LAMBERTON, Oct 17 – Seventeen students from Red Rock Central High School toured Highwater Ethanol today to learn about their local ethanol facility’s business practices and economic footprint.

The students, who were 12^th graders from the school’s Ag Business class, were briefed on the various processes of ethanol production at Highwater Ethanol, which produces 59.5 million gallons of ethanol a year, as well as the plant’s financial procedures.

"The ethanol industry is a vital economic driver within Minnesota and tours like these highlight the ethanol production process and its role in expanding our energy independence while contributing to the rural economy and improving our environment,” said Brian Kletscher, CEO of Highwater Ethanol.

During the tour, the students visited the plant’s administrative office, water treatment process, incoming grain grading and handling, ethanol loadout, ethanol process facility, energy center, dried distiller grain production and storage.

The tour was organized by the Minnesota Bio-Fuels Association (MN Biofuels). In 2017, MN Biofuels brought a different group of students from Red Rock Central to Highwater Ethanol. 

“We are pleased that Red Rock Central High School is utilizing these tours as a part of their curriculum. It’s important for students to learn about clean, Minnesota-produced renewable energy and how it reduces harmful emissions, produces competitive career opportunities and supports their local economy,” said Tim Rudnicki, executive director of the Minnesota Bio-Fuels Association.

Highwater Ethanol began operations in Lamberton in August 2009 and currently has 42 fulltime employees.

Kletscher said ethanol plants employ a wide variety of professionals.  In the business operations side, he said professionals with skills in business administration, finance, accounting, human resources and agriculture economics are required.

Red Rock Central’s agriculture instructor, Hunter Klontz, accompanied her students during today’s tour.

“I believe that having students explore and receive more insight on agricultural businesses will help them see the importance of what this certain industry is striving for. Gaining knowledge about the industry that is all around them is crucial to understand and see in person,” she said.

Novozymes

Press Release

October 9, 2018

Novozymes today launched its next yeast technology, Innova Lift, for the starch-based ethanol industry. The product follows the launch earlier this year of an ambitious yeast platform, Innova, and the first product, Drive.

“We are continuing to deliver on our promise to quickly bring innovative yeast and enzymes to a market that is clearly looking for exactly that,” says Brian Brazeau, Novozymes’ Vice President for Biofuels Commercial. “Lift targets ethanol plants with long fermentation times – delivering greater tolerance to common stressors such as high temperature and organic acids.”

An ethanol plant’s fermentation is a crucial part of securing better yields. However, the fermentation process is also tricky; even small spikes in temperature or organic acid levels can cause disruptions. Having the opportunity to use a robust yeast can help producers meet these two key challenges.

Innova Lift expresses a glucoamylase that is two times more effective at converting difficult-to-reach starch. When paired with advanced enzyme solutions, Lift also has the potential to significantly increase ethanol yields, reduce fermentation risks and eliminate costly inputs, while improving performance reliability.

Until now, yeast strains have remained largely unchanged

Novozymes’ new yeast platform, Innova, has been founded on new S. cerevisiae yeast – utilizing proprietary methods to enhance its ability to withstand the rigors of today’s ethanol production processes and goals.

“The ethanol industry has clearly been longing for new and reliable innovation for a very long time, not just updates of old products,” Brazeau adds.

Numerous ethanol plants have begun using Novozymes’ yeast since the introduction of the Innova platform and are realizing the benefits in productivity.

“By leveraging the synergies of our enzymes, yeast, and technical services, Novozymes has reset performance expectations for yeast and fermentation by delivering the most advanced and useful solutions, based on customer needs,” says Brian Brazeau.

Why is yeast vital for ethanol production?

Yeast converts raw materials into ethanol. Corn goes into the plant and is broken down by enzymes to prepare it for fermentation. During fermentation, yeast is added. The yeast consumes the raw materials and releases ethanol and carbon dioxide. Ethanol producers spend a lot of time and energy ensuring that the right conditions exist for yeast to thrive. The stronger and more efficient the yeast, the better able it is to tolerate production stresses and generate ethanol – improving productivity and profitability.

Innova Lift: Key numbers

-Lift is targeted to plants with longer fermentation times, generally 57 hours or more – delivering greater tolerance to common causes of yeast stress, the opportunity for better yields, and eliminating costly yeast food, which is common amongst competitive cream yeast.

-Lift remains effective through fermentation temperature spikes up to 98°F (36.7°C) – significantly higher than the 94°F that most other yeasts can tolerate.

-Producers can eliminate downtime, cut cooling costs and maximize the plants’ efficiency, whilst achieving up to 2-4% better yields, compared to conventional dry yeasts.

Read the original press release: Next Yeast Product Lifts Yields, Robustness

JANESVILLE, Oct 11 – Students from Minnesota State University, Mankato toured Guardian Energy today to gain a better understanding of renewable energy production. 

The students, who were from the university’s Biological Engineering Analysis class, toured the various processes of ethanol production at Guardian Energy, which produces 150 million gallons of ethanol a year.

"We appreciate Minnesota State Mankato bringing their students to our facility to learn more about biofuels and the environmental benefits they provide as a source of fuel. Ethanol produced here in Janesville creates rural jobs opportunities, supports our local farm economy and promotes our collective energy independence," said Jeanne McCaherty, CEO of Guardian Energy.

The tour was organized by the Minnesota Bio-Fuels Association (MN Biofuels). Guardian Energy is a member of MN Biofuels.

“Tours like this are an occasion for students to learn about the pivotal role science and engineering plays in ethanol production and explore potential career prospects,” said Tim Rudnicki, executive director at MN Biofuels.

The students toured several different components of ethanol production including incoming grain grading, grain handling, liquefaction, fermentation, distillation, distiller grain drying, corn oil separation, product storage and product shipment.

The students were accompanied by the University’s Biotechnology Program director, Gregg Marg.

“Minnesota State Mankato uses the motto ‘Big ideas. Real-world thinking.’ This experience demonstrates how the students’ classroom knowledge translates into real-world impact. Before this visit, students thought a 1-liter bioreactor was large.  Now they understand what industrial scale and impact are all about,” Marg said.

Prior to the tour, he said his class had learned the basics about renewable fuel production and industrial scale bioprocesses and that they were interested in learning about the latest process improvements within the industry.

Marg added that following this tour, his class will explore food fermentations, brewing, pharmaceutical production, amino acid production, enzyme production and even the biological treatment of wastewater. 

Star Tribune

October 8, 2018

By Mike Hughlett and Jim Spencer

President Donald Trump has directed the Environmental Protection Agency to begin a rule-making process that would lead to year-round sales of fuel that is 15 percent ethanol.

The move has long been sought by Minnesota corn farmers who sell part of their crops to ethanol producers.

The president’s order is designed to help the country’s agricultural sector, as well as the economy as a whole, but was “not directly related to climate change,” a senior White House official told reporters on a call Monday.

E-15, as 15 percent ethanol is known, is currently available eight months of the year, while 10 percent ethanol is available all year. Summer is when the annual ban on E-15 sales kicks in under current regulations, which were conceived as anti-pollution measures but that the ethanol industry says are outdated and unnecessary.

E-15 usually costs 10 cents less per gallon than E-10.

Moving E-15 to a 12-month sales schedule should make it easier to sell and distribute the blend, which is better for the environment and will provide more of a market for corn, supporters say.

“It is a huge, huge deal,” said Brian Thalmann, president of the Minnesota Corn Growers Association and a corn and soybean farmer near Plato.

“This is right among our top priority issues,” said Tim Rudnicki, executive director of the Minnesota Biofuels Association.

Minnesota is the nation’s fourth-largest corn producer and also ranks fourth among states in U.S. ethanol production, annually churning out at least 1.2 billion gallons of the fuel. There are 19 operating ethanol plants in Minnesota, and the state is a top — if not the largest — provider of retail E-15 in the United States.

The Trump administration’s year-round E-15 sales rule is targeted for approval before the summer of 2019, the senior official said. Vehicles made after 2001 can use E-15.

The idea of year-round E-15 sales is anathema to the oil industry, which claims the EPA doesn’t have the authority to allow it and that E-15 is corrosive to automobile engines.

In addition to allowing full-time E-15 sales, the administration wants to change the ways refiners are able to buy and sell renewable identification numbers (RINs) that demonstrate that a refiner has complied with the federal renewable fuel standard (RFS). The RFS establishes how many gallons of ethanol individual refiners must produce each year.

Trump wants to stabilize the RINs market, where prices have varied from 3 cents to more than a dollar, the White House official said in the conference call.

RINs trade like currency and can help provide relief for refiners, usually smaller operations, who can’t afford — or don’t want to pay for — technology needed to make ethanol at their facilities. Anticipated changes will include limiting sales of RINs to refiners and importers, limiting the time RINs can be held and making owners of RINs disclose the size of their holdings if they exceed a certain amount.

Read the original article: Trump Orders Start of Process to Allow E-15 Fuel Sales Year-Round

Renewable Fuels Association

October 3, 2018

By Rachel Gantz

The Renewable Fuels Association (RFA) today elected Neil Koehler, co-founder and CEO of Pacific Ethanol, as chairman of the RFA board of directors. The election occurred at RFA’s annual membership meeting in Kansas City.

Koehler has more than 30 years of experience in ethanol production, sales, and marketing in the United States. Sacramento-based Pacific Ethanol operates nine biorefineries in Nebraska, Illinois, Idaho, California and Oregon with a combined operating capacity of 605 million gallons per year. Koehler was also the co-founder and general manager for Parallel Products, California’s first ethanol production company, which he sold in 1998. He has served on the RFA Board of Directors since 1992, and received RFA’s prestigious Industry Award in 2017. He succeeds Mick Henderson, general manager of Commonwealth Agri-Energy LLC, as RFA chairman.

“I am honored that my peers have elected me as the new RFA board chairman, and I am proud to be serving such an exceptional organization in this role,” said Koehler. “As board chairman, I look forward to providing leadership in our industry at this pivotal point of growing the demand for high octane, low carbon ethanol through higher blends in the United States, and new export markets. I also wish to congratulate Geoff Cooper and Bob Dinneen on their new roles at the RFA and look forward to continuing to work with both of them to fulfill the association’s mission and objectives.”

“Neil has been an effective advocate for renewable fuels for three decades and I am excited to work more closely with him as chairman of the board,” said RFA President and CEO Geoff Cooper. “His experience and vision will be a tremendous asset to the organization, as we foster new opportunities to drive demand for American-made renewable fuels. RFA also owes a huge debt of gratitude to Mick Henderson for his exemplary service and leadership as chairman over the past two years.”

RFA also elected Jeanne McCaherty of Guardian Energy LLC as the board’s Vice Chair, and Charles Wilson of Trenton Agri Products LLC as the board Treasurer.

An entire list of RFA’s membership can be seen here.

Read the original press release: RFA Elects Pacific Ethanol’s Neil Koehler as Chairman

Minneapolis, Oct 3 – Twenty-eight students from Sleepy Eye High School’s Natural Resources class toured Highwater Ethanol in Lamberton yesterday to get a better understanding of clean Minnesota-produced renewable energy.

During the tour, the students were briefed on the various processes of ethanol production at the plant as well as potential career opportunities within the ethanol industry.

“We were pleased to welcome Sleepy Eye High School today. The ethanol industry plays an important role in boosting the economy in Minnesota, reducing greenhouse gas emissions and making America more energy independent,” said Brian Kletscher, CEO of Highwater Ethanol.

The students, from grades 9 to 12, toured the plant’s administrative office, water treatment process, incoming grain grading and handling, ethanol loadout, ethanol process facility, energy center, dried distiller grain production and storage.

The tour was organized by the Minnesota Bio-Fuels Association, a non-profit trade organization that represents the ethanol industry in Minnesota. Highwater Ethanol is a member of the Minnesota Bio-Fuels Association.

“Tours like these highlight the necessary skills to pursue a career in the ethanol industry. Ethanol produced at Highwater Ethanol creates jobs, decreases harmful carbon emissions and lowers prices at the pump, “said Tim Rudnicki, executive director of the Minnesota Bio-Fuels Association.

Highwater Ethanol began operations in Lamberton in August 2009. It produced 59.5 million gallons of ethanol in 2017 and currently has 42 fulltime employees.

Mary Hoffmann, agriculture instructor at Sleep Eye High School, said that ethanol is covered in her class’ Alternative Energy and Renewable vs Non-renewable lesson plans.

“Hearing about the process of making ethanol and seeing it are two completely different things. Experiencing something first-hand is the best way to learn,” said Hoffmann.

Today’s tour was the second time she has brought her students to Highwater. She previously brought her students to tour the plant in November 2016.

“There are also many career opportunities to explore in the ethanol industry which are great to hear about from the employees themselves,” Hoffmann added.

Reuters

September 27, 2018

By Jarrett Renshaw

The White House is considering imposing restrictions on trading of biofuel credits, hoping to discourage speculation and reduce costs for oil refiners to comply with U.S. biofuels policy, according to three sources familiar with the discussions.

The sources, who asked not to be named because they are not authorized to comment on the discussions, said an announcement could be made in coming weeks. The move would be part of a widely anticipated deal to help U.S. corn farmers and biofuels producers by lifting a ban on summer sales of higher ethanol blends of gasoline.

U.S. President Donald Trump has repeatedly said he supports lifting that ban on so-called E15 gasoline to help expand the market for corn. This could also bolster vulnerable Midwest Republican members of the U.S. Congress in competitive races heading into the November elections, and appease corn farmers stung by Trump’s escalating trade wars.

But lifting the ban could draw legal challenges from the oil industry, which worries such a move would eat into their market share.

The White House and the Environmental Protection Agency, which administers U.S. biofuels regulations, did not immediately respond to requests for comment.

The U.S. Renewable Fuel Standard requires refiners to blend increasing amounts of biofuels like ethanol into the fuel pool each year, or buy credits from competitors who do. Refining companies that must buy the credits have complained about volatile prices in recent years.

The White House is considering trade restrictions such as capping the number of credits a dealer can hold at 120 percent of their company’s annual compliance obligation, the sources said. It is also considering restricting certain parties from holding the credits for more than 30 days. Such moves could prevent credit traders from hoarding credits to pump up prices artificially.

Some refiners that have complained of high credit prices, such as like PBF Energy (PBF.N) and Valero Energy Corp. (VLO.N), may welcome such restrictions. But other fuel companies that have managed to land trading profits in the credit market are likely to oppose the plan.

Biofuel credit prices were near five-year highs last year, but have dropped sharply to their lowest since 2013, due mainly to the EPA’s expanded use of waivers freeing small refiners from their obligations.

Trump is expected to direct the EPA to seek a rule lifting the E15 ban during a trip to Iowa in October, sources told Reuters. The ban was put in place as an anti-smog measure, though studies have since shown its environmental benefits are limited. The rule would have to be fast-tracked to have it finalized before the next summer driving season.

This is not the first time Trump has waded into the debate over biofuels policy which pits two groups that have supported him against each other: farmers and refiners. He tried to broker a deal between the rival corn and oil industries earlier this year, but those efforts stumbled as the corn lobby dug in its heels against certain changes.

Read the original article: White House Mulls Limits On Biofuel Trading As Part of E15 Deal: Sources