Marketers Association of America, adopted formal goals for a cleaner, greener and more sustainable course, including expanding Bioheat heating oil use and requirements. 
 
 Home heating presents a unique situation. As far as I am aware, it is the only circumstance where one industry has come to another saying, "We want your product. We want to be required to use your product. Your product is good for our business, are you in?" Biodiesel is that product and "Yeah, we're in!" in a big way. 
 
 The Bioheat heating oil market, at a 5 percent blend, has the potential to increase demand for biodiesel by 450 million gallons annually. 
 
 Bioheat testing results demonstrate Bioheat fuel's benefits are many, and include: 
 
 Reduced life-cycle CO2 and greenhouse gases 
 
 Reduced nitrogen oxide emissions 
 
 Reduced sulfur oxide emissions 

 
 Reduced smoke numbers 
 
 More pleasant odor 
 
 Because of its domestic production, reduction of our dependence on foreign oil and positive environmental impacts, consumer focus group results showed customers would be willing to pay 4 to 6 cents more per gallon for Bioheat than conventional heating oil.
 
 For the oilheat industry, this means a reduced carbon footprint, a new market strategy and a chance to regain some of the market share lost to natural gas. 
 
 With higher blends of biodiesel (B12 and above), home heating oil actually delivers lower annual CO2 emissions than a natural gas condensing boiler. As a result, NORA and NBB formed a committee to begin the approval process for biodiesel blends from 6 to 20 percent biodiesel. 
 
 Bioheat is among the strategies and goals the oilheat industry is championing before state and federal regulatory agencies. At the industry's urging, many states and communities are already considering or have passed minimum renewable fuel blends for heating oil. Connecticut was the latest state to pass legislation, joining Massachusetts and Pennsylvania, which already had requirements on the books. 
 
 Five years ago there were just six Bioheat dealers. Today, thanks in part to support from NBB and state checkoff boards like South Dakota and Nebraska, more than 300 fuel dealers have registered to use the Bioheat trademark. 
 
 For the biodiesel industry, the oilheat market is an open door and a potential home for hundreds of millions of gallons of biodiesel. This market demand offers hope for shuttered biodiesel production facilities and laid-off biodiesel employees. 
 

 While it may seem strange to talk about home heating with the air conditioners running in the background, it is clear that oilheat opportunities for biodiesel are really beginning to heat up.

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Bioheat Makes for Hot Topic

In an effort to make alternative fuels more mainstream, the NBB is participating in a U.S. DOE grant to educate consumers on the merits of cleaner burning American fuels. 
 
 The Alternative Fuel Trade Alliance is in year one of a two-year, $1.6 million grant to raise public awareness and foster understanding of alternative fuels and advanced vehicle technologies. The alliance includes the Renewable Fuels Association, the National Biodiesel Foundation, the Propane Education & Research Council, the Clean Vehicle Education Foundation and ASG Renaissance. 
 
 The grant provides support for a targeted educational plan aimed at Clean Cities coordinators and related stakeholders. Clean Cities coordinators are at the forefront of communicating how alt fuels and vehicle technologies power economic growth and environmental sustainability. 
 
 Joe Jobe, NBB CEO, said, "This program unites the mainstream alternative fuel organizations in working collaboratively towards a common goal: educating America on all aspects of alternative fuels, and increasing their use. This will benefit our air quality, our energy independence and our economy."
 
 The group is in the midst of hosting a series of educational workshops nationwide. The target audience includes fleets, petroleum marketers, auto dealers, policy makers and more. It has already hosted three events with two more planned, one July 22 in Casa Grande, Ariz., and the other Sept. 9 in Denver. 
 
 The program is also providing resources and hosting training specifically for Clean Cities coordinators. NBB and RFA hosted two in-depth media training sessions for coordinators in June, with NBB subcontractor Dewey Square Group leading the training. 
 The DOE Clean Cities Program network includes 87 active coalitions covering 80 percent of the U.S. population, with a mission to reduce petroleum consumption.

Biodiesel, other alt fuels work together in targeted education program

The New York City Department of Parks & Recreation is leading a green revolution in the Big Apple. It was the first city agency to pilot biodiesel in 2005 and continues its commitment to greening its fleet through the use of biodiesel. 
 
 The agency maintains more than 29,000 acres in New York City, including such well-known venues as Central Park, Battery Park, Flushing Meadows, Coney Island and much more. This enormous task requires a very large fleet-more than 2,300 vehicles, 850 of which are diesel-powered. The diesel fleet alone includes more than 40 different types of vehicles and equipment, everything from landscape and parks maintenance to road construction, snow removal and waste management.

 
 Their experience has been extremely positive. In fact, things have gone so well that the department ran a B50 pilot program in 2007 in 45 vehicles.
 
 "Our B50 trial was very successful and we hope to move to a B50 blend in all but the very coldest months in the near future," said Keith Kerman, assistant commissioner for the parks and recreation department. "We view B20 as a stepping stone that will help move us toward New York City's goal of reducing carbon dioxide emissions 30 percent by 2030."
 
 The department also uses a B5 blend in heating systems and boilers. "Because of the dense population in New York City, emissions from buildings are a bigger problem than emissions from vehicles," Kerman explained. "Using biodiesel in heating applications is a very important part of what we're trying to accomplish in lowering emissions. If all goes well, we would like to move to B20." 
 
 In addition to using biodiesel, most of the department's nondiesel fleet runs on some sort of green power, such as compressed natural gas, electric or solar. And, the agency's Urban Park Service patrol fleet is now fueled 100 percent with alternatives. The department is also buying smaller sedans to replace less fuel efficient SUVs whenever possible, and is replacing older vehicles like never before. 
 
 Each spring, the department hosts a fleet show where more than 100 vendors showcase green technologies, vehicles and equipment. The show offers other city agencies and local municipal fleets an opportunity to see first-hand the latest developments in green fleet technology. Both the city's transportation and sanitation departments have already followed the parks and recreation department's lead and are using biodiesel blends.

NYC Parks & Recreation: biodiesel pioneer

Smog ruins a scene, but with Connecticut's new renewable fuel requirement, skies are sure to be postcard-ready. The NBB applauds clear sky, clean air and renewable energy champions for the latest state requirement supporting sustainable biodiesel.
 
 "Connecticut's success to secure access to clean energy is a shining example of strong partnerships at work to support renewable energy and heating alternatives," said Joe Jobe, NBB CEO. "With this step forward, America's only advanced biofuel will be at work to reduce emissions and replace more than 100 million gallons of fossil fuel in the state annually." 
 
 The NBB thanks member Greenleaf Biofuels LLC and stakeholders for their role in this effort. The Connecticut requirement was approved after local biodiesel producers and the Independent Connecticut Petroleum Association joined efforts to support clean energy in the state. The legislation lowers the sulfur content of heating oil and creates a renewable fuel standard. 
 
 "The clean energy power of this legislation is decisively clear when you consider Connecticut uses upwards of 600 million gallons of home heating oil every year," said Gus Kellogg with Greenleaf Biofuels and the Connecticut Biodiesel Association. "The Connecticut biodiesel industry stands ready to meet the growing requirements for this cleaner burning fuel in home heating systems. We are a young and growing industry in this state providing new green collar jobs in manufacturing, engineering, research and development, logistics and professional management." 

 
 When the legislation is effective, home heating oil will be blended with cleaner burning biodiesel beginning at 2 percent in 2011 and moving up to 20 percent by 2020. 
 
 Neighboring Massachusetts has similar legislation supporting Bioheat home heating oil. Connecticut's bill will be effective when New York and Rhode Island also have a renewable fuels standard in place for home heating oil.

NBB member helps secure Connecticut's commitment to clean energy

The NBB, along with the Soap and Detergent Association, presented the 2010 Glycerin Innovation Award during the Annual Meeting & Expo of the American Oil Chemists' Society to Ramon Gonzalez, a professor in the chemical and biomolecular engineering and bioengineering departments at Rice University in Houston. 
 
 Escherichia coli-E. coli for short-is often identified as a bacterium that contributes to foodborne illness. Gonzalez and his team of researchers found ways to use a safe nonpathogenic E. coli to convert glycerin into high-value fuels and chemicals. They identified the metabolic processes and conditions that allow a known strain of E. coli to convert glycerin, a byproduct of biodiesel production, into ethanol. 
 
 The SDA/NBB Glycerin Innovation Award recognizes outstanding achievement for research into new applications for glycerin, with particular emphasis on commercial viability.
 
 "Finding new, value-added uses for sustainable glycerin will help improve biodiesel profitability and lower costs for the first commercial advanced biofuel-biodiesel," said Steve Howell, NBB technical director. 
 
 The NBB worked with the Soap and Detergent Association to promote and recognize new uses for glycerin.

Kathleen Stanton with the Soap and Detergent Association recognized award recipient Ramon Gonzalez, center, Rice University, with NBB technical director Steve Howell. 

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NBB honors Rice University for innovative glycerin research

The Web site for The Essential Baking Company in Seattle says it all: 
 
 "We're fussy. Fussy about taste, the texture of our bread, the flakiness of our pastry, the richness of our desserts, and preserving the time-honored techniques of baking. And don't even get us started about the importance of the pureness of what we put into our bodies or our impact on the environment."
 
 That commitment to the environment is fulfilled, in part, by using 99 percent biodiesel in its delivery fleet of nine Dodge Sprinters and three Ford F-350 pickups. 

 
 Steve Cavanaugh, the company's distribution manager, says switching to a biodiesel delivery fleet in 2005 stemmed primarily from the company's socially responsible and ecologically friendly philosophies. 
 
 He added that the drivers love it, especially the pleasant smell when they start them up on the loading dock. 
 
 "I was a delivery driver for many years myself, and I know what it's like. Doing something good along the way, like using biodiesel, makes the feeling about doing your job a lot better," Cavanaugh said. 
 
 He said the vehicles run great on the biodiesel, with comparable mileage and performance. The company has used a variety of blends and types of biodiesel over the years, including biodiesel made from canola oil, a local resource in Washington State. 
 
 But it isn't likely that The Essential Baking Company will ever donate used cooking oil to biodiesel producers. "We just don't generate that much waste oil," Cavanaugh said. "We don't even make donuts, because those aren't technically baked goods. We're purists around here."

The Essential Baking Co. in Seattle uses biodiesel in its delivery fleet of 12 diesels. 

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Biodiesel user spotlight: The Essential Baking Company

Despite industry challenges, there are many biodiesel users in the U.S. To help showcase a few of them to the world, the NBB recently revamped its Biodiesel Users Web page. 
 
 The new "Fueling Change: Biodiesel User Stories" page (www.biodiesel.org/resources/users) features various categories of biodiesel users, including:
 
 Airports			 Passenger cars
 
 Businesses		 Pro-sports
 

 Construction		 Schools
 
 Government		 Utilities
 
 Bioheat
 
 he site has a "featured user" section that will rotate. Most of the profiles include updated information on biodiesel use, quotes from users about how they like the fuel, and photographs. Check out the story about the New York parks and recreation department in this section for an example.
 
 Do you know someone who should be featured on the site? Send background and contact information to jenna@rosemedia.biz.

NBB unveils 'Fueling Change:  Biodiesel User Stories'

Dover Corp.'s Pump Solutions Group was recently named recipient of the 2010 North American Positive Displacement Pumps Customer Value Enhancement of the Year Award by Frost & Sullivan. The award was presented to PSG at Frost & Sullivan's 2010 Excellence in Industrial Technologies Awards banquet at the Grand Hyatt-Riverwalk in San Antonio, Texas. Comprised of Dover's individual pump brands, including Wilden, Blackmer, Griswold, Almatec, Mouvex and Neptune, PSG is currently one of the largest manufacturers of air-operated double-diaphragm and sliding vane pumps. 
 
 Alsip, Ill.-based Kastalon Inc. has designed and manufactured a fixture to lock internal fryer oil and yellow grease tank-systems and their contents to deter grease theft, which has been on the rise. Once considered waste, used fryer oil now serves as a viable and substantial key-ingredient in alternative fuel sourcing. The highly pure nature of used fryer oil and its relative low viscosity have made it a prime and easy target for thieves. Some larger holding tanks can be vacuumed empty in just minutes. Kastalon's innovation is trademarked The Sekure Kap, and markets it as easy to install, simple to maintain and can be cost-effectively retrofitted to any oil-containment system. 
 
 Ramon Gonzalez, William W. Akers Assistant Professor in the Departments of Chemical and Biomolecular Engineering and Bioengineering at Rice University in Houston, also chair of Glycos Biotechnologies Inc.'s Scientific Advisory Board, received the 2010 Glycerin Innovation Award during the Annual Meeting & Expo of the American Oil Chemists' Society. The Award is sponsored annually by The Soap and Detergent Association and the National Biodiesel Board and administered by AOCS. Gonzalez was presented with a $5,000 honorarium and plaque for his work. Gonzalez and his team of researchers identified the metabolic processes and conditions that allow a known strain of E. coli to convert glycerin, the byproduct of biodiesel production, into ethanol. 
 

 Process technology firm BDI-BioDiesel International AG filed a patent application for a new method of coprocessed biofuel refining. Its BioCrack technology processes a byproduct of the mineral oil industry, such as vacuum gas oil, and solid biomass such as wood or straw to obtain high-quality fuel with up to 20 percent biogenic content. The company expects the process to hit the market within three years after pilot and scale-up exercises in partnership with an undisclosed international oil company. BDI has been granted millions in funding from the Austrian "Climate and Energy Programme" for the development of BioCrack technology as part of the research and technology campaign "New Energies 2020." 
 
 Nile Ramsbottom of Innsbrook, Mo., executive vice president and officer of Renewable Energy Group Inc., was to receive the Alumni Achievement Award June 25 at Simpson College's Alumni Weekend. Simpson College is an independent, comprehensive liberal arts college located in Indianola, Iowa. The Alumni Achievement Award honors career accomplishments, service to the community and service to Simpson. Ramsbottom, a 1966 Simpson College graduate, spent 18 years in St. Louis with Ralston-Purina and Purina Mills where he, at age 38, was the youngest person ever to be named a corporate vice president and officer. In 2000, he was recruited to West Central Soy in Ralston, Iowa, where he was executive vice president. In 2005, Ramsbottom was instrumental in developing Renewable Energy Group by partnering with West Central and other strategic companies. 
 
 Troy, Mich.-based Delphi Corp. and Volkswagen have developed what is being called one of the greenest diesel systems ever produced, with the new 1.2-liter, 3-cylinder VW Polo BlueMotion-a vehicle with exceptionally low CO2 emissions and fuel consumption featuring a highly refined powertrain "built for performance," Delphi stated. Delphi supplies its Multec Diesel Common Rail System for the new fuel-efficient vehicle. With 75 horsepower at 4,000 RPM, the VW Polo BlueMotion gets about 71 miles per gallon-leaving hybrids in the dust in terms of fuel mileage-but Americans hungry for this diesel-sipping phenom are out of luck since it is not for sale in the states. 
 
 Wilks Enterprise announced the availability of comparison data done by independent laboratories on its InfraCal Ethanol and Biodiesel Blend Analyzers and InfraSpec VFA-IR Spectrometer. The InfraCal Ethanol Blend Analyzer was tested against an Oxygenate Flame Ionization Detector (O-FID) with comparable results. The InfraCal Biodiesel Blend Analyzer and InfraSpec VFA-IR Spectrometer were compared to an FT-IR using EN 14078 and ASTM 7371 methods. In all tests, the results obtained with the Wilks instruments were at least equal, if not better. This data indicates that the InfraCal Ethanol and Biodiesel Blend Analyzers, as well as the InfraSpec VFA-IR Spectrometer, do provide results comparable to EN 14078 and ASTM 7371 methods. 
 
 Netspace International Holding Inc.'s wholly owned subsidiary, Alternative Fuels Americas, signed a letter of intent to acquire Integrated Biodiesel Industries of Sao Paulo, Brazil. AFA is a biodiesel consolidation company seeking to acquire companies at every phase of the biodiesel cycle, instituting operational efficiencies and reducing the cost of biodiesel. IBI has made significant advances in recent years in feedstock development in Brazil and Argentina, and has exclusive world rights to a proprietary modular refining technology. AFA and IBI have initiated a process of due diligence and will be holding meetings to complete the acquisition over the next 90 days. 
 
 MBD Energy Limited has become OriginOil's first algae-producing customer. The parties recently signed a memorandum of understanding on a multi-phase commercialization program under which OriginOil will supply MBD Energy, an Australia-based company, with its trademarked Quantum Fracturing and Single-Step Extraction systems. In the initial phase, OriginOil will equip MBD Energy's research and development facility at James Cook University in Queensland, Australia, where testing will take place. Subject to the success of the initial test phase, MBD Energy will purchase significantly larger feeding and OriginOil extraction units to serve facilities planned for its three Algal Synthesizer power station projects in Australia: Tarong Energy (Queensland), Loy Yang A (Victoria) and Eraring Energy (New South Wales). Anglo American, one of the world's largest mining companies, is a cornerstone investor in MBD Energy.
 
 National Clean Fuels executed a letter of intent with DC BioFuels LLC to provide financial assistance in hopes of the opportunity turning into a profitable multi-year arrangement with increasing returns over the period. The LOI precedes definitive agreements that are anticipated to be executed within the month. DC BioFuels is located in the nation's capital and is building a biodiesel plant to supply the city and mid-Atlantic region. This facility is expected to process millions of gallons of waste oil per year from restaurants, residents, institutions and animal waste fats. The plant is being built to expand from 5 MMgy to more than 10 MMgy. &#61500;

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Business Briefs

A comprehensive study of biodiesel blends in some of the harshest off-road applications is wrapping up in Canada, and the verdict is good. The undertaking is one of several projects initiated and funded by Natural Resources Canada's National Renewable Diesel Demonstration Initiative, a program launched in December 2008 to address industry and end-user questions about biodiesel use by demonstrating how it will perform under Canadian real-world conditions as a federal B2 mandate nears. 
 
 The issues identified by the NRDDI for investigation include impacts of cold weather and long-term storage on biodiesel; the interaction of biodiesel from various feedstocks with seasonal variations of ultra-low sulfur diesel (ULSD); the impacts on emerging heavy-duty truck engine technology, in particular 2007 and 2010 emission controls; impacts on engine and heating systems components; and how biodiesel works in the existing distribution infrastructure. Incidentally, the term "renewable diesel" was chosen by NRCan to be as inclusive as possible, to allow stakeholders in Canada the opportunity to test fuels they thought were important, says Nancy Johns, senior manager with the office of energy efficiency at NRCan. She confirms, however, that up to this point biodiesel has been the main fuel of interest in the NRDDI studies. 
 

 The study of interest here, the one being finalized now, was conducted by the nonprofit forest research institute FPInnovations, titled, "Demonstration of the Potential Use of Biodiesel for Off-Road Machinery in Canadian Highway Construction and Forest Operations." It was compiled and written by Cameron Rittich, an energy and emissions program researcher with FPInnovations. The report details four site-specific and three application-specific aspects of this project using biodiesel blends in off-road industrial activities: highway construction in Coquitlam, British Columbia, sawmill yard operation in Prince George, B.C., and forest harvest operations in Saint-Ludger-de-Milot, Quebec, and Meritt, B.C.
 
 The project's duration was six months but only a couple of weeks were spent testing biodiesel blends at the two logging sites, thanks to logistical challenges on the part of the fuel supplier. "One of the first challenges was finding a forestry operator who was even willing to run biodiesel blends," Rittich tells Biodiesel Magazine. "Especially out west, it was very difficult." 
 
 Some problems identified early on using biodiesel blends in the woods for forestry operations, outside of obvious cold weather concerns, included a dirty fueling infrastructure and poor fueling practices. "Their practices aren't exemplary," Rittich says of the forestry industry. "Out in the woods you'll often see dispensing pumps without any filters of any sort, and a lot of these methods for fueling the machinery use a small tank in the back of a pickup truck, that's been in the back of the previous model pickup truck-and the model before that too," he laughs. "So, some these tanks have been around for a while."
 
 
 Five Fuel Networks, Four Sites
 
 Above-ground fuel storage tanks with no insulation ranging from 450 to 18,000 liters (119 to 4,755 gallons) were used, and five distinct fuel distribution networks were studied. The two logging operations tested B2. At the Saint-Ludger-de-Milot, Quebec, forestry site, one or more intermediate storage facility stopovers were used between taking delivery of in-line blended B2 from a terminal in Quebec City, and two on-site above-ground tanks sized 5,800 to 18,000 liters, from which 640 to 2,800 liter mobile tanks delivered the fuel to eight machines: two forwarders, two harvesters, two grapple skidders, one feller-buncher and one dangle-head processor. Even though multiple storage tanks and fuel transfers were used, no fuel-related issues emerged, according to the study. 
 
 The forestry site in Merritt, B.C., picked up in-line blended B2 from a Vancouver terminal and delivered it to a 13,000-liter storage tank on-site, where 450 to 650 liter mobile tanks then refueled 10 forestry machines: three dangle-head processors, two grapple skidders, two knuckle-loaders, a bulldozer, an excavator and a feller-buncher. 
 
 At Prince George, B.C., the sawmill site, two different fuel distribution networks were used, the first from mid-December to mid-March, and the second from mid-March to the present. The first system involved a tanker truck picking up ULSD at a bulk terminal in Prince George, and using in-tank blending a second tank holding soy B100 was pumped in a third empty tank at the same time as the ULSD. The B5 was recirculated in the main tank for thorough mixing, and the fuel was delivered to a 15,000-liter above-ground storage tank from which operators filled their machines. The second fuel distribution method utilized in-line blended B5 picked up in an 18,000-liter tanker trailer from the Shell Vancouver terminal rack, which was met off-site by delivery tankers that filled up from the large tanker trailer and delivered B5 to the sawmill's 15,000-liter above-ground storage tank, from which operators filled their equipment directly. The 12 sawmill machines running on B5 included knuckle-boom loaders, forklifts, wheel loaders and log stackers. 
 
 The Coquitlam, B.C., construction site, where crews worked to relocate a sewer line for a major highway improvement project, took delivery of B10 directly from an 8,100-liter delivery truck to each of the 16 pieces of machinery: four articulated trucks, six excavators, one crane, one grader, one backhoe, one compactor (steam roller), one bulldozer and a wheel loader. The delivery truck loaded B5 at the Shell Terminal in Vancouver and added B100 using in-tank blending to get a B10 blend. 

 
 
 Positive Results
 
 Alberta Innovates-Technology Futures tested the actual fuel blends from the three blending methods, splash, in-tank and in-line. As expected, in-line blending provided the most accurate blends compared to what blend levels were desired, and the blends conformed to either Canadian CGSB or, in the case of B10, ASTM D7467 quality specifications. All B100 used for blending came with certificates of analyses. 
 
 The good news is that no cold flow, startability or operability issues were ever documented in this comprehensive study of biodiesel blends in real-world off-road Canadian conditions. FPInnovations' MultiDAT monitoring devices were fitted onto each piece of equipment tested on biodiesel blends, and monitored work activities such as digging, cutting, lifting and normal smooth-road driving. No instances of a drop in productivity were logged. Also, operators sensed no difference in machine power or operability either. "Performance in cold weather never became an issue," Rittich says. "We never had any instances-no fuel gelling, no filter plugging, no problems with machine operability or startability on cold mornings. And some of the machinery was parked outside, some inside, and they all started just fine, there was no issue with moisture or any other problems." 
 
 "Certainly in a Canadian context we want to test performance in extreme cold weather as much as possible," Johns says. The temperatures didn't get as "extreme" as everyone hoped though. "It was unseasonably warm," Rittich says. The coldest weather seen in the study was in Prince George, B.C., at minus 34 degrees Celsius. "We only got down to minus 34 degrees in one instance," Rittich says. Johns says, "So this year we had the weather we had, but there had been other [NRDDI] studies looking at on-road trucks in Alberta running in minus 40 degrees, and other projects this year-an ag demo in Manitoba, where they had very cold winter snaps this year and all their ag equipment was running. We have on the whole tried to ensure that cold weather operability has been tested, and as long as our industry stakeholders' remaining questions about renewable diesel use have been addressed through their demonstration work, then we have met the objectives of the NRDDI." 
 
 Some of the machines tested were as new as 2010, and Rittich says at least one Caterpillar piece of equipment had a diesel particulate filter installed. Johns says, "There were at least seven vehicles that were model year 2007 or newer, but the project was not about investigating the efficiency or operability of aftertreatment devices." 
 
 Oil analysis was conducted on all of the equipment run on biodiesel blends, and the preliminary data testing for total acid number and total base number suggests that no problems were found during the standard recommended oil change intervals every 300 hours. The final report, however, will include a more thorough investigation of the oil analyses from machines that used B10. 
 
 The duration that different machines were run on biodiesel blends varied from eight to 350 hours a month, which nicely shows that machines used only occasionally and in overtime performed as expected with no adverse results. 
 

 Essentially, the study has shown that, even considering the five different fuel delivery models for the four project sites consuming 280,000 liters of biodiesel blends, no real changes to fueling practices-meaning delivery and short-term storage-need to occur. Perhaps one change that is needed is more blend availability. "There are some challenges to supplying biodiesel blends to the northern regions, where it is really not in the marketplace now," Rittich says. "In the Prince George region there's no biodiesel in retail operations except for a few mom and pop operations, otherwise you can't find biodiesel in some of these places." He also notes that regardless whether biodiesel blends are used, all dispensing pumps should have filters that remove particles and water. 
 
 Once the final report is completed, an important final detail of the project will be education. "We've included an education component to the study they are doing," Johns tells Biodiesel Magazine. "They will conduct regional workshops and develop implementation guides for both the construction and forestry sectors."
 
 
 Ron Kotrba is editor of Biodiesel Magazine. Reach him at (701) 738-4942 or <a href="mailto:rkotrba@bbiinternational.com">rkotrba@bbiinternational.com</a>.

In Coquitlam, British Columbia, road construction crews used B10 in their equipment for a major highway improvement project relocating a sewer line. photo: FPInnovations

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At the Prince George, B.C., sawmill site, two different fuel distribution systems were used to refuel 12 pieces of equipment with B5, including knuckle-boom loaders, forklifts, wheel loaders and log stackers. photo: FPInnovations

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Rittich says some of the refueling tanks in the forestry sector do not have any sort of filter and have been in use for a very long time. photo: FPInnovations

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Funded in part by Natural Resources Canada's National Renewable Diesel Demonstration Initiative, forest research institute FPInnovations just completed a multiphase investigation looking at the performance of biodiesel blends in various off-road applications.

Going Off-Road with Biodiesel

In spring 2008, a group of subcontractors was welding on pipes at an idled biodiesel plant in the eastern U.S. when an explosion occurred, killing one of them. Industrial fires have an untold impact on the economy and human life, and can cause some companies to go out of business. Even if no one is injured, workers can be displaced from their jobs as the facility is rebuilt. 
 
 Approximately six percent of fires in industrial properties and many fires in other properties have been caused by cutting and welding, primarily with portable equipment in areas not specifically designed or approved for such work. Cutting and certain arc welding operations produce literally thousands of ignition sources in the form of sparks and hot slag. Electric arc or oxygen-fuel gas flames and hot works are also inherently ignition sources. The majority of fires, in which cutting and welding are factors, have been caused by these sparks (NFPA 51B, section A.1.1.1). These sparks, or globules, can travel as far as 35 feet setting fire to a variety of combustible and flammable materials. Sparks can also fall through cracks or other small floor openings and set fire to the area beneath the hot work. Likewise, these sparks can also travel via a belt to be deposited in another area of the facility. These areas are not likely to be monitored as the hot work is taking place somewhere else. Hot work is defined as work involving burning, welding, or a similar operation capable of initiating fires or explosions. Hot work operations are vital in keeping our facilities operating smoothly but, if done incorrectly, can have dire consequences. 
 
 This article will help determine if a hot work permit is needed, and how to prepare areas for hot work and put a system in place to ensure permits are obtained before starting. Other permits may also be needed to complete hot work, such as confined space entry, line break permit or a ventilation/exhaust permit. Additionally, lockout/tagout may be required to safely complete the hot work. Finally, contractors will be discussed since some facilities don't possess in-house equipment and expertise to perform hot work. The premise of the article is to follow the OSHA regulations for Welding, Cutting and Brazing found at 29 CFR 1910.252, General Requirements and the National Fire Protection Association's (NFPA) 51B: Standard for Fire Prevention During Welding, Cutting and Other Hot Work; 2009 Edition. Hot work operator and fire watch personal protective equipment will not be covered under the scope of this article.
 
 The responsibility for the hot work to be completed safely rests with facility management. The first step in safely completing hot work is to determine if a hot work permit is needed. The key to plant fire prevention is to never have one. Limit sources of combustion and control sources of ignition. A hot work permit is needed if the hot work will occur in an area where combustible materials such as paper, wood shavings, and combustible or flammable liquids are present. The company or site can designate a permanent area approved for hot work where no permit is needed, such as a detached location or the plant's maintenance shop, which is of noncombustible or fire-resistive construction, essentially free of combustible and flammable contents and segregated from adjacent areas.
 
 In deciding if a hot work permit is necessary, first try to look for alternatives to having an open flame or creating any flying sparks. Some alternatives to hot work include mechanical bolting, screwed, flanged or clamped pipe, reciprocating saw or mechanical pipe cutter.

 
 If hot work is still necessary after examining alternatives and moving the work items to the hot work designated area, a hot work permit must be issued by the facility management for authorization. The person at the facility that issues the hot work permits is the permit authorizing individual (PAI) and may be the supervisor, foreman or a member of safety and health team. The PAI should never be the hot work operator unless they are a sole-proprietor, in which case the operator can authorize to serve as the PAI and as fire watch if a written checklist is followed to serve as a hot work permit. The PAI should always inspect the jobsite for the site-specific conditions to ensure the hot work can be performed safely. Additional permits may also have to be obtained, such as a line break permit to ensure the line has been purged of any liquids before work begins. Also, cleaning the pipes will greatly reduce fire potential. Any remaining liquid or vapor in the pipes may catch fire when extreme heat and sparks are introduced. If the plant cannot ensure the pipes have been purged and are fire-safe prior to starting hot work, use a method to break the line that won't create sparks.
 
 A hot work permit should only be authorized after all combustible materials have been removed at least 35 feet. Potentially some items may not be removed due to size and weight. The hot work operator can protect these combustible items by using welding blankets, curtains and pads that are listed and approved. Many of these items are listed by ANSI/FM 4950 American National Standard for Evaluating Welding Pads, Welding Blankets and Welding Curtains for Hot Work Operations. Check the item's tag for details. 
 
 Even with these additional safeguards, a dedicated fire watch will be needed. Part of the fire watch's job is to look for fires in the incipient stage and prepare to extinguish it quickly or call for help. The fire watch also looks where slag and sparks are flying, since the hot work operator is focusing on the task at hand. The fire watch should have a fully charged fire extinguisher and be trained in all the site's emergency procedures. They should also have the authority to stop the project if unsafe conditions develop. The fire watch is also a dedicated responsibility that extends for at least 30 minutes after hot work completion. Some site-specific areas may require more than one fire watch due to plant configuration. The fire watch must be able to monitor where all the slag or sparks are going. Such situations could be on an elevated platform with slag or sparks falling to a lower floor. 
 
 One of the PAI issuer's jobs is also to ensure a false plant evacuation doesn't occur. Depending on where the hot work is taking place, air handlers, smoke detectors and other fire detection equipment may need to be isolated to ensure the fire detection system doesn't go off due to the work being performed. If previous plant evacuations have resulted in a "boy who cried wolf" scenario, regardless of the emergency alarm, employees will soon always try to determine if the evacuation is warranted before evacuating-a dangerous mindset that can creep into the workplace if false evacuations occur. If the hot work is close to fire sprinkler heads, then they must be protected from contact (either incidental or from the heat created from hot work). Physical barriers and even wet rags can help.
 
 A hot work permit system can be a standalone system or integrated into a larger system of work permits including confined spaces and lockout/tagout of machinery and process equipment. There are also paperless systems in place where the open and cancelled hot work permits are archived and help assist the company in future fine-tuning of the hot work program. Whatever hot work permit system the plant uses, it must be user-friendly. This way, employees better understand it and potential liabilities for not following the system. A user-friendly system will also help with program acceptance if it is still in the development phase and must still be rolled out to employees. As with anything new, there will be some learning required and a little uncertainty upon initial roll out.
 
 If the hot work permit system is part of a larger permit system, this will help employees identify all the potential areas and items that may need to be locked out as well as the requirements for confined space entry or the purging and breaking of any process lines. Accidents and incidents not associated with hot work can also occur if items are not placed out of service correctly to have maintenance performed on them.
 
 There is a general trend toward outsourcing any specialized maintenance work, especially for plants that don't have personnel with the necessary skills, or all the required personal protective equipment and an area for proper bottled gas storage. Any contractors being brought onto the property should be vetted for their ability to complete the job safely and adequate insurance coverage, and their safety procedures and plans should be reviewed. Part of the contractor selection process should be a project meeting to discuss the job's scope, along with covering specific work procedures and permits to be used. The plant should ensure its hot work permit system is used unless the contractor can prove a greater degree of safety by using his own hot work program. The lowest bid or price does not always ensure a smooth, accident- or fire-free project. Proper planning and coordination are the keys. 
 
 
 References:

 
 -NFPA 51B Standard for Fire Prevention During Welding, Cutting and Other Hot Work; 2009 Edition-reprinted with permission from NFPA 51B, Fire Prevention during Welding, Cutting, and other Hot Work © 2008, National Fire Protection Association. This reprinted material is not the complete and official position of the NFPA on the referenced subject, which is represented only by the standard in its entirety.
 
 -OSHA 29 CFR1910.252, Welding, Cutting and Brazing
 
 David Ayers is the principal consultant at Applied Safety Management. Reach him at (443) 896-7540 or <a href="mailto:david.ayers@appliedsafetymanagement.com">david.ayers@appliedsafetymanagement.com</a>.

Industrial fires and explosions represent only six percent of all fires but can have lasting effects on employees and businesses. The key to fire prevention is to follow the plant's hot work permit system and proper coordination.

Fire Prevention and  Hot Work Permits at Biodiesel Plants

An advanced proprietary process and associated catalyst that resolves many of the well-recognized issues facing the global biodiesel industry has been developed by SBI BioEnergy Inc. Its next-generation technology is based on a proprietary solid catalyst formula that processes virtually all plant oils and animal derived fat feedstock, as well as free fatty acids (FFAs), to produce high purity biodiesel with high-grade glycerol as a byproduct.
 
 Biodiesel is produced largely using batch reactors. Technology for production of this nature has not fundamentally changed in 200 years. SBI is focused on creating technology that makes changes and brings simplicity to industrial processes. 
 
 The technology the company has developed is SBI's Process Intensifying Continuous Flow-Through Reaction, a heterogeneous catalyst-based process adapted for the production of biodiesel from a variety of feedstocks. At the core of this technology is a carefully designed proprietary blended catalyst formula that has a long, active life. The catalyst is unaffected by the presence of water and is recyclable, which eliminates the need for continuous replenishing of the catalyst. The catalyst is capable of transesterification of triglycerides and esterification of the FFAs present in feedstock simultaneously and effectively into biodiesel, in one step. Importantly, the process consumes no chemicals or water at any stage and produces no waste. The catalyst is expected to last for extended periods without losing its activity, and in case its performance is compromised due to variations in feedstock quality, it can be rejuvenated to its original performance with a simple nonchemical process. The output from the biodiesel process exceeds ASTM and European standards, and the long-life renewable catalyst is not consumed in processing.
 
 Numerous features are offered and demonstrated by this proprietary continuous processing technology. SBI has successfully processed multiple feedstocks, which is critical since different geographic regions will rely on wide-ranging feedstock supplies that are locally produced or based on suitability for reasons such as climate, growing season and cloud point limitations. 
 
 The catalyst, named SBI-2710, is insensitive to the origin or source of feedstock. Feedstocks that can be utilized could be a triglyceride and FFAs containing oil or fat such as canola, camelina, soya, safflower, algae, flax, hemp, rapeseed, palm, coconut, jatropha, cottonseed and sunflower oils, or beef tallow, pork lard and the like or from cooking, or a mixture thereof. Also, SBI-2710 can utilize 100 percent FFAs and mixtures with triglycerides in almost any ratios without fouling or deteriorating.

 On the environmental side, the SBI process uses no water and no additional chemicals (acids/bases) other than methanol, which is captured and recycled back into the process. This reduces or eliminates washing, cleanup and disposal concerns and costs. There is no waste stream or any residues to be disposed of as the glycerol produced is of extremely high quality and may be sold into high-value pharmaceutical markets rather than constitute a disposal stream. An extremely low-carbon footprint results through reduced greenhouse gas production by a more than 90 percent reduction in energy use. The proprietary, fully continuous closed-loop process and reactor system reduces or eliminates volatile chemical risks. 
 
 The innovative design of the equipment in combination with process intensification, continuous processing and fewer operations requiring heating, allows continuous recovery and recycling of heat energy. This reduces energy consumption not conveniently achieved in the conventional batch and semi-batch processes. Conventional processes can require external cooling using water to remove unused excess process heat energy, which necessitates extensive use of water and electricity.
 Capital costs are a major concern for producers, investors and bankers. SBI estimates the cost per installed capacity unit to be one-third or less than the capital cost of conventional technology plants, as many conventional components would no longer be required. The process technology allows for scalable plant size from micro-skid mounted to the largest industrial scale. The plant design offers a very small physical footprint, less than 20 percent of conventional biodiesel plants.
 
 The simplicity of the process also results in lowered operating costs, projected at less than one-half of the operating costs for conventional plants, depending on operating region. A major operational benefit is the production of greater than 98 percent pure high-value colorless glycerin, providing additional revenues versus incurring landfill disposal costs.
 
 Also significantly reduced is the number of operational control points, typically 135 for conventional plants, down to only seven for the SBI process. This reinforces the simplicity, safety and both cost and operational efficiency of the process. Labor costs are also reduced by employing fewer operators and enabling flexible operating profiles. 
 
 The Edmonton, Alberta-based company has gone from its original test facility to increased capacity, currently 10,500 liters (2,774 gallons) per year and expects to be demonstrating a one liter per minute scale (525,000 liters per year) in September. The full industrial scale, 20-plus liters per minute or 10-plus million liters per year, is planned to be available for processors by the third quarter of 2011. Larger capacities can be accomplished using multiple parallel reactors. 
 
 The next stages of development and commercialization are being supported by various funding agencies and a consortium of parties involved with renewable energy: CanGen Energy Corp., novaNAIT, Olds College School of Innovation, Alfa Laval in partnership with AT AGRAR-Technik GmbH & Co., and Spartan Controls.
 
 "The simplicity and efficiency of this process should allow us to implement the production of biodiesel using this technology in most global markets due to its significant operational and product advantages," said Rick Henschel, president of CanGen Energy.
 SBI BioEnergy's primary development focus is on the licensing of process and processors both on an individual plant basis and by region/territory. The company also plans to partner with larger EPC (engineering, procurement and construction) firms in its target markets to build turn-key retrofit or new facilities that are owned by licensees. In addition to the obvious advantages offered to new-build plants, the operating cost savings and high-value glycerol sales should enable marginal or even money-losing operations to retrofit and turn the corner to sustained profitability
 

 
 Inder Pal Singh is president and CEO of SBI BioEnergy Inc. Reach him at (780) 413-9832 or <a href="mailto:ips@sbifinechemicals.com">ips@sbifinechemicals.com</a>.

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Chemist Inder Pal Singh and his company, SBI Fine Chemicals Inc., supply high quality intermediates to the world's pharmaceutical giants. Now a spin-off company, SBI BioEnergy, is focusing on  demonstrating a biodiesel process that offers cost and operational benefits.

Continuous Process Intensification for Next Generation Biodiesel Technology

Posted June 15, 2010
 
 The one-day Advanced Biofuels Workshop, a co-located event at BBI International's 26th annual Fuel Ethanol Workshop & Expo, took place June 14 in St. Louis. The conference's first panel-Game-Changing Pathways: Exploring New Roads to Tomorrow's Advanced Biofuels-demonstrated the wide range of products from, and process techniques for, advanced biofuels production. 
 
 Today the advanced biofuels industries are in the "let a thousand flowers bloom" mode, said Gregory Pal, senior director of corporate development with LS9 Inc. "Over time there'll be a shake-out and others will fall by the wayside," Pal said, referring to the questionable feasibility of some products and processes now under investigation. 
 
 LS9 has made headlines in recent months for its novel one-step approach using designer microbes to convert sugars, not lipids, into various diesel fuel substitutes. The microbes, what some have referred to as "magic bugs," ferment sugars into either methyl ester biodiesel or a renewable hydrocarbon fuel the company trademarked UltraClean Diesel depending on the desired end product. "There are no miracles required," Pal said. 
 
 The company is focused on diesel fuel substitutes because it rightfully recognizes that diesel is the dominant fuel outside the U.S., and in years to come diesel applications are expected to gain significant ground in the U.S. 
 

 Pal told the audience that LS9's pilot plant has been operating in South San Francisco for nearly two years, and mentioned the demo-scale plant in Florida expected to come online next year. LS9 also recently gained U.S. EPA registration to sell its fuels into commercial markets. 
 
 While LS9 is focused on diesel fuels, Virent Energy Systems Inc. is focusing on biogasoline-and the company has big names backing it up. Cargill is invested in Virent and is helping arrange feedstock supply; Royal Dutch Shell is also deeply financially invested as its development partner while opening up market channels; and Honda is testing its fuels and providing performance feedback. 
 
 The company's vice president of business development, Greg Keenan, said that LS9 and Virent share similar objectives, but the conversion pathways are different. "While LS9 is going biological route, we're using a solid state catalyst, the goal is to reduce oxygen to carbon ratio and increase the hydrogen to carbon ratio," Keenan said. 
 
 Virent's process, called BioForming, uses the sugars released in hydrolysis at 100 degrees Celsius, and is less severe than pyrolysis at temperatures between 400 and 700 degrees, or gasification at around 1,000 degrees. In one to two hours, Virent's process moves from sugar in to drop-in product out.
 
 The Btu content of Virent's biogasoline comes in at around 120,000 Btu per gallon compared to petroleum unleaded gasoline at about 115,000 Btu, and ethanol at 76,000 Btu. The Reid Vapor Pressure of biogasoline is similar to that of fossil gasoline, Keenan said. 
 
 Keenan said the company is looking at beet and cane sugars, in addition to corn syrup, as feedstocks. 
 
 Another panelist on the Game-Changing Pathways panel at the ABW was Randal Goodfellow, senior vice president of corporate relations for Ensyn Technologies Inc., one half of the Envergent Technologies joint venture with UOP. 
 
 Envergent's process utilizes oxygen-free fast pyrolysis in a circulating fluidized bed in which the ultra-hot sand heats bits of biomass and vaporizes them. Goodfellow joked that even though the Rapid Thermal Processing reaction takes less than one second, he tells people that it takes less than two seconds because public perception was that under a second is "too fast."
 
 "We've had an advanced biofuel since 1989, it was a byproduct of our chemicals production," he said. Ensyn has been making smoky flavors from its process for years, which have been picked up by big names such as Kraft Foods and Burger King. 

 
 The feedstock comes in at 45 percent water, and they use excess gases off the process to dry down the product to between six and eight percent moisture. He said the process yields 70 to 75 percent liquid fuel. 
 
 As far as feedstock choices go, Goodfellow said, "The sand doesn't care what it hits. It could be lignin-it is lignin." The joint venture hopes to have its fuels hitting commercial markets by 2012. 
 
 When used for heat, Goodfellow said the fuel is economic when oil is only $30 a barrel; when considering transportation fuels, it is economical when oil is only $40 a barrel.
 
 Elevance Renewable Sciences Inc.'s Omar Abou-Sayed, vice president of corporate development, rounded out the ABW's kick-off panel, and he spoke on the company's metathesis process. Metathesis can produce a host of platform chemicals from double-bond triglycerides, such as 1-decene that makes up synthetic motor oil, to 9-octadecene, which Abou-Sayed said sells for $1,000 a pound. "We're going to make it for $1 a pound," he said. 
 
 "Out of a typical barrel of oil, eight percent is used for petrochemicals-the naptha cut," Abou-Sayed said. "But that eight percent makes up 40 percent of the profits." 
 
 He said Elevance sees 9-decenoic acid as the heart of the biochemical industry, which is why it's important to derivatize it to other chemicals. 
 
 "Prices being equal between a black molecule and green molecule, people will always pick the green one," Abou-Sayed said. 
 
 By fourth quarter this year, the company will begin biorefinery construction. "We need to achieve scale, and we'll be introducing productive capacity in the next 12 months," Abou-Sayed said.

Game-changing pathways to advanced biofuels

Posted June 15, 2010

 
 At the Advanced Biofuels Workshop June 14 in St. Louis, a panel took place that should be of interest to the many idled and distressed biodiesel facilities in the U.S., thanks to the long-lapsed biodiesel tax credit. The panel, titled, Second Life: Upgrading Existing Industrial Facilities for Advanced Biofuels Production, discussed opportunities where misfortunes otherwise abound. 
 
 Richard Aves, CEO of Cetane Energy LLC, presented on retrofitting biodiesel plants to produce between 200 to 2,000 barrels (8,400 to 84,000 gallons) per day of renewable diesel by way of hydroprocessing. He said Cetane Energy got U.S. EPA certification of its fuel in April 2009, and the company is currently looking at first-gen feedstocks for its second-gen process. 
 
 Its first demo plant was built at the company headquarters in Carlsbad, N.M., and can produce 200 barrels a day of hydroprocessed renewable diesel. Cetane Energy dubs the plant the first U.S. facility to produce hydroprocessed renewable diesel in a stand-alone facility. 
 
 Thus far, the company has five refineries planned, Aves said, and they are being engineered to produce between 500 and 2,000 barrels a day. Cetane Energy's first preference is to use idled/shutdown refineries. The locations of these projects are St. Gabriel, La.; Winnie, Texas; Lexington, Ky.; Las Vegas, Nev.; and Mobile, Ala. The Louisiana plant is in the engineering phase now, and construction is expected to begin later this year, Aves said. It is being designed to process 1,600 barrels per day. Cetane Energy also has license agreements with Rational Energies and Rio Grande Valley Biofuels. 
 
 "We're not waiting for commercialization," Aves said. "It's here." 
 
 Add-ons and retrofits to process and upgrade high-acidity feedstocks was the topic of Roman Wolff's discussion. Wolff is president of Houston-based Enhanced Biofuels LLC. He said his company's trademarked HS Reactor System is designed to process feedstocks with up to 100 percent free fatty acids (FFA) and/or carboxylic acids. 
 
 "Carboxylic acids found in pyrolysis oil are very corrosive and can leach into water," Wolff said. 
 
 Wolff discussed drawbacks of existing technologies to treat undesirable feedstocks, saying that ion exchange requires higher capital costs when dealing with feedstocks that have FFA content higher than 10 percent; acid esterification involves expensive metallurgy, large equipment, and high capital expenses, and is usually designed for batch processing; and with hydrogenation, Wolff said the corrosive, high-FFA feedstocks can degrade the catalyst and-contrary to Aves' talk-can only work on a grand scale. "I'll have to talk with Richard afterwards," Wolff said, looking over to Aves with a smile. 
 

 Unlike other advanced biofuel technologies, Enhanced Biofuels' HS Reactor System produces methyl esters. Wolff said next-generation technology providers rarely look at improving current processes, what his company does. The system employs a combination of reactor geometry, catalysts, temperature and pressure to allow utilization of undesirable and corrosive feedstocks. Enhanced Biofuels has two pilot units in operation today, one scaled at 3,000 gallons per year and the other much larger unit capable of producing 250,000 gallons per year. 
 
 "Advanced biofuel technology is here today," Wolff concluded. 
 
 When asked what aspects can make or break a retrofit project at a biodiesel refinery, Aves pointed out the situation with Healey Biodiesel, a small biodiesel plant in Sedgwick, Kan., which planned to trade in transesterification for Cetane Energy's hydroprocessing technology. The lack of available hydrogen, obviously necessary for hydroprocessing, killed that particular plant retrofit project, Aves said. Even so, he said his company and Healey Biodiesel have plans for future work together at locations where hydrogen supply is accessible, perhaps in the Gulf Coast region where the oil refineries are concentrated. 
 
 Eric Connor with ThermoChem Recovery International talked about the integrated thermochemical biorefinery concept, incorporating gasification of biomass at distressed pulp and paper mills to make syngas, which is then cleaned and fed into a Fischer Tropsch reformer to produce diesel fractions and paraffin waxes, and/or used in a combined cycle energy plant. 
 
 Since the thermochemical platform is exothermic, it integrates with an endothermic host process to create superior economics. He said the thermal efficiency of TRI's process is 72 to 81 percent. Depending on what markets the host company would like to take advantage of, the FT process can be tailored to produce a range of chain lengths from the lightest C1 to C4 (tail gas) to C20-plus chain lengths (paraffin waxes), Connor said. 
 
 TRI has an $8 million pilot plant at Southern Research Institute in Durham, N.C., which can process four dry tons per day using a positive displacement piston system that eliminates hydrogen blowback, and a fluidized bed boiler heating the solid biomass up to 1,450 degrees Fahrenheit, which operates at 65 psi on the bottom and 35 psi on the top. Eighty-five percent of the char is converted to syngas on that vessel, he said. It also utilizes a carbon trim cell, which is what allows TRI to manipulate the hydrogen to carbon ratio. The pilot also implements a weak caustic scrubbing to remove sulfur and particulates from the gas in the cleanup process, and then feeds the cleaned gas to the fixed bed FT reactor to produce C9 to C19 chain-length diesel molecules. 
 
 The company is integrating its process into the Flambeau River Biofuels Project in Wisconsin, which was awarded $30 million from U.S. DOE to demonstrate the biorefinery concept. The capacity will be 1,000 dry tons per day of forest waste biomass, and is expected to produce 9.5 MMgy of FT diesel, 7.6 MMgy of paraffin wax, 5.3 megawatts of green electricity, and steam and hot water for the onsite paper mill that's been around for 100 years. TRI is also working on an integrated biorefinery demo, Project Independence, at NewPage Corp. in Wisconsin Rapids, Wis. 
 
 "You don't need to be large to do FT," Connor said. "I know this because I'm here. We don't want to look like the petroleum industry. Biomass is spread out. We can prove the economics for a distributed system."

A second life for idled industrial facilities

Posted June 21, 2010

 
 Piedmont Biofuels LLC will unveil its newest technology for renewable fuel production at a ribbon-cutting event and lunch July 16 from 11pm to 1pm. Speakers at the event will include the NC Biofuels Center's Steven Burke and the candidate for North Carolina's Senate seat.
 
 The enzymatic biodiesel pilot plant was developed in partnership with the Biofuels Center of North Carolina, Novozymes and the Chatham County Economic Development Corporation. This is the first pilot plant of its kind in the U.S. and uses cutting edge technology developed by Piedmont Biofuels and Novozymes to create high-quality biodiesel from low-quality waste grease. 
 
 The current biodiesel production method forms soaps or salts in both the biodiesel and glycerin phases, producing low-grade coproducts. 
 
 "This new process of using enzymes to produce biodiesel will increase yields, decrease waste and allows producer to use lower cost feedstocks," says Greg Austic of Piedmont Biofuels. "This groundbreaking technology will create more valuable coproducts, and will allow existing producers to double their biodiesel output." Glycerin, a co-product resulting from the enzymatic process can be used to make a wide variety of products, including bioplastics and solvents. 
 
 Since 2006, Piedmont Biofuels has operated a commercial biodiesel plant in Pittsboro, N.C., and continues to be a leader in alternative fuels through its cutting edge research and design departments.
 
 SOURCE: PIEDMONT BIOFUELS LLC

Enzymatic biodiesel pilot plant to open soon

Posted June 17, 2010
 
 Steve Howell, technical director for the National Biodiesel Board and president of the Marc-IV consulting firm, said he was at the Advanced Biofuels Workshop's Drop-In Biofuels panel to present what "infrastructure-ready" biofuels means to him and the biodiesel community. He also gave an industry update and spoke to the sustainable nature of biodiesel. 
 

 Biodiesel is a great example of a sustainable fuel based on waste or excess materials. Since soybeans are grown for the meal, soy oil is a byproduct of the soy crushing industry. In more recent times, many plants have been built or retrofitted to utilize waste greases, used cooking oils and animal fats, or any combination thereof. "No one fries more food or grows more livestock for the waste," Howell said. 
 
 He mentioned the disadvantage from this model, however, is that the fuel properties of biodiesel made from these products are based on the properties of the feedstocks used-some of those properties are desirable, and others not so much. 
 
 Without disrupting markets or causing any real shift in current practices, Howell said about 1.75 billion gallons of biodiesel can be produced today from the available fats, oils and greases in the U.S. 
 
 Econometrically speaking, biodiesel still represents the best low-cost option of advanced biofuel production today. Biodiesel is "fully known, there are no mysteries," he said, as there are with many advanced biofuels under investigation. 
 
 Howell made some important points to consider in the discussion of infrastructure-compatible fuels. "There is a lot more to being infrastructure-ready than delivery," he said, such as having a fine-tuned fuel specification as the result of years of hard work and finesse-something Howell and the biodiesel industry know all too well. "It took eight years to get the first biodiesel specification," he said. 
 
 Also, several automakers have approved B20 for use in their vehicles, and virtually all have approved B5-one has to remember that vehicles are infrastructure too, and a tremendous amount of work has been done over the years to get biodiesel blends accepted by diesel engine and systems makers. 
 
 Oilheat burners are also infrastructure, and the oilheat industry has committed itself to dramatically increasing biodiesel use to clean up its fuel and bring it into the new era of clean energy. 
 
 The unknowns with many emerging advanced biofuels should be a real concern, and Howell asked the audience to consider such things as minor components in these new fuels, an area of seemingly little study but an important one nonetheless. The biodiesel spec has been adjusted over the years to address minor components in biodiesel, sterol glucosides, mono and diglycerides, sodium, potassium, magnesium and calcium, to name a few. Thus, "infrastructure" is more than just pipelines, terminals and service stations, Howell emphasized. 
 
 Howell also mentioned progress in advancing biodiesel as a pipelined fuel-and just because the biodiesel industry is relatively small compared to the petroleum or even the ethanol industries, pipelining biodiesel can save a significant amount of money for those obligated parties, the oil refiners, under the RFS2. Shipping biodiesel via the pipe can save between five and 25 cents a gallon in transportation costs, which can in total save obligated parties up to $50 million annually. 

 
 There is a tremendous amount of work being done on behalf of the pipeline steering committee, of which Howell is a big part. Much of that effort right now is focused on upping the fatty acid methyl ester (FAME) contamination spec in jet fuel from 5 parts per million to 100 parts per million. The airplane engine manufacturers are worried that FAME contamination in jet fuel can cause engine problems, something no one wants to risk. "I fly a lot so I don't want any airplanes to fall out of the sky," Howell said. There is ongoing work, 5,000 15-minute test cycles for instance, testing jet fuel with 400 ppm FAME contamination in jet engines. If four times the concentration of 100 ppm proves to be safe, then this will help push through a 100-ppm spec. Data from these test is expected this fall. 
 
 As biodiesel production volume grows in the U.S., Howell said it would behoove the industry to begin tailoring select oil and fat feedstocks with more desirable properties than the available feedstocks that are currently being used. "If we're going to grow 7 billion gallons, then let's do it right," he said. 
 
 Unlike blends of ethanol or perhaps even methyl ester biodiesel, the issue with many advanced biofuels under development isn't blend volumes or regulatory blend caps, said Seth Synder, head of the chemical and biotechnology section of Argonne National Laboratory's energy systems division. "Instead, we have to worry about sustainability," he told attendees. 
 
 He said work on Argonne's multifaceted project to develop drop-in biofuels is in its nascent stages, with monthly conference calls starting just this week. Immediate focus is determining the tools for the lab's giant research project-the integrated biofuel/engine design study-such as atomic layer deposition to help develop effective catalysts and bring them to scale. 
 
 "We're doing it all at once rather than saying, 'I have a bug, where do we go from here?'" Snyder said, adding that the lab just filed for a patent related to this project last week. Part of the work involves over-expressing production of molecule chains with five-carbon atoms. "We're not waiting for biology to scale up," Snyder said. Argonne researchers are looking at where is the sweet spot is for natural production of these desirable molecules, versus what makes a good fuel. "So we're bringing that together," he said. 
 
 The project covers a wide area of research, including fuel combustion in engines, life cycle analyses, processes, organism and catalyst developments, and more, spanning eight or nine programs. 
 
 Another panelist, Jeff McDaniel, director of business development for Velocys Inc.-part of the Oxford Catalyst Group-presented on microchannel technology for production of cellulosic diesel. "The Fischer Tropsch process needs to change to enable biomass-to-liquids," McDaniel said, adding that microchannel technology enables the successful FT conversion of biomass to fuels. 
 
 The technology utilizes a multitude of small-diameter reactor tubes that improve the heat/mass transfer to better control the reaction, and increase the process speed. 
 

 The gasification process yields 72 percent conversion to carbon monoxide, and minimizes selectivity to methane. Velocys has three demonstration commitments, one in Austria, another in Brazil and a third project at the Wright-Patterson Air Force Base in Ohio.

Hard work has made biodiesel a 'drop-in' fuel

Posted June 18, 2010
 
 On June 9, the first commercial biodiesel was produced in the state of Alaska. Alaska Green Waste Solutions began production in its new Anchorage biodiesel plant and is celebrating with a grand opening on Thursday, June 17. The plant has a capacity of 1,000 gallons per day and is the perfect solution for disposing of waste cooking oil and producing a clean, reusable fuel in any location. 
 
 "This is a great example of the community-based model we believe in," said Bob King, President of Pacific Biodiesel. "Here we have a city that has very limited options for feedstock because of the harsh growing conditions, yet they can still be producing their own sustainable fuel. Use the resources in your area and it can happen." 
 
 Constructed in Salem, Ore., by Pacific Biodiesel Technologies and JVNW, the plant was disassembled for shipment and reassembled in Anchorage. Built in six shipping containers, the facility includes storage for feedstock, biodiesel and glycerin, utilities and the biodiesel produces system. It can be shipped anywhere, assembled on site and ready for production quickly. 
 
 Pacific Biodiesel Technologies was contracted to design and build the plant for Alaska Green Waste Solutions, which plans on using most of the biodiesel for its fleet of refuse collection trucks operated by its sister company, Alaska Waste. Alaska Waste provides solid waste and recycling services to Alaska customers including homes, schools, businesses, and governmental and state facilities. With the largest refuse fleet in the state, using biodiesel is an important part of Alaska Waste's commitment to recycling and sustainability. 
 
 SOURCE: PACIFIC BIODIESEL TECHNOLOGIES

Alaska Green Waste Solution's new 1,000-gallon per day biodiesel plant was built by Pacific Biodiesel Technologies and JVNW.

2099-1294332249.jpg

Alaska Green Waste Solutions begins production in its new biodiesel plant designed and built by Pacific Biodiesel Technologies

First commercial biodiesel produced in Alaska

Posted June 22, 2010
 
 Panel speakers discussed back-end coproduct optimization for ethanol plants at the 2010 International Fuel Ethanol Workshop & Expo in St. Louis last week. In recent times, more biodiesel producers have incorporated use of post-fermentation corn oil, extracted from ethanol plant stillage, as a biodiesel feedstock. 

 
 The chief technology officer for Greenshift Corp., David Winsness, said only about 4 MMgy of post-ferm corn oil was being extracted from whole stillage at U.S. ethanol plants in May 2007. Two years later, however, that number grew to 33 MMgy. By May 2010 as much as 44 MMgy of post-ferm corn oil was removed and sold as biodiesel feedstock or for other uses. Winsness said by 2022, it is expected that up to 680 MMgy of post-ferm corn oil will be siphoned from the back-end of U.S. ethanol plants. 
 
 Winsness said the earlier Greenshift extraction modules were able to secure up to 0.9 pounds per bushel (lbs/bushel) of corn oil, but by applying the company's latest advanced method, up to 1.7 lbs/bushel of post-ferm corn oil can be extracted. He said ethanol producers can make up to 7.9 cents per gallon of ethanol produced off of selling their post-ferm corn oil. "This could mean $830 million of new money to this industry," Winsness said. 
 
 While most corn fractionation processes involve front-end component separation after which the nonstarch streams can be sold into various higher-value markets, Greenshift has trademarked the term Backend Fractionation to represent the selective and efficient removal of valuable components within the whole stillage. "It's barbaric to use a hammer and chisel approach to separating corn components," said Winsness of some front-end frac processes. 
 
 Ryan Heuer with ICM Inc.'s business development unit discussed Flottweg's Tricanter technology, which is a three-phase separator isolating the solid "peanut butter-like material" from the two immiscible liquids with different densities, oil and water. Heuer said unlike competitors' separation equipment, which use disk stack centrifugation similar to what's used for skim milk production, Tricanter technology does not leave any entrained solids in the extracted corn oil. He also said the downtime of Tricanter technology is significantly less than with competing oil extraction units. 
 
 "There's a 40 to 60 second delay every six or seven minutes," Heuer said referring to disk stack units. "That equals a downtime of about 10 percent," whereas Heuer said downtime for the Tricanter is only about 1.2 percent. He said the purity of the extracted oil product is comparable to yellow grease and actually trades at a premium to yellow grease. 
 
 Radhakrishnan Srinivasan, assistant research professor at Mississippi State University, gave an interesting talk on the so-called Eluseive process, whose name comes from combining elutriation and sieving. Using blowing air and different sized sieves, Srinivasan said it is possible to make enhanced DDGS, which is low-fiber, higher protein/fat distillers grains for chicken and poultry, an application developed to increase the utility of the feed in nonruminant markets. The separated fiber can be sold to ruminant feed markets. 
 
 Using four sieve sizes-large, medium, small and pan-the DDGS are first separated according to particle size. Once separated, air is blown into the size-separated batches of DDGS, effectively removing the fiber, leaving behind a relatively fiber-free enhanced DDGS. A one ton per hour Elusieve pilot plant is operating at University of Illinois-Urbana Champagne.

Encouraging numbers for corn oil feedstock

Posted June 23, 2010

 
 At a time when sustainability is hotter than ever, what's often missing is a clear definition of what exactly the trendy term means. U.S. soybean producers are working to change that through a new Web platform, <a target="_blank" href="http://www.usbthinkingahead.com" rel="external">www.usbthinkingahead.com</a>, which defines the concept and points to agriculture as the original sustainability success story.
 
 "Many people define and measure sustainability differently, and the discussion about what it really means can generate more heat than light," said David Wilson, United Soybean Board director and soybean farmer from Lincoln, Ala. "Agriculture has been working well for 10,000 years, so it has always been sustainable historically. But soybean producers are doing some innovative work recently to improve on that success and make sure soybean production continually decreases environmental impact and remains sustainable going forward."
 
 For USB, defining soybean sustainability accurately is far more than a marketing goal. Wilson says there's a lot more at stake than most people realize.
 
 "In just 20 years, the amount of grain-producing land per person is projected to drop to one-third of what it was in 1950," Wilson said. "At most there is 12 percent more arable land available that is not presently forested or environmentally marginal. Meanwhile, the World Water Council projects that in just 10 years the need for fresh water will be 17 percent higher than water availability. These are significant problems that threaten the food supply, yet these issues get little media attention amidst all the green chatter that's going on."
 
 USB's efforts to address those challenges are being blogged about on the new Web site. 
 
 "We're trying to proactively define and measure our industry in an effort to showcase what we're already doing as producers," said Doug Goehring, a soybean farmer from North Dakota. "We've made great strides in production agriculture in this country. We have been practicing sustainability, we are sustainable, and we'll continue to perfect that."
 
 Those improvements are being measured through studies such as a recent report by Field to Market, a multi-stakeholder group comprised of grower organizations, agribusinesses, food companies and conservation organizations, which documented recent improvements in soybean production. The study found:
 

 &bull;	Soybean production increases since 1987 resulted in soybean land use per bushel decreasing by 26 percent. "Without those yield improvements over the last 21 years, we would have needed to add land area about the size of Indiana into production to meet the current demand for soybeans," Wilson said.
 
 &bull;	Energy use decreased 1.34 million Btus per acre, or 54 percent from 1987 to 2008. In the same period, energy use per bushel decreased by 61 percent due to more sustainable farming practices.
 
 &bull;	Soybean growers decreased soil loss by 1.17 tons per acre, or 37 percent over the study period. In 2008, soil loss per bushel was 46 percent less than in 1987, resulting from shifts in production practices including reduced-tillage adoption.
 
 &bull;	Soybean farmers have reduced carbon emissions 22.13 pounds per acre or, 24 percent over the study period. Emissions per bushel decreased 35 percent. Since 2000, the soybean industry has reduced overall carbon emissions by an average of 104.23 million pounds of carbon each year.
 
 &bull;	Water use efficiency per bushel increased by 20 percent between 1987 and 2008.
 
 According to USB director and soybean farmer from Palmer, Neb., Mike Thede, "There is a misconception that farmers aren't interested in the environment. Farmers grow their product in the environment, so it's in our best interest to take care of the environment."
 
 Given that agriculture has kept pace with demand in the past, it has always been sustainable, Wilson said, but continual improvements are needed to keep production in step with demand and natural resources: "Soybean producers are working to make sure soybean production remains sustainable, continuing to deliver more food while decreasing impact at the same time."
 
 SOURCE: UNITED SOYBEAN BOARD

Producers Address Food Supply and Environmental Threats

Soybean board tackles sustainability

Posted June 24, 2010
 
 On June 22, the Australian Customs and Border Protection Service issued the following dumping notice no. 2010/21, regarding initiation of investigation into alleged U.S. biodiesel dumping and subsidization. 
 
 The CEO of the Australian Customs and Border Protection Service has initiated investigations following an application lodged by Biodiesel Producers Limited. The application requests the publication of a dumping duty notice and countervailing duty notice in respect of biodiesel exported to Australia from the U.S. 

 
 The application alleges that the goods have been exported to Australia from the U.S. at prices less than their normal value, that countervailable subsidies have been received in respect of the goods exported from the U.S. to Australia, and that the dumping and subsidization has caused material injury to the Australian industry through:
 
 - lost sales volumes;
 - loss of market share;
 - price undercutting;
 - reduced profits and profitability.
 
 The nonconfidential version of the application, made available on the public record, contains the basis of the alleged dumping and subsidization.
 
 A notice under subsection 269TC(4) of the Customs Act 1901 (Act) advising initiation of these investigations was published in The Australian newspaper on June 22, 2010.
 
 The Goods
 The goods the subject of the application (the goods) are fuel manufactured by chemically altering nonfossil origin feedstocks (including recycled materials from these sources) through a process of transesterification and/or esterification to form mono-alkyl esters (commonly known as 'biodiesel') whether in pure form (B100) or in a blend with a biodiesel percentage in excess of 20 percent (B20) exported from the U.S.
 
 The goods may be classified to tariff subheadings 2710.11.80 (statistical code 11), 2710.19.80 (statistical code 21), 2710.91.80 (statistical code 82), 2710.99.80 (statistical code 91), 3824.90.20 (statistical code 20) and 3824.90.30 (statistical code 46) in Schedule 3 of the Customs Tariff Act 1995. Imports from the U.S. under all the relevant classifications set out above attract a Customs duty rate of A$0.38143 per liter.

 
 Investigation Process
 The investigation period for both investigations is from April 1, 2009, to March 31, 2010.Customs and Border Protection will examine exports to Australia of the goods during that period to determine whether dumping and/or subsidization has occurred. Customs and Border Protection will examine details of the Australian market from July 1, 2007, for injury analysis.
 
 In making findings in relation to the application for a dumping duty notice, the CEO must consider whether:
 
 (a) the export price of the goods that have already been exported to Australia is less than the normal value of those goods; and
 (b) the export price of like goods that may be exported to Australia in the future may be less than the normal value of the goods; and
 (c) because of that, material injury to the Australian industry producing like goods has been or is being caused or is threatened.
 
 In making findings in relation to the application for a countervailing duty notice, the CEO must consider whether:
 
 (a) a countervailable subsidy has been received in respect of the goods that have already been exported to Australia; and
 (b) a countervailable subsidy may be received in respect of like goods that may be exported to Australia in the future; and
 (c) because of that, material injury to the Australian industry producing like goods has been or is being caused or is threatened.
 

 Lodgement of Submissions
 Interested parties are invited to lodge submissions concerning the publication of the dumping duty notice and/or countervailing duty notice sought in the application no later than the close of business on August 2, 2010, addressed to:
 
 Director Operations 3
 Trade Measures Branch
 Australian Customs and Border Protection Service
 Customs House
 5 Constitution Avenue
 CANBERRA ACT 2601
 Or by email: tmops3@customs.gov.au
 
 Interested parties wishing to participate in the investigations must ensure that submissions are lodged promptly. Interested parties may be granted an extension of time for lodgement of a submission, provided the request is in writing and is reasonable and practical given the circumstances. Interested parties may reply to matters raised by other parties during the course of the investigation and in response to the statement of essential facts.
 
 Interested parties should note that the CEO is not obliged to have regard to a submission received by Customs and Border Protection after the end of the period mentioned above if to do so would, in the CEO's opinion, prevent the timely placement of the statement of essential facts on the public record.
 
 Interested parties claiming that information contained in their submission is confidential, or that the publication of the information would adversely affect their business or commercial interests, must:

 
 - provide a summary containing sufficient detail to allow a reasonable understanding of the substance of the information that does not breach that confidentiality or adversely affect those interests, or
 - satisfy the CEO that there is no way such a summary can be given to allow a reasonable understanding of the substance of the information.
 
 Submissions containing confidential information must be clearly marked "In-Confidence".
 
 Interested parties must lodge a non-confidential version or a summary of their submission in accordance with the requirement above. In either case, interested parties must provide two copies of each for the public record.
 
 Public Record
 The CEO must maintain a public record of each inquiry. The public record must contain, among other things, a copy of all submissions from interested parties (letters and electronic mail are generally regarded as "submissions" if they contain information relevant to the inquiry).
 
 Documents included in the public record are available at http://adpr.customs.gov.au/Customs/
 Alternatively, the public record may be examined at the office address below during business hours by contacting Trade Measures Branch on telephone number (02) 6275 6547.
 
 Trade Measures Branch
 Customs House

 5 Constitution Avenue
 CANBERRA ACT 2601
 
 Provisional Measures
 A preliminary affirmative determination may be made no earlier than 60 days after the date of initiation provided that there appears to be sufficient grounds for the publication of a dumping duty notice and/or countervailing duty notice. In accordance with section 269TD of the Act, provisional measures, in the form of securities in respect of interim dumping duty and/or countervailing duty that may become payable on the goods, may be imposed where a preliminary affirmative determination has been made.
 
 Statement of Essential Facts
 The dates specified in this notice for lodging submissions must be observed to enable Customs and Border Protection to report to the Minister for Home Affairs (the Minister) within the legislative timeframe. 
 
 A statement of essential facts will be placed on the public record by
 10 October 2010, or by such later date as the Minister may allow in accordance with section 269ZHI of the Act. The statement will set out the essential facts on which the CEO proposes to base a recommendation to the Minister. That statement will invite interested parties to respond to the issues raised within 20 days of the statement being placed on the public record. Submissions to the SEF should also be lodged with Customs and Border Protection at the above mail or email address.
 
 Report to the Minister
 Submissions received in response to the statement of essential facts will be taken into account in completing the report and recommendation to the Minister. A recommendation to the Minister will be made in a report on or before 24 November 2010 (or such later date as the Minister may allow), unless the CEO terminates the investigation earlier under s269TDA of the Act.

 
 Review Officer
 Certain parties will have the right to seek review in accordance with Division 9 of Part XVB of the Act of either a decision by the CEO to terminate the investigation, or a decision of the Minister after considering the CEO's report.
 
 Customs and Border Protection Contact
 Enquiries concerning this notice may be directed to the case manager on telephone number
 (02) 6275 6544, fax number (02) 6275 6990 or email tmops3@customs.gov.au.
 
 Geoff Johannes
 National Manager
 Trade Measures Branch
 CANBERRA ACT
 22 June 2010
 
 SOURCE: AUSTRALIAN CUSTOMS AND BORDER PROTECTION SERVICE

Australia investigates US biodiesel dumping

Posted July 1, 2010
 
 The Austrian company known to the public just days ago as BDI-BioDiesel International AG has changed its name, dropping biodiesel for bioenergy, in "order to reflect the broader strategic focus of the company on the 'waste-to biofuels' field," BDI-BioEnergy International stated in a July 1 release. 
 

 Starting as specialists in biodiesel plant manufacturing and process technology back in 1996, over the years the company has continued to update its biodiesel product portfolio with such technologies as the RetroFit program, an optimization package; RepCat, a biodiesel process for converting very high free fatty acid content feedstock; and more. 
 
 This year BDI began to supply biogas technology, so-called ENBAFERM Multi-Feedstock BioGas, to industrial users. Also this year BDI came out with BioCrack technology to enable refineries to include up to 20 percent biomass content in fuel during the refining process itself, by making use of crude oil refining byproducts. 
 
 Wilhelm Hammer, CEO, said, "The new name enables the company and its purpose to be clearly identified. Since BDI is a brand that is respected all over the world, it continues to be included in the name as well."

BDI drops 'biodiesel' from name

Posted July 1, 2010
 
 Biodiesel RIN credit prices were high as July 1-the date RFS2 goes into effect-approached. According to Atlas Commodity Markets' daily pricing update as of June 30, the 2010 biodiesel RIN bids were up to 50 cents, while offers stood at 55 cents. 
 
 Wayne Presby, a managing partner with White Mountain Biodiesel LLC in Haverhill, N.H., said the high biodiesel RIN credit prices were reassuring for him in these times without the $1 per gallon federal tax credit. White Mountain Biodiesel, a 5.5 MMgy biodiesel plant, has been under construction for approximately a year and a half, and Presby told Biodiesel Magazine on July 1 that construction is finally complete and the plant is undergoing commissioning along with IRS and U.S. EPA registrations. The plant's fuel, which is made from waste greases, is meeting ASTM quality specifications. 
 
 Clean Fuels Clearinghouse and RINSTAR founder Clayton McMartin said with type B biodiesel RINs, it is economics 101 with price driving the supply and demand balance."RFS2 has set the demand-the lack of the tax credit has reduced supply," McMartin said. "The RIN credit price will continue to increase until the obligated parties have acquired sufficient RINs to meet this year's mandate. Void of the tax credit, if the RIN price gets high enough then more production will come back online." 
 
 McMartin, who recently co-authored a <a target="_blank" href="http://www.CFCH.com/whitepaper" rel="external">white paper </a>on RFS2, mentioned a longer term problem-the volatility in the market for biodiesel producers. 

 
 "Much of that rests in the fact that obligated parties only have to demonstrate compliance at the end of the year," he said. "This dynamic undermines the efficiency that the producers would need in order to know they can count on the RIN component in the overall value for their product and, therefore, develop longer range operating plans." 
 
 Without the stabilization of quarterly reporting, violent swings in RIN prices may be a new normal, McMartin told Biodiesel Magazine. "The swings are certainly not to the advantage of the producers-or the refiners for that matter."

RFS2 start date sees high biodiesel RIN prices

Posted July 7, 2010
 
 Minister of State for Canada Economic Development Denis Lebel announced on July 5 the allotment of $800,000 (approximately $762,000 USD) in repayable funding to QFI Biodiesel Inc. for the startup of its Saint-Jean-sur-Richelieu, Quebec, biodiesel plant. 
 
 The new enterprise will produce biodiesel made from animal- and vegetable-based recycled oils, such as soya, canola and sunflower. QFI Biodiesel's fuel will be sold to Quebec, Canadian and international markets. The company intends to hire 19 full-time workers to carry out the project. 
 
 In January, Methes Energies Canada Inc. received its initial order for two "pipe-to-pipe" Denami 600 biodiesel processors to be delivered to the Saint-Jean-sur-Richelieu plant. That initial order was part of a sale and licensing agreement entered with QFI Biodiesel for a total of eight such units, the additional six were to be delivered by the end of the year. The total price of the transaction, according to Methes Energies Canada, was estimated at approximately $6.8 million.
 

 "We have been working with Methes for several months now and are happy to move forward with their equipment, which we believe is the best on the market and the most indicated toward our growth strategy over the next several years," said Serge Quintal, QFI Biodiesel president, in January. "We like the Methes business model and look forward to a long relationship with them." 
 
 Lebel said, "The Government of Canada is proud to support small and medium-sized businesses that, like QFI Biodiesel, are helping to build prosperity and create jobs through their vision and determination. This financial assistance constitutes a real investment in the social and economic development of the Montérégie [region of Quebec] and one that is sure to help position the region advantageously in this growth sector, both here and around the world." 
 
 This funding from the Canadian government has been granted through the Community Adjustment Fund established under Canada's Economic Action Plan, a measure adopted in January 2009 to mitigate the impacts of the recent economic downturn, stimulate job creation and address the transitional and adjustment challenges facing communities and industries in the process of restructuring.

QFI gets $800,000 govt. loan to start plant

Posted July 7, 2010
 
 The Massachusetts B2 biodiesel mandate set to go into effect this month has been indefinitely suspended, according to the state department of energy resources. Dwayne Breger, director of the renewable energy division for the department said that the Clean Energy Biofuels Act provided the commissioner with several outs, or possible reasons to suspend the mandate, "and price impact was one of them," Breger said. "The expiration of the federal tax credit would cause the full brunt of the extra cost to be borne by the Massachusetts consumer." 
 
 Breger said without the $1 per gallon federal blender credit on the books, the added cost of a B2 blend would be around 3 cents per gallon. 
 
 Ed Burke with Dennis K. Burke Inc., a Chelsea, Mass.-based oil distribution company, said the state really had no choice but to suspend the mandate. He said even if the federal tax credit were reinstated today, the state would need about a year to implement the biodiesel standard. When asked if this suspension of the Massachusetts mandate could set a dangerous precedent for other states with biodiesel requirements to follow, Burke said he doesn't see how it cannot spread. He said in the same breath the government is pushing for green jobs and energy security while ignoring measures necessary to fulfilling its goals. "It's unexplainable," Burke said. 
 
 Breger said, "We're establishing a voluntary program to address the issues, and to keep the momentum going," adding that the voluntary program will help address any remaining uncertainties the state still has regarding implementation. 
 
 Prior to the U.S. EPA's determination in the final RFS2 ruling that soy biodiesel achieves a 57 percent reduction in greenhouse gas emissions compared to petroleum diesel, Massachusetts took very seriously EPA's proposal that soy biodiesel was only marginally better than petroleum at reducing GHGs. The state mandate therefore was tailored to allow only waste-based biodiesel to satisfy the requirement, despite the fact that in its final rule EPA determined that soy biodiesel achieves advanced biofuel status by virtue of its significant GHG reductions. While some thought the state would bend on allowable biodiesels to satisfy the mandate after EPA's final rule came out this winter, it never did. 

 
 Breger said there were also some unexplained complexities of implementation. "We're a small state, and half of our fuel comes from out-of-state terminals," he said. "We have to be careful not to create a disadvantage to Massachusetts terminals. Also we have no legal authority out of state to place compliance obligations on terminals." 
 
 The volunteer program is expected to engage all parties to help find solutions for shortcomings in implementing the state biodiesel mandate. The department of energy resources stated, "Lessons learned from this voluntary program will provide valuable learning for expanding the program in the future. Without imposing burden on any entity or business, [the department] wants to assist those entities that wish to pursue 'greener' choices in their fuel use." 
 
 The department intends to use the information provided to it voluntarily to assist development of a streamlined process to both qualify fuel and report on its in-state consumption. "In so doing, [the state] hopes when market conditions permit, it can implement the biofuel mandate with minimal administrative burden to those entities affected."

Massachusetts suspends biodiesel mandate

Posted July 7, 2010
 
 Evogene Ltd. announced July 7 that bio synthetic paraffinic kerosene (bio jet fuel) produced from the company's castor varieties meets the key international standards for alternative aviation fuels. The analysis was conducted by Evogene Inc., a fully owned U.S. subsidiary of Evogene Ltd., in collaboration with NASA, the U.S. National Aeronautics and Space Administration, the Air Force Research Laboratory, and Honeywell's UOP. 
 
 In April 2009, Evogene entered into a feasibility agreement with NASA, to evaluate the potential use of castor oil as a viable and sustainable feedstock for production of bio jet fuel. Under this agreement, biojet fuel produced from Evogene castor oil through UOP's technology is expected to undergo additional advanced testing by NASA and the U.S. Air Force Research Laboratory. 
 
 The results being announced today demonstrate that such biojet fuel meets the major ASTM D7566 fuel specifications requirements for alternative aviation fuels containing synthesized hydrocarbons. 
 
 The D7566 fuel specification is written for fuels produced using the Fischer-Tropsch process; however, specifications for alternative aviation fuels containing bio-SPK are expected to be approved for commercial airline use before the end of 2010 or early next year. 
 

 "A diverse range of feedstocks is critical to creating a sustainable biofuels infrastructure," said Jim Rekoske, general manager of Renewable Energy & Chemicals at Honeywell's UOP. "Castor oil has proven to be a viable second-generation source, and we believe it has the potential to be an important contributor to the production of aviation biofuels." 
 
 SOURCE: EVOGENE LTD.

Castor oil tested as bio jet fuel feedstock

Posted July 9, 2010
 
 OriginOil, an algae-to-oil developer, has discovered a process to extract hydrogen from algae. The new technology, called the Hydrogen Harvester, works by capturing hydrogen that is readily available in the algae growth matrix, as opposed to breaking the carbon-hydrogen bonds in the algae itself, according to Brian Goodall, OriginOil's chief technology officer. The new technology presents a critical development for a fully integrated algal biorefinery, said Goodall. "All routes from algae to 'drop-in' fuels such as renewable diesel and jet fuel require hydrogen and hydrogen treating. The Hydrogen Harvester technology would eliminate the need for hydrogen pipelines and dependence on existing refineries, which are typically far removed from ideal sites for algae growth," Goodall added. 
 
 The process also involves targeting the more weakly bound hydrogen, which Goodall said helps to avoid "the use of energy or stressing, genetic modification or other invasive activities." By minimizing energy inputs and stress levels, "we are tapping the algae system for hydrogen and allowing all other growth and harvesting processes to go on undisturbed," Goodall said. "External energy inputs are truly minimal, but it takes energy to move water/algae, for example. In terms of stress-other approaches have focused on depriving the algae of sulfur, and/or investigating genetically modified species. Our technology requires neither of these approaches, generating biomass, oil and hydrogen." 
 
 After filing for patent protection, Goodall said the technology should be applicable to any algae production system, but the company is not currently discussing the exact process of the system. Riggs Eckelberry, OriginOil CEO, noted the harvester's ability to achieve energy-balance. "By harvesting hydrogen from algae we are able to increase the energy output of virtually any algae production system. The result is a photosynthetic technology platform that yields energy in the form of oil, biomass and hydrogen," said Eckelberry.

Harvesting hydrogen from algae

Posted July 12, 2010
 
 Effective immediately, SeQuential-Pacific Biodiesel in association with Leathers Fuels, Star Oilco and Powell Distributing are reducing the retail price for B99 biodiesel to $2.99 per gallon through Aug. 15 for a customer appreciation event, and to raise awareness for local, sustainable biodiesel. With petroleum diesel rising to over $3.25 at retail pumps, this marks the first time biodiesel is lower than petroleum diesel since hurricanes Katrina and Rita in 2005. 
 

 "Our customers have been so committed to cleaner burning local fuel, we felt this is the best way we can give back and show our appreciation," said Gavin Carpenter, regional sales manager with SeQuential-Pacific Biodiesel. "The best part is not only can they fuel with a clean conscience knowing the bio is made 50 miles down I-5, they're saving money, and if diesel keeps rising, they could save a lot of money."
 
 SeQuential-Pacific operates Oregon's largest and most sustainable biodiesel facility, generating more than 5 million gallons a year. The primary feedstock for production is recycled cooking oil. Having already served its purpose in the food industry, recycled oil is one of the most sustainable feedstocks for biodiesel. Kettle Foods and Burgerville supply their used cooking oil to SeQuential along with thousands of other restaurants throughout the Northwest. 
 
 Biodiesel is non-toxic and biodegradable and helps combat global warming while improving air quality. The city of Portland's diesel fleet currently runs an average blend of 20 percent biodiesel in its vehicles, and all diesel sold in Oregon is a 2 percent blend as part of the state's renewable fuel standard. 
 
 The following locations will offer $2.99 Oregon-produced biodiesel through Aug. 15:
 
 Star Oilco: (503) 283-256. Locations: Linnton Shell, 11330 NW St. Helens Rd., Portland, Ore. 97231; Middlefield Rd., 232 NE Middlefield Rd., Portland, Ore. 97211; Cardlock, SW Hunziker Rd., 8185 SW Hunziker Rd., Tigard, Ore., 97223. 
 
 Powell Distributing: (503) 289-5558. Locations: JL Mini-Mart, 6021 NE Portland Hwy, Portland, Ore. 97218; Jay's Garage, 734 SE 7th Ave, Portland, Ore. 97214; Vancouver Shell, 4409 NE 78th St, Vancouver, Ore. 98685. 
 
 Leathers Enterprises: (503) 661-1244. Locations: Leathers Shell, 18145 SE Division, Gresham, Ore., 97236; Leathers Shell Aurora, 12334 Ehlen Road NE, Aurora, Ore. 97002. 
 
 SOURCE: SEQUENTIAL-PACIFIC BIODIESEL

July 2010

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Business Briefs

Business Briefs

Columns

The Dreaded 'What If' Question

Biodiesel in Stationary Use

Featured

Going Off-Road with Biodiesel

Fire Prevention and Hot Work Permits at Biodiesel Plants

July 2010