In the News
June 26, 2018
Press Release
Today, U.S. Senator Tina Smith (D-Minn.) said she is skeptical of the Environmental Protection Agency’s (EPA) announcement of the amount of corn-based ethanol and other renewable fuels the agency says will be blended into the nation’s gasoline supply in 2019.
Sen. Smith, who has pressed for expanded use of renewables, said the EPA-announced target of 19.88 billion gallons—required under the federal Renewable Fuels Standard (RFS)—does not specify how refiners will make up for the gallons lost from controversial EPA-granted waivers. Earlier this year, the agency granted a “financial hardship” waiver to an oil refinery owned by billionaire Carl Icahn, exempting the facility from RFS rules, and reportedly saving it tens of millions of dollars in related RFS costs. Such waivers will cut demand for ethanol by an estimated 1.6 billion gallons, according to the Minnesota Biofuels Association.
“A strong Renewable Fuels Standard is critically important to Minnesota, where ethanol produced from corn creates an estimated $6.7 billion in economic output and supports almost 18,000 jobs across the state,” said Sen. Smith. “But if the EPA is going continue to allow refineries to get around RFS requirements by granting them waivers, the amount of ethanol and other renewables used in the nation’s fuel supply will fall far short of the target levels announced today. The EPA needs to step up and ensure that our nation meets the 19.88 billion target, and I plan to hold them accountable for doing so.”
The 2019 target of 19.88 billion gallons of renewable fuels blended into the nation’s fuel supply is scheduled to be finalized by November 30. It includes 15 billion gallons of corn-based ethanol. In Minnesota, the state’s 19 corn ethanol plants can produce 1.2 billion gallons each year.
Read the original press release: Tina Smith Remains Skeptical of EPA’s Proposed Targets for Ethanol, Other Renewable Fuels to be Blended into Nation’s Fuel Supply in 2019
June 26, 2018
By Jarrett Renshaw, Chris Prentice
The Trump administration’s Environmental Protection Agency has consistently ignored recommendations from the Department of Energy to reject or limit waivers to oil refiners seeking exemptions from nation’s biofuels law, according to five sources familiar with the matter.
The U.S. Renewable Fuel Standard requires the firms to cover costs of blending corn-based ethanol into gasoline. But the EPA, after consulting with the energy department, can exempt small refineries in cases where compliance presents a “disproportionate economic hardship.”
The waivers can save refiners tens or even hundreds of millions of dollars a year.
Under EPA chief Scott Pruitt, an appointee of President Donald Trump, the agency has issued more than two dozen such exemptions in recent months - about triple the usual number granted under past administrations.
During that time, EPA has consistently granted full waivers in cases where the energy department recommended only partial exemptions, and, at least once, granted a full approval when the energy department advised an outright rejection, according to two sources familiar with the decisions.
That approach marks a sharp break from Obama administration’s EPA, which had often either adopted energy department recommendations or, when it didn’t, ruled against exempting oil refiners, the sources said.
The shift between the Democratic and Republican administrations shows how political ideologies and constituencies can steer bureaucratic interpretation of a law that never changed - with major impacts on industry.
The waivers save refineries money by freeing them from their obligation to blend ethanol into their gasoline or to purchase compliance credits from those who do. The broad use of waivers lately has angered the powerful corn lobby, which argues they threaten corn demand.
The Renewable Fuels Association, which represents U.S. ethanol makers, last month estimated that the waivers have reduced the amount of ethanol refiners are required to blend by 1.6 billion gallons. The law currently requires refiners to blend 15 billion gallons of the biofuel per year.
The surge in waivers has sent the price of biofuels compliance credits to five-year lows, saving refiners such as Valero Energy Corp and PBF Energy hundreds of millions of dollars.
Until now, it was not known if the EPA gave the waivers on the basis of the energy department recommendations or despite them. The EPA has denied public records requests seeking information on the waivers, which it considers proprietary company information.
Biofuel groups have asked the U.S. Court of Appeals for the 10th Circuit in Washington to review legality of the waivers - arguing the EPA is “methodically destroying the demand for renewable fuels” - and to force the EPA to disclose them.
EPA spokeswoman Molly Block declined to comment on the pending litigation or on whether the agency has approved waivers that the energy department recommended rejecting.
“From the beginning of this administration, we have worked closely with our partners at DOE on this issue,” she said in a written statement.
DOE spokeswoman Shaylyn Hynes did not respond to requests for comment.
During a recent Midwest tour, Pruitt told Nebraska farmers that the EPA works “in alliance with the Department of Energy” to grant the waivers, saying there was just one example of disagreement. EPA spokespeople have repeatedly said the agency’s criteria for granting waivers have not changed.
The sources with knowledge of the two agencies’ interactions disputed the assertion that the EPA and DOE are acting as partners in these decisions. They declined to provide a specific number of cases in which the EPA has gone against energy department recommendations or to name most of the companies involved, but did provide two examples of what they said has become regular practice.
In one case, the EPA provided a full waiver to a refiner after the energy department had recommended rejecting the exemption, two sources told Reuters.
In another, the EPA granted full waivers to refineries owned by Andeavor - a large U.S. refining company which reported $1.4 billion in net income last year - after the energy department had recommended a 50-percent exemption, according to two other sources familiar with the company’s approval. The waivers for Andeavor were first reported by Reuters in April.
The company said in a May earnings statement that the waivers, provided to its smallest refineries, saved it about $100 million in compliance costs.
Scott LaBelle, an Andeavor spokesman, declined to comment beyond the company’s previous statements.
Obama’s administration was accused of being too stingy with the waivers. Last year, an appellate judge said Obama’s EPA had used too narrow a definition of “financial hardship” when it denied Sinclair Oil waivers for its Wyoming refineries for 2014 and 2015. But appellate judges in two other similar cases upheld the EPA’s denials and its methods.
Neither the rulings nor the change in presidential administrations changed the way energy department analysts scored applications, according to the sources.
Energy department analysts score applications on a two-part test that considers whether compliance would lead to disproportionate impact or threaten a refinery’s viability. Qualifying under either leads to a partial exemption; qualifying under both leads to a full exemption.
The EPA’s relaxed standard for the waivers is the latest illustration of the agency’s leadership seeking to deliver relief to refiners from the law, which was signed under Republican President George W. Bush to help farmers, reduce petroleum imports and improve air quality.
Pruitt has repeatedly recommended overhauling the law to reduce strain on refiners and advocated for changes during months of failed negotiations between oil and corn representatives mediated by President Donald Trump.
Republican Senator Joni Ernst from Iowa, the top ethanol-producing state, said Pruitt’s handling of the waivers appeared to be based on a political goal of helping the oil industry - a charge the EPA has denied.
“This is definitely a workaround that they have figured out. That’s why we are demanding transparency,” Ernst said in an interview, referring to requests her and other lawmakers for the EPA to disclose information on the waivers.
The current administration has attempted to lower compliance costs for some refiners since billionaire investor and refinery-owner Carl Icahn first raised concerns to Trump during his campaign, and then again after Trump named Icahn as a “special advisor” on industry regulation after his election.
Icahn resigned from his advisory post in August under pressure from lawmakers who said his dual role as investor and advisor posed ethical concerns. Icahn’s CVR Energy was among the refining companies that received a waiver from EPA, Reuters reported earlier this year.
Read the original article: Exclusive: Trump's EPA Ignored Energy Department Calls to Limit Biofuel Waivers
June 24, 2018
In letters to U.S. Department of Agriculture Secretary Sonny Perdue, more than 100 business and farm leaders across seven Midwest states called on regulators to lift restrictions on the sale of ethanol, a crop-based biofuel that drives Nebraska agricultural revenues and rural manufacturing. Signers from Nebraska included Alan Tiemann of Seward, Dinkel’s of Norfolk, Midwest Labs of Omaha and 20 others.
“New markets for American-made biofuels promise to rejuvenate growth, but long-standing policies designed to promote cleaner, more cost-effective options at the fuel pump have been under siege by special interests in Washington,” wrote 73 business groups and Midwest employers. “We ask that you stand firm against these attacks and use every tool available to prevent U.S. Environmental Protection Agency Administrator Scott Pruitt from adopting regulatory schemes that would further undercut demand for biofuels and their energy-rich farm feedstocks.”
The business leaders noted an urgent need to reverse a five-year dive in farm income that threatens to stall the rural economy “well beyond farm communities.” They also called on Perdue to act swiftly on the President’s pledge to lift outdated restrictions against the summertime sales of E15, a motor fuel containing 15 percent ethanol. The message was mirrored by farm leaders in their own letter to Secretary Perdue.
“For far too long, the EPA has failed to update regulations on Reid Vapor Pressure, which hold E15 to tougher standards than traditional gasoline during the summer,” wrote 37 Midwest agricultural groups and farmers, who harvest the renewable energy for nearly every gallon of U.S. ethanol. “There’s no reason for the restriction, which prohibits many retailers from offering cleaner, more-affordable options to their customers. Lifting these needless restrictions would provide a vital outlet for America’s 3.9 billion bushels of surplus grain, boost rural growth, and promote American energy dominance.”
The letters were offered in a show of support for an ongoing campaign organized by Growth Energy, America’s leading trade association of biofuel producers and supporters. Under Growth Energy’s leadership, rural advocates from across the country have urged policymakers in Washington to unleash America’s vast renewable resources to lower fuel prices, strengthen U.S. energy security, protect the climate, and put an end to a farm crisis that threatens to send an entire generation of farmers out of business. A similar call to action was issued earlier this month by 55 public officials from Michigan, Minnesota, Missouri, Nebraska, Ohio, South Dakota and Wisconsin.
“Starting June 1, outdated federal regulations cut off millions of drivers from a lower-cost fuel that supports farmers and rural manufacturing,” Growth Energy CEO, Emily Skor, said. “President Trump promised Midwest lawmakers that he would fast-track a fix, and Secretary Perdue is working with the EPA on a solution, but time is running out. Farmers cannot afford to be locked out of the market for another driving season, especially when we could be holding down quickly-rising gas prices.”
Intended to reduce evaporative emissions, the current RVP guidelines were drafted before E15 hit the market, resulting in outdated restrictions that hold E15 to higher standards than less eco-friendly options offered all year long. Those limits now threaten growth opportunities for farm crops amid the sharpest agricultural downturn since the 1980s.
“Ethanol is really about enhancing the value of corn, as I sell #2 corn as a commodity and then buy distillers grain as a feed for my cow herd, and then you add in the cleaner air that ethanol provides, it is such a win-win for Nebraskans”, stated LaVon Heidemann of Elk Creek another signer on the letter.
Read the original article: Business and Farm Leaders Seek Relief from Limits on Biofuels
June 21, 2018
Gevo, Inc. announced today that it has entered into a long-term agreement to supply its renewable alcohol-to-jet fuel (ATJ) to Avfuel Corporation, effective July 1, 2018 (the “Supply Agreement”). Avfuel is a leading global supplier of aviation fuel and services to all industry consumer groups, servicing more than 3,000 locations worldwide. The Supply Agreement with Avfuel is Gevo’s first long-term commercial supply agreement for its ATJ.
“We are pleased to have a customer and partner like Avfuel. Avfuel has tremendous reach with more than 650 Avfuel-branded locations and 3,000-plus fueling locations worldwide to a vast scope of customers. We appreciate its vision and leadership in working with us to bring a better and more sustainable fuel to the market place. Not only can we reduce greenhouse gas emissions, but we also can produce a higher quality product than petroleum-based jet fuel from a technical standpoint. The whole supply chain should benefit, as well as the end customer. This contract with Avfuel is an excellent first step and will serve as a catalyst for Gevo to build up the aggregate demand so we can proceed with the development of a larger scale ATJ facility,” said Patrick Gruber, Gevo’s chief executive officer.
Craig Sincock, owner, president and CEO of Avfuel said, “As a leader in the global supply of aviation fuel and services, we have a social responsibility to make sustainable alternative jet fuel a reality in the marketplace. Our agreement with Gevo is a notable component in our overall strategy to support our industry’s commitment to reduce carbon emissions and enhance sustainability to mitigate its effect on climate change.”
Sincock remarked that the agreement with Gevo will help the company meet the demand of its customers for a low-carbon, alternative jet fuel, filling a gap in the industry’s supply chain.
The Supply Agreement contemplates two phases. During the first phase, Gevo will supply Avfuel from its smaller-scale hydrocarbon processing facility it operates in Silsbee, Texas, in partnership with South Hampton Resources, Inc. (the “Silsbee Facility”). Currently, the Silsbee Facility has the capacity to produce approximately 70,000 gallons of renewable hydrocarbon products per year (50% of which is ATJ and 50% of which is isooctane).
During the first phase, Gevo expects to construct a larger-scale hydrocarbon facility at its existing ethanol and isobutanol production facility located in Luverne, Minnesota, (the “Luverne Facility”) to produce larger quantities of ATJ (the “Luverne Hydrocarbon Facility”), subject to Gevo's receipt of sufficient financing. Upon completion of the Luverne Hydrocarbon Facility, the second phase of the Supply Agreement would commence, which would have a term of five years, subject to extension upon the mutual agreement of the parties. During the second phase, Gevo would supply Avfuel with larger volumes of ATJ, ramping up to 1,000,000 gallons of unblended ATJ per year, which, when blended with conventional jet fuel, would produce many millions of gallons of finished ASTM D1655 jet-fuel product for distribution per year.
With further regard to the environment, for every one million gallons of ATJ produced, approximately 20 million pounds of animal feed and protein would also be produced and sold into the food chain. To produce ATJ, Gevo fractionates grain to produce protein and animal feed while using the residual carbohydrate portion of the grain for fermentation to produce the intermediate chemical: isobutanol. The isobutanol is then chemically transformed using a hydrocarbon processing facility into ATJ meeting ASTM D7566 (standard specification for aviation turbine fuel containing synthesized hydrocarbons). The ATJ made by this process has very low sulfur, low particulates, and higher energy density than petro-based jet fuel.
About Gevo
Gevo is a leading renewable technology, chemical products, and next generation biofuels company. Gevo has developed proprietary technology that uses a combination of synthetic biology, metabolic engineering, chemistry and chemical engineering to focus primarily on the production of isobutanol, as well as related products from renewable feedstocks. Gevo can produce isobutanol, ethanol and high-value animal feed at its production facility in Luverne, MN. Gevo has also developed technology to produce hydrocarbon products from renewable alcohols. Gevo currently operates a biorefinery in Silsbee, TX, in collaboration with South Hampton Resources Inc., to produce renewable jet fuel, octane, and ingredients for plastics like polyester. Gevo is committed to a sustainable bio-based economy that meets society’s needs for plentiful food and clean air and water. Learn more at our website: www.gevo.com.
About Avfuel Corporation
Avfuel provides fuel and services to the global aviation industry and is the leading independent supplier in the United States. Established as a supply and logistics company 45 years ago, Avfuel is core competent in every aspect that surrounds the delivery of fuel—from refinery to wingtip. Avfuel combines global access with personalized service throughout a fueling network of more than 3,000 locations worldwide and 650+ Avfuel-branded FBOs. Our 100% dedication to aviation demonstrates our passion and commitment to a global community that prospers on the movement of goods and services around the world.
Read the original article: Gevo and Avfuel Enter into Renewable Jet Fuel Supply Agreement
June 20, 2018
By ADM
Archer Daniels Midland Co. and DuPont Industrial Biosciences today announced a collaboration to develop, produce and market cellulase enzymes for operators of grain-based ethanol plants.
Cellulase enzymes assist in hydrolyzing the corn kernel fiber, which consists mostly of cellulose and hemicellulose carbohydrates. Once the fiber is broken down, more sugars can be liberated and then fermented into ethanol, helping grain-based fuel ethanol producers get more out of existing feedstocks. As corn kernel fiber is part of a lower-value co-product stream, the potential to develop more valuable “Gen 1.5” ethanol is attractive. Ethanol from corn kernel fiber may qualify for D3 RINS under the Renewable Fuel Standard, which encourages producers to use technology in order to utilize non-starch components of grains and other waste products in the production of biofuels.
“The industry is looking increasingly at enzyme-based tools to boost yields and produce additional ethanol without having to make significant capital investments, and we look forward to working with DuPont to help deliver solutions in this space,” said Collin Benson, ADM’s vice president of bioactives.
“We’re thrilled to add yet another significant pillar in our partnership with ADM. We are already working together in high performance renewable bio-materials; now this agreement brings together substantial resources and capabilities in the pursuit of new innovations for grain-based biofuels,” said Troy Wilson, DuPont Industrial Biosciences’ global industry leader of grain processing.
Initial product prototypes have proven successful in both laboratory and ethanol plant scale testing, and more evaluations are planned.
Read the original article: ADM, DuPont to Develop, Produce and Market Cellulase Enzymes
June 20, 2018
By Jarrett Renshaw, Chris Prentice
The U.S. Environmental Protection Agency will propose reallocating biofuel blending obligations waived under its small refinery exemption program to other refiners, in an announcement that could come as early as Friday, according to two sources familiar with the agency’s plans.
The move is a nod to biofuel groups frustrated with the agency’s broad expansion of the waiver program under the Trump administration, but will antagonize refining companies who say it will unjustly increase their regulatory costs.
U.S. renewable fuel credits tied to ethanol jumped by a nickel on Wednesday on the news, hitting 28 cents apiece, according to two traders.
The EPA is expected to make the announcement as part of the release on Friday of the agency’s proposed annual biofuel blending mandates under the U.S. Renewable Fuel Standard (RFS), one source told Reuters.
The RFS requires refiners to blend biofuels like ethanol into the fuel pool or buy compliance credits from those who do. Refineries with capacity of less than 75,000 barrels per day can seek waivers from the program if they can show that complying would cause them significant financial damage.
The EPA under administrator Scott Pruitt has roughly tripled the number of waivers issued compared with the previous administration, drawing criticism that he is gutting the program. Biofuel groups say the waivers have cut the ethanol mandate from 15 billion gallons to 13.5 billion gallons.
Under the proposed reallocation, refiners that do not receive exemptions would be forced to make up the volumes waived to others. The sources were not certain how the EPA planned on handling those reallocations, which the refining industry has said it would strongly oppose.
“Our view is reallocating volumes would obviously conflict with public and private statements on the issue,” said Frank Macchiarola, group director of downstream and industry operations at the American Petroleum Institute.
Macchiarola said the move would be a breach of trust and add to the burden of the program on all the refiners that do not qualify for the exemptions.
EPA spokesman Jahan Wilcox did not respond to a phone call and email seeking comment.
Last week, the EPA drew criticism when it said it could not reallocate volumes retroactively without an act of Congress, which at the time dashed hopes of the biofuel industry.
Read the original article: EPA to Propose Reallocating Waived Biofuels Volumes to Other Refiners: Sources
June 13, 2018
By Erin Voegele
On June 13, the Senate ag committee approved its version of the 2018 Farm Bill with bipartisan support. The legislation includes an amendment offered by Sen. Amy Klobuchar, D-Minn., that restores mandatory funding to Farm Bill Energy Title programs. The legislation, officially titled the Agriculture Improvement Act of 2018, will now be considered by the full Senate.
Klobuchar offered the amendment during a June 13 committee meeting held on Farm Bill legislation. The amendment aims to restore mandatory funding for Energy Title programs to 2014 levels.
“In the 2014 Farm Bill, I successfully pushed for a strong Energy Title with funding necessary to continue to support homegrown renewable fuels…which support thousands of jobs and millions of dollars in economic growth,” Klobuchar said.
Committee Chairman Pat Roberts, R-Kan., noted that some of the Energy Title programs impacted by Klobuchar’s amendment include the Biomass Research and Development Initiative; the Biobased Markets Program; the Biorefinery, Renewable Chemical and Product Manufacturing Assistance Program; the Bioenergy Program for Advanced Biofuels; and the Biomass Crop Assistance Program.
Ranking Member Debbie Stabenow, D-Mich., spoke out in support of the amendment and Klobuchar’s leadership, calling the legislation a jobs amendment. “It’s about the rural bio economy,” she said. “It’s about jobs and rural America. These program have leveraged more than $5 billion in private investments since 2009.”
The Agriculture Energy Coalition has spoken out to applaud Klobuchar for offering the amendment, noting it was cosponsored by a bipartisan group of committee members, including Sens. Tina Smith, D-Minn.; Chuck Grassley, R-Iowa; Joni Ernst, R-Iowa; Deb Fischer, R-Neb.; Michael Bennet, D-Colo.; Heidi Heitkamp, D-N.D.; and Bob Casey, R-Pa.
“The Coalition thanks all of the Senators for their strong, bipartisan leadership on this amendment,” said Lloyd Ritter, director of the AgEC. “The farm bill energy title programs support more than 1.5 million U.S. workers who manufacture biobased products. The programs have helped rural business, farms and ranches secure more than $5 billion in private investment to adopt new renewable energy technologies and generate economic opportunities.
“We look forward to working with the Senate and House to ensure that the final farm bill includes an Energy Title, with stable mandatory funding and necessary updates for the vital programs.”
Also during the Farm Bill meeting, committee members discussed the Renewable Fuel Standard and the U.S. EPA’s misuse of small refinery hardship waivers.
Klobuchar stressed the RFS is critically important to Minnesota, and cited recent reports that indicate the EPA has granted dozens of small refinery waivers to large refining companies. “These actions hurt not only biofuel producers, but farmers across the U.S. at a time when farm income is at its lowest since 2006,” she said. “The secretary of agriculture has deemed these waivers as demand destruction for biofuels.”
According to Klobuchar, the EPA has historically granted between six and eight waivers per year for extraordinary reasons. “But, recent reports have noted that the EPA has already issued 25 disproportionate hardship waivers this year.”
Grassley cited news reports that EPA Administrator Scott Pruitt said in Kansas yesterday that he has the authority to reallocate gallons offset by the waivers. He stressed that President Trump has repeatedly promised to meet the 15 billion gallon statutory renewable volume obligation (RVO) for conventional biofuels. However, the EPA’s misuse of waivers has effectively cut the RVO to 13.8 billion gallons. Grassley also spoke about the agency’s proposed 2019 RVOs, which are expected to be released soon. He said we don’t know what the EPA will propose for 2019, but stressed the EPA better keeps Trump’s promises with regard to the RFS.
Read the original article: Senate Ag Committee Restores 2018 Farm Bill Energy Title Funding
June 15, 2018
By Erin Voegele
The U.S. Energy Information Administration has released the June edition of its Short-Term Energy Outlook, maintaining its May prediction that ethanol production will average 1.04 million barrels per day in 2018 and 2019, up from an average of 1.03 million barrels per day in 2017.
On a quarterly basis, the EIA predicts U.S. ethanol production will average 1.04 million barrels per day during the second quarter of this year, falling to 1.03 million barrels per day during the third and fourth quarters. In 2019, the EIA currently predicts ethanol production will be maintained at 1.03 million barrels per day during the first quarter, before increasing to 1.04 million barrels per day in the second and third quarters, and increasing again to 1.05 million barrels per day during the final quarter of the year.
Ethanol consumption is expected to reach 950,000 barrels per day this year, up from 940,000 barrels per day in 2017. Next year, ethanol consumption is expected to increase, reaching an average of 960,000 barrels per day.
The EIA’s most recent weekly ethanol production data shows production averaged 1.053 million barrels per day the week ending June 8, up from 1.041 million barrels per day the previous week.
The EIA’s most recent monthly data shows the U.S. imported 141,000 barrels of ethanol in March. Ethanol exports reached 5.122 million barrels in March, with Brazil, Canada and China listed as the top three destinations.
Read the original article: EIA Maintains It's 2018, 2019 Ethanol Production Forecasts
More...
June 15, 2018
By Bob Dineen
It all started last weekend when word of his visit started to leak out and the ethanol and agriculture community began wondering aloud if the whole thing was anything more than a hollow good will tour to deflect attention from his anti-ethanol policy.
Day 1 of his Redemption Tour had Pruitt telling ethanol producers his role was to provide stability to the market only to be told the company he was visiting would be shutting down a brand new, state-of-the-art renewable diesel plant because of market volatility created by Pruitt’s indiscriminate use of small refiner waivers. The same meeting included farmers telling Pruitt they were “mad as hell” at him.
Trying to deflect criticism, Pruitt told ethanol producers EPA had the authority to expand E15 sales year-around and that EPA could reallocate RINs lost to waivers. But the next day, he said EPA lawyers weren’t so sure about reallocating RINs and RVP could only be done if part of a package in which refiners got something too. Really? 1.6 billion gallons in lost biofuel market share is not enough for them?
So much for market stability.
Kansas Corn Growers Association President Ken McCauley summed up the feelings of those who met with Pruitt when he said, “Our concern was that Administrator Pruitt thought he could come to Kansas, take a few photos with smiling farmers and tell the President that corn farmers are okay with his actions. That would be a gross misinterpretation of what happened here today.”
With that, day 1 was in the books.
Day 2 of Pruitt’s redemption tour started with farmers hosting a rally to protest Pruitt’s moves undercutting the RFS while the conservative Iowa-based America’s Future Fund started running an ad titled, “You’re Fired” and admonishing Pruitt for acting more like the Sultan of Brunei than the head of a federal agency. In a statement Pruitt said he thought it was “important to hear directly from the community that EPA regulates, and today we heard from farmers and utility workers about the impact of the Agency’s work.” We’re sure protest rallies and negative ad campaigns are not exactly what Pruitt had in mind.
Day 3 started with a bang as DC reporters got wise to the PR-fail engulfing Pruitt and one publication asked if ethanol would finally tip the balance and put Pruitt out on his ear. It sure looked that way after Iowa’s Republican governor said, “Pruitt needs to follow through with what the President promised to Iowans, and if he can’t, then we need to find someone who will.”
Forecasts of Mr. Pruitt’s future were stark.
The GOP Chairman in Anderson County, KS summed it up thusly: “I think that Mr. Pruitt probably is a dead man walking,” said Dane Hicks. “I can’t imagine he rebounds from this in any way to salvage his position. I would expect his resignation soon.”
Neil Koehler, CEO of Pacific Ethanol, which operates nine ethanol plants was equally direct when he said, “We have a rogue EPA secretary who should probably find another job because he’s making the President look like a liar.”
Reviews of his visit were dim and seemed to get worse and worse and worse and worse still.
The headlines said he is “hurting industries” and the news featured local politicians rallying the crowd and asking, “Administrator Pruitt, Do you hear us?” Others pointed out that Pruitt was breaking his promise to uphold the law and destroying demand for ethanol.
For his part, well, Pruitt seemed to oblivious to fervor when he said that “there were a few billboards, but they didn’t say I hope you’re having fun.”
No, Mr. Pruitt, 1.6 billion gallons of lost demand and your failure to promulgate a rule making allowing E15 year-round is NOT fun.
Come again soon. Or not.
Read the original article: Scott Pruitt’s Terrible, Horrible, No Good, Very Bad Ethanol Tour
Enogen Corn from Syngenta Has Agreements with 30+ Plants with Combined Capacity of 3 Billion Gallons
June 12, 2018
Press Release
Syngenta today announced that, it has agreements in place with more than 30 ethanol plants with a combined production capacity of approximately 3 billion gallons. As new plants come on board, Syngenta expects ethanol produced with Enogen® corn enzyme technology to be approximately 2.5 billion gallons during 2018 alone.
Enogen corn is an in-seed innovation available exclusively from Syngenta and features the first biotech corn output trait designed specifically to enhance ethanol production. Enogen corn is rapidly gaining widespread acceptance because of the value it delivers to ethanol producers and the opportunity it provides corn growers to be enzyme suppliers for their local ethanol plants.
“Enogen corn is adding value for ethanol plants, corn growers and rural communities,” said Jeff Oestmann, head, Bio-fuels Operations – Enogen at Syngenta. “Across a growing number of ethanol plants, Enogen corn is helping to fuel enzyme innovation.”
The robust alpha amylase enzyme in Enogen grain significantly reduces the viscosity of corn mash and eliminates the need to add a liquid form of the enzyme. This breakthrough reduction can lead to unprecedented levels of solids loading, which directly contributes to increased throughput and yield potential, as well as critical cost savings from reduced natural gas, electricity and water usage.1 Enogen corn also enables ethanol plants to gain corn market knowledge from mid-year corn estimates.
Farmers who grow Enogen corn are eligible to earn an additional premium per Enogen bushel. During 2018, Enogen corn is expected to generate approximately $28.5 million of additional revenue for local growers contracting with plants using Enogen grain through per-bushel premiums. Numerous trials have shown that Enogen hybrids perform equal to or better than other high-performing corn hybrids.2
“Syngenta is committed to the success of the U.S. ethanol industry and to helping ethanol plants adopt the best enzyme strategy,” Oestmann added. “We are proud to have made a significant investment to bring this game-changing technology to market. Enogen corn is helping to make ethanol more sustainable and is helping ethanol producers to differentiate their offerings while supporting their local communities by keeping enzyme dollars local.”
To inquire about incorporating Enogen into a dry grind ethanol plant, contact Jeff Oestmann at This email address is being protected from spambots. You need JavaScript enabled to view it.. For more information about Enogen corn hybrids, contact a Golden Harvest® Seed Advisor or NK® retailer, or visit www.Enogen.com.
1Calculations based on Enogen trial and commercial results at Midwest ethanol plants.
2Syngenta production data, 2012-2017
Read the original release: Enogen Corn from Syngenta Has Agreements with 30+ Plants with Combined Capacity of 3 Billion Gallons
June 16, 2018
By Miranda Green
Environmental Protection Agency (EPA) Administrator Scott Pruitt is facing harsh criticism from two Republican senators who say he is failing to follow through on President Trump’s pro-ethanol agenda.
The two senators, Joni Ernst and Chuck Grassley from corn-heavy Iowa, are specifically displeased with Pruitt for granting a number of exemptions to the Renewable Fuel Standard (RFS) to refineries that allow them to use less ethanol in their fuel mixes.
The senators say this is a disappointment given Trump’s promises in Iowa and are quick to point out the string of controversies following Pruitt in voicing their displeasure.
“He’s been such a bad actor in so many areas. He’s promised to hold up the letter of the law when it came to the RFS. He has not done that,” Ernst said “And then we see other examples related to taxpayer dollars, his personal staff. I don’t think it’s appropriate.”
Grassley had equally harsh things to say about Pruitt, calling the various reports on his scandals “pretty condemning.”
“From the standpoint of what Scott Pruitt has done on ethanol, I would say he's not serving the president right,” Grassley said. “And if the president wants to keep the respect that farmers and ethanol ... he better do one of two things: either get rid of Scott Pruitt or get Scott Pruitt to deliver on the president's promises.”
He also took a shot at Pruitt over a story that the EPA chief had sought to use his power to get his wife a Chick-fil-A franchise, saying: “I didn't want to say about the Chick-fil-A thing, but I believe that's pretty condemning.”
Pruitt has survived as EPA administrator despite a steady drip of controversies in part because Trump and conservatives see him as a strong foot soldier in drawing down Obama-era environmental policies.
This latest criticism from Republican senators on a policy issue is therefore notable.
During the 2016 Iowa primary, Trump expressed support for bolstering the ethanol industry, embracing the RFS.
And in April the president signaled support for the ethanol industry, saying he would change the biofuels policy that limits higher blends of 15 percent ethanol in gas during summer months. Speaking to reporters at the White House, Trump said, “We’re going to raise it up to 15 percent and raise it to a 12-month period.”
But since then, no firm policy decisions have come to light and players close to the issue are growing testy over the final outcome.
In the Senate, there are divisions over the RFS and Ernst and Grassley have been embroiled in at times heated conversations with Sens. Ted Cruz (R-Texas) and Pat Toomey (R-Pa.).
The two Iowa senators want to increase the percentage of ethanol blended into gasoline. Cruz and Toomey, who represent heavy oil and gas regions, oppose the current RFS standard mandating that oil and gas companies mix their fuel with ethanol or buy credits on the market to offset their emissions.
Additionally, a number of smaller companies have recently gotten around the rule through applying for small refinery exemptions.
In early April, the Trump administration came under fire by the ethanol industry and environmental groups for granting 25 small refinery exemptions. Previous administrations had granted between six to eight waivers under the 10-year-old program.
The RFS defines a small refinery as creating no more than an average of 75,000 barrels of crude oil per day. However, much larger oil and gas companies have sought to get in on the small refinery exemption, with giants Chevron and Exxon both seeking waivers under the program in early April, according to Reuters.
Some senators are happy with the administration’s actions on refineries and are offering support for Pruitt.
Cruz called him an active part of discussions and said he had an optimistic outlook for negotiations.
“Administrator Pruitt has been an active part of those discussions along with the president and senators across the spectrum and I remain hopeful that we will arrive upon a win-win solution that benefits farmers and refinery workers,” he said.
He said the criticism aimed at Pruitt from senators over the issue simply reflects the politics of the ethanol debate.
“The ethanol lobbyists are used to wielding significant power and unfortunately they have personalized their attacks on Administrator Pruitt as an effort to stop policy decisions they disagree with,” Cruz told The Hill.
Corn farmers and ethanol groups say many of the exemptions granted to EPA are unwarranted, as some of the refineries were offshoots of major companies.
Last Tuesday, Pruitt sat down at a roundtable with representatives from the corn industry during a trip to Kansas.
Ken McCauley, president of the Kansas Corn Growers Association, said farmers were candid about their concerns.
“We took it as a good way to get our information straight to the administration. We took advantage of that and we told him just how we felt, that we were mad as hell,” McCauley, who attended the meeting, told the Hill.
Corn farmers in South Dakota held a tractor rally in Sioux Falls this week to protest the EPA chief as he paid a visit to the state.
“The Administrator of the Environmental Protection Agency (EPA), Scott Pruitt, continues to bail out multi-billion-dollar oil refiners at the expense of South Dakota farmers. It’s time to get Administrator Pruitt on board with President Trump’s agenda,” South Dakota Corn wrote in its event description.
When asked about Pruitt’s lackluster welcome to corn country, Ernst said: “What goes around comes around.”
Read the original article: Pruitt’s New Problem With The GOP: Ethanol
May 23, 2018
By Lisa Gibson
In their inaugural year, the Ethanol Producer Awards proved to be a worthwhile endeavor, with excellent nominations of noteworthy producers and partners summitted in each of the five categories—The Good Neighbor Award, Board of the Year, Workplace of the Year, Project of the Year and Collaboration of the Year.
Winners were chosen by Ethanol Producer Magazine’s editorial staff and editorial board. Many categories brought tough decisions, as more than one nominee seemed deserving of recognition.
The winners have shown themselves to be exemplary in their respective award categories. They are as follows:
THE GOOD NEIGHBOR AWARD
Exemplary Community Service and Support
Pacific Ethanol Magic Valley Inc., Burley, Idaho
“As a company, Pacific Ethanol has always promoted community outreach efforts at all of our locations,” says Wayne Rylant, human resources manager for Pacific Ethanol. “One of our plants, the Magic Valley Plant in Burley, Idaho, stands out above the rest. They have consistently pushed all of our plants to think of new and better ways to help make the communities we live and work in better and stronger. They have been true pioneers in promoting our community service programs.”
The Magic Valley plant won Pacific Ethanol Inc.’s month-long food drive competition in September 2016, collecting and donating 1,976 pounds of food to the Community Council of Idaho and the South Central Community Action Agency. In 2017, Magic Valley upped its donation to 2,173 pounds.
Al Lowe, plant manager, says Pacific Ethanol Magic Valley’s largest community service project is the food drive, but many employees participate in parades, Christmas toy drives, charity walks, community clean-up and local youth athletics. “We try to encourage employees to do their part in our community,” Lowe says.
“We want to be part of the community fabric,” he adds. “We all live here and raise our families in this small area. When we support the community in organized activities, we are essentially saying ‘We are part of this with you and we care.’”
During the 2016 Trunk-or-Treat event, employees started a trend by decorating their float to hand out Halloween candy. The next year, 10 other participating companies followed suit, distributing candy to about 1,500 local children.
“Pacific Ethanol realizes that being part of a community is more than receiving a pay check and spending it here,” Lowe says. “They understand that personal involvement requires time spent by people at events that may not be able to be scheduled around time away from work. When employees express a desire to be involved in these scheduled activities, they attend with management approval.”
Pacific Ethanol offers eight paid hours per year for community service and one-third of the Magic Valley plant employees logged their hours in 2017, making it a company-wide leader, Rylant says.
BOARD OF THE YEAR
Exceptional Board Leadership, Planning and Vision
Chippewa Valley Ethanol Co. LLLP, Benson, Minnesota
In her nomination for CVEC, Renewable Fuels Association Director of Regulatory Affairs Kelly Davis starts with, “Best board in the business” and goes on to describe “excellent” diversification moves, strategic growth through investments, and passion.
Chad Friese, CVEC general manager, agrees. “They are a great group of people and individuals and they certainly deserve the accolades and recognition,” he says. “They certainly go beyond the call of duty, not just looking out for the members they represent, but always looking at opportunities to engage in a positive outcome for the future.”
Diversification moves include production of beverage and industrial alcohol, both niche markets, says Dave Thompson, CVEC’s board chairman. The board has also invested in Guardian Energy, which owns plants across the country. Friese adds that the CVEC board has invested in technology and efficiency.
“We’re one of the older plants in the industry,” Thompson says. “This is our 23rd year of grinding corn, so we end up doing a lot of capital projects to keep us modern and efficient.”
Board members have varying backgrounds including banking and farming, but all have a passion for the ethanol industry, Thompson says. “If you’re involved in the industry, you have to believe in the industry and you have to have a passion for it. Our board has always been engaged in industry events. We’re very active in Renewable Fuels Association and American Coalition of Ethanol events.”
The board consists of nine members, each serving three-year terms and eligible for reelection after those three years are up. Most are also serving on boards of other companies and organizations.
“The CVEC board is very engaged and active,” Friese says. “They participate on other boards, have strong business knowledge and maintain an awareness of new technologies, investments, policies and politics that may influence decisions at a rural cooperative.
“The board is very supportive and is a true extension of the team approach at CVEC,” he adds. “Management spends a lot of time looking forward and gathering information and opportunities. The board reviews and audits those thoughts and ideas and handles them with a real-world collaborative efficiency.”
Thompson says CVEC was one of the earliest in the industry to separate corn oil and to market E85, and is always looking for new ways to increase efficiency. But, humbly, he adds, “I don’t know that we’re more deserving than a lot of other plants. I expect many plants are able to increase efficiency in their own ways.”
WORKPLACE OF THE YEAR
Outstanding Employment and Management Practices
Midwest AgEnergy
Midwest AgEnergy, the parent company of Dakota Spirit AgEnergy in Spiritwood, North Dakota, and Blue Flint Ethanol in Underwood, North Dakota, has a focus on peer-to-peer communication, cooperative problem solving and overall wellness.
Midwest AgEnergy recently provided a behavioral training course to help drive peer-to-peer feedback, effective communication and employee engagement, says Cindy Griffin, director of human resources and corporate services. The course teaches nonconfrontational inquiring skills that employees can use with each other to help solve issues on the job. “Everyone is engaged and holding each other accountable,” she says.
Similarly, the company employs the Kaizen Process, a concept that uses crossfunctional focus teams to address setbacks and opportunities for improvement. Those team members can be anyone in any position up the ladder. “These people come together and say, ‘What can we learn from this?’ And they work together to fix it,” Griffin says. “We empower our newest individuals, up to our senior people. Everyone has a say in their work.”
Those communication skills show in the plants’ safety records, she says. Blue Flint, which began operating in 2007, has achieved 11 years with no lost-time accidents and Dakota Spirit, which started up in 2015, recently marked three.
Midwest AgEnergy contracts a third party to lead the communication initiative, providing training, developing action plans and evaluating the results. Additional coaching and leadership seminars are offered for managers. “It’s a big investment but it’s something our CEO is committed to doing,” Griffin says of CEO Jeff Zueger.
Brian Markegard, engineer at Dakota Spirit, says he has always felt valued as an employee of Midwest AgEnergy. “Management continues to show a commitment to the employees and the culture of valuing each individual,” he says. “Employee appreciation is definitely a part of the culture at Midwest AgEnergy.”
Beyond its dedication to communication and engagement, Midwest AgEnergy encourages and offers training on wellness—physical, financial and mental. The company has offered depression management, financial and tax planning, and spine health presentations, among others. And Midwest AgEnergy’s wellness benefits program reimburses employees and spouses up to $175 per year for activities including gym memberships and massages.
About a year and a half ago, the company boosted its 401k employer contribution to allow up to a 4 percent dollar-for-dollar match, and added an additional nonelective 4 percent contribution, for an employer total of 8 percent.
“There are many great benefits of working at Dakota Spirit other than the work environment,” Markegard says. “We are provided with great insurance options and a wellness program, as well as an excellent retirement plan. The company also values giving back to the communities that we live in and has developed a program that encourages volunteering, without taking time off from work.”
Markegard adds Midwest AgEnergy is a great company to work for, where employees feel heard and are given opportunities to grow and develop.
PROJECT OF THE YEAR
Overall Scale, Complexity and Impact
Homeland Energy Solutions LLC, Lawler, Iowa
At the end of November 2017, a $42.5 million, 35 MMgy expansion was commissioned at Homeland Energy Solutions. It was on budget and six weeks ahead of schedule, despite the fact that it was done on an operating facility that maintained expected production and efficiencies during construction. The only shutdown, according to Plant Manager Kevin Howes, was for 15 days in late September and early October, when required tie-ins and revamping of the distillation system were completed.
Howes says the expansion touched all areas of the plant. It included: 7,700 feet of track to add a rail loop; a 1.2 million-bushel Sukup grain bin and updated reclaim system; two additional hammermills, feed system and flour conveyor; an additional three-cell, two-pump cooling tower; two additional fermenters; a third beer/mash train and ferm fill booster pumps; two additional evaporators; an energy center consisting of two new dryers, three decanter centrifuges, RTO and boiler; an upgraded sieve vaporizer; a complete overhaul of the beer column and rectifier system; and installation of six larger pumps and several hundred feet of upsized piping and instrumentation to handle higher flows. More than 10 engineering firms, construction companies and contractors assisted in the project.
But before all that work was done, planning included a corn origination study to estimate what percentage of corn in the plant’s draw area was being contracted, Howes says. “The study showed the area could support an additional draw of 11.5 million to 12 million bushels with only a $0.01-per-bushel impact on basis,” Howes says. “The extra profit from the additional gallons would more than offset this.”
In addition, Homeland Energy contracted a plant debottlenecking study. “Each main part of our operation was examined to determine what areas needed to be expanded to meet the additional production,” Howes says. “Based on the results, preliminary project scope items were identified and further evaluations were completed to determine what all was going to be needed.”
The purpose of the expansion was to make Homeland Energy, which is farmer-owned, a low-cost producer of ethanol, which gives shareholders the greatest return on their investment, he says.
Howes says the biggest lesson learned is to make sure to check out all the contractors who will be involved in a large project. “Don’t just use their list of references. Check within your network of people also.”
And he has some advice for other ethanol plants looking at enormous expansions:
“Make sure your corn draw area can support the additional gallons.”
“Don’t be hesitant to use multiple general contractors for various parts of the project. We had many different companies working side by side with no issues.”
“You could spend months evaluating what to do, but there comes a time where you just need to move forward with what you have. We live in a commodity market, and sometimes a few-month delay could make a huge difference on your ROI.”
He adds that the economics in this commodity industry will dictate any future plans.
COLLABORATION OF THE YEAR
Technology Advancement through Partnership
Al-Corn Clean Fuel, Claremont, Minnesota; Karges-Faulconbridge Inc., St. Paul, Minnesota; and McGough Construction, St. Paul
Randall Doyal, CEO of Al-Corn Clean Fuel, says the company has two important beliefs: “They believe that there is always a better way, and you work better by working together with others.” The concept is dubbed “Constant Improvement and Collaboration.”
Al-Corn has a 20-year collaboration history with engineering firm Karges-Faulconbridge Inc., increasing efficiencies and an original 10 MMgy capacity to 50 MMgy. Because KFI works closely with McGough Construction, Al-Corn has enlisted McGough’s services many times, also.
Most recently, the three collaborated on the 70 MMgy expansion at Al-Corn, boosting the plant’s capacity to 120 MMgy.
“McGough management brought real-world experience and advice to the project, helping Al-Corn make good decisions about design and desires that would bring the project to completion within the budget provided,” Doyal says. “It was very much a joint effort between Al-Corn staff, KFI engineers and McGough management teams to work through design, bidding, contractor and vendor selection, and contracting.”
The expansion was finished on budget, three months ahead of schedule and with no unplanned shutdowns. Tim Dunnwald, executive vice president and project principal for McGough, attributes that to clear and effective communication within the team. “The core of our teamwork’s success stems from the mutual trust and respect instilled in each of our companies’ cultures,” he says. “Continuous communication, honest feedback, transparency—there was a clear understanding from the get-go of the roles and responsibilities of each team member on this project.”
Doyal agrees. “For collaboration to work, you have to be willing to share your ideas freely,” he says. “You have to be willing to hear why your favorite idea is a bad one. You have to have some humility and be gracious to the ideas of others. But most important is to make sure you invest the time to create a relationship that can stand the trials and tensions that come when you face serious problems that need serious solutions. Investing your time, investing yourself in building a relationship is basic to getting to a deep collaborative association.
“The reason collaboration is important is because you are never as smart as you think you are,” he adds. “You can fall in love with your own ideas but still be completely wrong.”
Respect for the knowledge and viewpoints of all the collaborators is a must, says James Faulconbridge, president of KFI. “Our joint commitment to continuously push the reliability, efficiency and capacity of the plant drives everything. When you couple that with having respect for everyone’s knowledge and input, and accepting that no one has all the answers or is perfect, great things begin to happen. They know they can call us anytime with a question or an idea. We know we can do the same with them.”
Read the original article: Best in the Business
June 5, 2018
The Trump administration has indefinitely delayed a proposed overhaul of U.S. biofuels policy aimed at reducing costs for the oil industry, under pressure from corn state lawmakers who worry the move would undermine demand for ethanol, according to two sources familiar with the matter.
The White House had been poised to announce the reforms to the U.S. Renewable Fuel Program early this week after hosting months of difficult negotiations between representatives of the key constituencies.
“The announcement won’t be happening,” one of the sources said. The second source said the deal had apparently collapsed. Both sources asked not to be identified discussing the matter.
The RFS requires oil refiners to mix increasing volumes of biofuels like ethanol into the nation’s fuel each year, and prove compliance by earning or acquiring blending credits that must be handed in to the Environmental Protection Agency.
The law has helped Midwest corn farmers by creating a 15-billion-gallon-a-year market for ethanol, but refining companies have complained it incurs steep costs for them.
The White House deal would have eased pressure on the refining industry by allowing biofuels exports to count toward the annual volumes quotas. It would also have expanded sales of high-ethanol gasoline in a concession to biofuels producers.
Republican Senators Chuck Grassley and Joni Ernst of Iowa both praised President Donald Trump on Twitter on Tuesday evening.
“@realDonaldTrump has said he loooovves the farmers! #Iowa is feeling that love today, as the President just assured me he ‘won’t sign a deal that’s bad for farmers!’ Thank you Mr. President,” wrote Ernst.
“Pres Trump helped farmers by rejecting bad ethanol deal. I appreciate. GREAT NEWS,” wrote Grassley.
Bob Dinneen, head of the Renewable Fuels Association, said: “We are happy the President continues to recognize the importance of our industry to America’s farmers and rural economies across the nation.”
Read the original article: Trump Administration Biofuels Deal Delayed Indefinitely: Sources
June 5, 2018
Press Release
Building off the recent launch of its fuel ethanol platform DuPont™ XCELIS™, DuPont Industrial Biosciences unveiled the first three products from the innovation hub – designed to increase yields, speed fermentation and reduce energy and chemical consumption:
DuPont™ SYNERXIA® THRIVE GX
Next Generation in Yeast for the Fuel Alcohol Industy
DuPont™ DISTILLASE® DXT
Advanced Glucoamylase Blend
DuPont™ OPTIMASH® AX
Xylanase for Enhanced Liquefaction
The new XCELIS™ platform also will feature an online partner community for the industry, GRAIN CHANGERS. This online community and innovative product offerings represent a new age for DuPont’s XCELIS™ biorefinery team. By improving performance, efficiency and fuel ethanol yields – and working hand-in-hand with customers – XCELIS™ helps ethanol producers reach their goals with new products, tools and technologies.
“These three products are – quite simply – game-changers for the fuel ethanol market,” said Judy Underwood, global marketing leader, Grain Processing, DuPont Industrial Biosciences. “Our team has done it once again – listened to customer needs, engineered cutting-edge enzyme and yeast technologies and worked hand-in-hand with ethanol producers to bring products to market that provide the best possible yields and new options for efficiency.”
Following upon last year’s successful launch of SYNERXIA® THRIVE ADY, SYNERXIA® THRIVE GX is the latest advancement in DuPont’s line of SYNERXIA® Fermentations Systems. It offers a new option in high yield yeasts to help ethanol producers drive to the best performance. SYNERXIA® THRIVE GX is the next generation of DuPont yeast to use the carbon-efficient PKL pathway, resulting in an increased yield of up to 3 percent more than conventional yeast; robust performance during process excursions; and expression of glucoamylase for efficient sugar conversion.
DISTILLASE® DXT is an advanced glucoamylase blend, the newest member of the DISTILLASE® line. The new product is designed to help customers extract even more value from liquefied grains through a combination of advanced glucoamylases, trehalase and cold cook alpha amylase. With DuPont’s novel highly active debranching GA technology, it is optimized for more complete starch to sugar conversion that increases yield up to 1 percent above other trehalase-based blends and is designed to pair well with SYNERXIA® THRIVE GX.
OPTIMASH® AX – a xylanase enzyme that enhances liquefaction – is an addition to the popular OPTIMASH® range. Now designed to help customers extract even more value out of nonstarch carbohydrates, it relaxes fibers to release inaccessible starch; increases ethanol yields up to 1 percent; and – notably – is complementary to alpha amylase performance.
“Launching not one but THREE pioneering products demonstrates our ongoing commitment to this industry,” said Underwood. “But XCELIS™ is more than these products. We are providing tools and technologies to help our customers achieve greater success than ever before – whether it’s a process audit, or a benchmarking study or new products, DuPont’s XCELIS™ Team is always looking for ways to help our customers drive bottom line success.”
About DuPont Industrial Biosciences
DuPont Industrial Biosciences, a DowDuPont Specialty Products Division business, works with customers across a wide range of industries to make products and industrial processes more efficient and sustainable. Through a unique combination of agriculture, biotechnology, chemistry and material science capabilities, we advance market-driven, bio-based solutions to meet the needs of a growing population, while protecting our environment for future generations. For updates about how DuPont Industrial Biosciences is helping customers deliver cost-effective products with superior performance and sustainability, follow @DuPontBiobased on Twitter or visit our website at http://biosciences.dupont.com.
Read the original press release: DuPont Industrial Biosciences Launches Three New Products for Fuel Ethanol Market
June 1, 2018
By Emily Druckman
Starting today, retail gas stations across much of the nation will be forced to cease sales of E15, a fuel blend that is cleaner and cheaper than regular E10 gasoline. The summertime ban on E15, which results from a decades-old regulatory barrier that President Trump has called “unnecessary and ridiculous,” comes at a time when gas prices are reaching four-year highs and the national average price for regular is on the doorstep of $3 per gallon.
Not surprisingly, a new poll shows that American consumers are frustrated by the lack of choice that stems from the summertime prohibition on E15. In a poll of registered voters conducted by Morning Consult last week, four out of five respondents said they believe the federal government should allow E15 to be sold year-round. These drivers clearly understand that E15 offers a lower-cost, higher-octane fuel choice that is better for the environment.
Moreover, President Trump has expressed support time and again for allowing year-round E15 sales and providing consumers with greater choice at the pump. In mid-April, he committed that his administration would approve year-round access of E15. Unfortunately, EPA Administrator Scott Pruitt has yet to act on the President’s commitment, meaning another summer driving season is starting off with less choice and higher prices at the pump.
“EPA Administrator Pruitt leaves no stone unturned when it comes to addressing the grievances of the oil industry, most recently by printing $34 million worth of artificial RIN credits and handing them over to refining company HollyFrontier like a welfare check,” said RFA President and CEO Bob Dinneen. “Farmers are tired of subsidizing some of the wealthiest companies in the country. It’s time for Scott Pruitt’s wholesale destruction of the RFS to end. It’s time for EPA to follow the law and the direction of the president. It’s time for EPA to create biofuel demand by eliminating this antiquated regulatory barrier and empower consumers to make the fuel choices that are best for their cars and wallets,” he added.
In 2011, EPA approved the use of E15 in 2001 and newer vehicles, but the agency did not allow E15 to benefit from the 1-pound per square inch (psi) Reid Vapor Pressure (RVP) waiver that is available to E10 blends. As a result of this disparity, retailers in conventional gasoline areas would have to secure special “sub-RVP” gasoline blendstock in order to continue selling E15 during the EPA summer ozone control season. Such gasoline blendstock is generally unavailable in conventional gasoline areas and would be uneconomical to ship.
Read the original article: New Poll: Consumers Agree that E15 Barrier is ‘Unnecessary’ and ‘Ridiculous’
May 29, 2018
By Jarrett Renshaw, Chris Prentice
A coalition of ethanol and farm groups sued the U.S. Environmental Protection Agency on Tuesday, challenging its decision to free three refineries, including one owned by billionaire investor Carl Icahn, from annual biofuels requirements.
The groups, including the Renewable Fuels Association and the National Corn Growers Association, filed the challenge in a U.S. Court of Appeals for the 10th Circuit in Denver, according to a statement from the coalition. The lawsuit targets three waivers doled out to refineries owned by CVR Energy Inc, in which Icahn hold a majority stake, and HollyFrontier Corp.
Refiners are required by the U.S. Renewable Fuel Standard to blend increasing volumes of biofuels like ethanol each year, but the EPA can offer exemptions for facilities under 75,000 barrels per day, if they experience “disproportionate economic hardship.”
The EPA did not respond immediately to a request for comment on the lawsuit.
The EPA has come under pressure for being stingy with the waivers in the past, and a successful lawsuit last year by Sinclair Oil Corporation led a federal court to order EPA to expand its definition of “economic hardship” - opening the door for more facilities to qualify. U.S. refiner Andeavor and CVR are among the companies that sources have said have received waivers for their smallest units. Chevron Corp, Exxon Mobil Corp and Marathon Oil Corp have requested them, sources have told Reuters.
The number of waivers has soared, amplifying controversy over a program that has been a battleground for entrenched farm and oil interests in Washington for years. Oil refiners say the requirements cause undue financial strain, while corn and biofuels supporters say the waivers reduce demand for their products.
In addition to challenging the waivers themselves, the group criticized the EPA for its lack of transparency. The EPA has refused to share details of which companies have asked for and received the waivers, citing confidential business information.
“EPA is trying to undermine the RFS program under the cover of night,” Bob Dinneen, CEO and president of Renewable Fuels Association, said in the statement.
The American Coalition for Ethanol and National Farmers Union joined in filing the lawsuit.
Read the original article: Ethanol, Farm Groups Sue EPA Over Refineries' Biofuels Exemptions