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    A group of Spanish investors is building a new bioethanol plant in the western region of Extremadura that should be producing fuel from maize in 2009. Alcoholes Biocarburantes de Extremadura (Albiex) has already started work on the site near Badajoz and expects to spend €42/$59 million on the plant in the next two years. It will produce 110 million litres a year of bioethanol and 87 million kg of grain byproduct that can be used for animal feed. Europapress - September 28, 2007.

    Portuguese fuel company Prio SA and UK based FCL Biofuels have joined forces to launch the Portuguese consumer biodiesel brand, PrioBio, in the UK. PrioBio is scheduled to be available in the UK from 1st November. By the end of this year (2007), says FCL Biofuel, the partnership’s two biodiesel refineries will have a total capacity of 200,000 tonnes which will is set to grow to 400,000 tonnes by the end of 2010. Biofuel Review - September 27, 2007.

    According to Tarja Halonen, the Finnish president, one third of the value of all of Finland's exports consists of environmentally friendly technologies. Finland has invested in climate and energy technologies, particularly in combined heat and power production from biomass, bioenergy and wind power, the president said at the UN secretary-general's high-level event on climate change. Newroom Finland - September 25, 2007.

    Spanish engineering and energy company Abengoa says it had suspended bioethanol production at the biggest of its three Spanish plants because it was unprofitable. It cited high grain prices and uncertainty about the national market for ethanol. Earlier this year, the plant, located in Salamanca, ceased production for similar reasons. To Biopact this is yet another indication that biofuel production in the EU/US does not make sense and must be relocated to the Global South, where the biofuel can be produced competitively and sustainably, without relying on food crops. Reuters - September 24, 2007.

    The Midlands Consortium, comprised of the universities of Birmingham, Loughborough and Nottingham, is chosen to host Britain's new Energy Technologies Institute, a £1 billion national organisation which will aim to develop cleaner energies. University of Nottingham - September 21, 2007.

    The EGGER group, one of the leading European manufacturers of chipboard, MDF and OSB boards has begun work on installing a 50MW biomass boiler for its production site in Rion. The new furnace will recycle 60,000 tonnes of offcuts to be used in the new combined heat and power (CHP) station as an ecological fuel. The facility will reduce consumption of natural gas by 75%. IHB Network - September 21, 2007.

    Analysts fear that record oil prices will fuel general inflation in Kenya, particularly hitting the poorest hard. They call for the development of new policies and strategies to cope with sustained high oil prices. Such policies include alternative fuels like biofuels, conservation measures, and more investments in oil and gas exploration. The poor in Kenya are hit hardest by the sharp increase, because they spend most of their budget on fuel and transport. Furthermore, in oil intensive economies like Kenya, high oil prices push up prices for food and most other basic goods. All Africa - September 20, 2007.

    Finland's Metso Power has won an order to supply Kalmar Energi Värme AB with a biomass-fired power boiler for the company’s new combined heat and power plant in Kalmar on the east coast of Sweden. Start-up for the plant is scheduled for the end of 2009. The value of the order is approximately EUR 55 million. The power boiler (90 MWth) will utilize bubbling fluidized bed technology and will burn biomass replacing old district heating boilers and reducing the consumption of oil. The delivery will also include a flue gas condensing system to increase plant's district heat production. Metso Corporation - September 19, 2007.

    Jo-Carroll Energy announced today its plan to build an 80 megawatt, biomass-fueled, renewable energy center in Illinois. The US$ 140 million plant will be fueled by various types of renewable biomass, such as clean waste wood, corn stover and switchgrass. Jo-Carroll Energy - September 18, 2007.

    Beihai Gofar Marine Biological Industry Co Ltd, in China's southern region of Guangxi, plans to build a 100,000 tonne-per-year fuel ethanol plant using cassava as feedstock. The Shanghai-listed company plans to raise about 560 million yuan ($74.5 million) in a share placement to finance the project and boost its cash flow. Reuters - September 18, 2007.

    The oil-dependent island state of Fiji has requested US company Avalor Capital, LLC, to invest in biodiesel and ethanol. The Fiji government has urged the company to move its $250million 'Fiji Biofuels Project' forward at the earliest possible date. Fiji Live - September 18, 2007.

    The Bowen Group, one of Ireland's biggest construction groups has announced a strategic move into the biomass energy sector. It is planning a €25 million investment over the next five years to fund up to 100 projects that will create electricity from biomass. Its ambition is to install up to 135 megawatts of biomass-fuelled heat from local forestry sources, which is equal to 50 million litres or about €25m worth of imported oil. Irish Examiner - September 16, 2007.

    According to Dr Niphon Poapongsakorn, dean of Economics at Thammasat University in Thailand, cassava-based ethanol is competitive when oil is above $40 per barrel. Thailand is the world's largest producer and exporter of cassava for industrial use. Bangkok Post - September 14, 2007.

    German biogas and biodiesel developer BKN BioKraftstoff Nord AG has generated gross proceeds totaling €5.5 million as part of its capital increase from authorized capital. Ad Hoc News - September 13, 2007.

    NewGen Technologies, Inc. announced that it and Titan Global Holdings, Inc. completed a definitive Biofuels Supply Agreement which will become effective upon Titan’s acquisition of Appalachian Oil Company. Given APPCO’s current distribution of over 225 million gallons of fuel products per year, the initial expected ethanol supply to APPCO should exceed 1 million gallons a month. Charlotte dBusinessNews - September 13, 2007.

    Oil prices reach record highs as the U.S. Energy Information Agency releases a report that showed crude oil inventories fell by more than seven million barrels last week. The rise comes despite a decision by the international oil cartel, OPEC, to raise its output quota by 500,000 barrels. Reuters - September 12, 2007.

    OPEC decided today to increase the volume of crude supplied to the market by Member Countries (excluding Angola and Iraq) by 500,000 b/d, effective 1 November 2007. The decision comes after oil reached near record-highs and after Saudi Aramco announced that last year's crude oil production declined by 1.7 percent, while exports declined by 3.1 percent. OPEC - September 11, 2007.

    GreenField Ethanol and Monsanto Canada launch the 'Gro-ethanol' program which invites Ontario's farmers to grow corn seed containing Monsanto traits, specifically for the ethanol market. The corn hybrids eligible for the program include Monsanto traits that produce higher yielding corn for ethanol production. MarketWire - September 11, 2007.


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Friday, September 28, 2007

Mascoma to build first switchgrass cellulosic ethanol plant

Mascoma Corporation, a developer of advanced low-carbon energy biotechnology, recently announced that it intends to establish America's first operating facility producing cellulosic ethanol utilizing switchgrass as feedstock. The project represents one of the largest commitments of capital yet made in support of the cellulosic biofuels industry. Some new details about the plan have become available.

Mascoma and the University of Tennessee plan to jointly build and operate the five million gallon per year cellulosic biorefinery. Construction is expected to begin by the end of 2007 and the facility will be operational in 2009. The business partnership and plans for the facility are a result of the Tennessee Biofuels Initiative, a research and business model designed to reduce dependence on foreign oil and provide significant economic and environmental benefits for Tennessee’s farmers and communities. It includes a $40 million investment in facility construction and $27 million for research and development activities, including incentives for farmers to grow switchgrass funded by the State and the University of Tennessee. The large-scale demonstration facility will be located in Monroe County, Tennessee.
We are excited about our partnership, the first to produce biofuels from switchgrass, and the opportunity in the future, to expand our production to commercial scale. Along with the new DOE Bioenergy Research Center at nearby Oak Ridge, Tennessee will have a one-two punch addressing our nation’s need for low-carbon, domestically produced energy. - Bruce A. Jamerson, CEO Mascoma
Mascoma's focus is on genetically engineering thermophilic ethanol-producing bacteria in order to facilitate the transition of cellulose ethanol processing to a Consolidated Bioprocessing (CBP) configuration. CBP comes down to reducing the number of biologically mediated bioconversion steps into a single process. It is widely recognized as the simplest, lowest cost configuration for producing cellulosic ethanol.

Mascoma’s lead organism for thermophilic 'Simultaneous Saccarification and Fermentation' (tSSF) is Thermoanaerobacterium saccharolyticum. This organism has been modified to produce stoichiometric quantities of ethanol from a xylose feed. This strain is attractive for use in a tSSF configuration as the elevated fermentation temperature can substantially reduce cellulase requirements in an industrial processing operation.

The University of Tennessee’s Institute of Agriculture will support the establishment of switchgrass as an energy crop. Initial research conducted by the University of Tennessee’s Institute of Agriculture indicates that Tennessee is capable of generating over one billion gallons of cellulosic ethanol from switchgrass alone. The U.S. as a whole has the resources for a supply of a billion tons of lignocellulosic biomass (maps, click to enlarge).

Biofuels made from cellulosic biomass, either obtained from dedicated non-food energy crops or from agricultural and forestry residues have a much stronger energy balance than first-generation fuels made from, for example, corn. Cellulosic ethanol's 'energy return on energy invested' (EROEI) is up to 4 times higher than corn based ethanol (graph, click to enlarge). The fact that these fuels do not compete with food is obviously a major advantage:
:: :: :: :: :: :: :: :: ::

Mascoma's facility is complemented by research efforts at nearby Oak Ridge National Laboratory. In June, Oak Ridge was awarded $125 million from the U.S. Department of Energy to fund the Bioenergy Science Center, a research collaborative to address fundamental science and technology challenges to commercially producing cellulosic ethanol.

The Tennessee project is Mascoma’s third cellulosic biorefinery. Mascoma has begun construction on its first facility announced in 2006, a multi-feedstock demonstration-scale biorefinery located in Rome, New York. This project is being developed in partnership with the New York State Energy Research and Development Authority and the New York State Department of Agriculture and Markets.

In July 2007, the company announced plans to build one of the nation’s first commercial scale biorefineries using wood as a feedstock. This project is located in the State of Michigan and is being developed with the Michigan Economic Development Corporation and partners including Michigan State University and Michigan Technological University.

Graphs credit: UT Biofuels Initiative.

References:
University of Tennessee: UT Board Approves Biofuels Business Partnership - September 19, 2007

University of Tennessee, Office of Bioenergy Programs: From Grow to Go for a New Bioeconomy.

Dr. Kelly Tiller, "UT Biofuels Initiative" [*.pdf], Presented at the Public Hearing on the Niles Ferry Biorefinery Location, Vonore, TN, - August 16, 2007

UT Office of Bioenergy Programs: Switchgrass as a Future Energy Crop [*.pdf].

Biopact: University of Tennessee and Mascoma team up to build cellulosic ethanol biorefinery - September 21, 2007

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