Murphy-Brown and Roeslein Alternative Energy To Develop $100 Million Northern Missouri Biogas Project

Murphy-Brown of Missouri, LLC (MBM) and Roeslein Alternative Energy, LLC announced recently their joint plans to develop a $100 million renewable biogas project in northern Missouri. Murphy-Brown is the livestock production subsidiary of Smithfield Foods, Inc.

The project is a unique and innovative model for sustainability that will demonstrate how underutilized agricultural resources can create renewable fuel, benefit the ecosystem and generate economic opportunity. The joint venture envisions combining technology and animal waste to optimize alternative energy production for regional distribution.

Biogas, also called renewable natural gas, is created when organic matter decomposes without oxygen present. Biogas will be harvested from MBM finishing farms in northern Missouri using state-of-the-art anaerobic digestion technology developed and installed by Roeslein Alternative Energy, LLC.

Roeslein has engaged investment banking firm Stern Brothers & Co. to underwrite the entire financing for this project. The Missouri Clean Energy District's PACE program is being reviewed as a financing option. Construction is scheduled to begin in the spring of 2014.

"This is an important sustainability project for Murphy-Brown of Missouri. Not only does it demonstrate our ongoing commitment to the environment and to our neighbors, but it also allows us to make facility upgrades that are good for our employees, our animals and the continuous improvement of our business in northern Missouri," said Michael Rainwater, general manager of MBM.

"This capital project is a robust investment in our northern Missouri operation, producing additional good-paying jobs and promoting economic development that is vitally important to our region," Rainwater said.

"All of us at Smithfield Foods are tremendously proud of the many people at Murphy-Brown and Roeslein Alternative Energy who have already worked very hard on this project, and we're looking forward to the day when Missouri residents will benefit from this innovative source of biogas energy," said Dennis H. Treacy, Smithfield's chief sustainability officer.

Impermeable synthetic covers will be placed on existing nutrient treatment lagoons, and barn scraper technology will be utilized to deliver raw nutrients of livestock waste to covered lagoons. Alternative fuel equipment will then harvest and commercialize biogas produced inside the lagoons. The biogas will then be utilized as a renewable, green energy resource.

"Environmental benefits from this project will be significant," explained Rudi Roeslein, president of Roeslein Alternative Energy and CEO of Roeslein & Associates, a global leader in systems integration specializing in sophisticated modular construction.

"Utilizing proven anaerobic digestion technology, we expect to achieve reduced greenhouse gas emissions, shrink MBM's carbon footprint, eliminate rainfall effects on treatment systems, all while capturing a valuable and renewable biogas energy resource," Roeslein said.

The anaerobic digestion process modules will be fabricated by Roeslein & Associates' wholly-owned subsidiary, Roeslein Manufacturing, in Red Bud, Illinois. Funding for these projects is not being provided by Smithfield Foods or MBM.

Iowa Biodiesel Production Sets Record in 2013

The Iowa Renewable Fuels Association (IRFA) announced yesterday that Iowa biodiesel production was up 25% in 2013, setting a new record with production topping 230 million gallons of biodiesel.  The previous production record was 184 million gallons in 2012. Iowa, the leading producer of biodiesel, is expected to account for 13.5 percent of U.S. biodiesel production in 2013.

Though a new record was set in 2013, uncertainty hangs over the biodiesel industry in 2014 as Congress allowed the federal biodiesel blenders tax credit to expire and the Environmental Protection Agency (EPA) is proposing to weaken the Renewable Fuel Standard (RFS). 

“Iowa continues to lead in the production of biodiesel,” stated IRFA Executive Director Monte Shaw. “However, many plants across the nation, including some in Iowa, are shut down today as the market waits to see what happens with the RFS.  That means good paying jobs are at risk.  The EPA needs to uphold Congressional intent and maintain a robust RFS for biodiesel of at least 1.7 billion gallons for 2014.”

Soybean oil remained the leading biodiesel feedstock in Iowa, accounting for 68 percent of production.  However, the use of lower carbon intensity feedstocks doubled over the previous year.  Animal fats accounted for 27 percent of biodiesel feedstocks, while used cooking oil, inedible corn oil and canola oil accounted for the remaining five percent.

“How does it make sense for the EPA to gut the advanced biofuels portion of the RFS when the impact will likely be a reduction in the use of lower carbon intensity feedstocks like animal fats and used cooking oil?  That runs counter to the intent of the law,” added Shaw.

Iowa is the leader in renewable fuels production.  Iowa has 12 biodiesel facilities with the capacity to produce nearly 315 million gallons annually. In addition, Iowa has 42 ethanol refineries capable of producing over 3.8 billion gallons annually, with three cellulosic ethanol projects currently under construction.

The Iowa Renewable Fuels Association was formed in 2002 to represent the state’s liquid renewable fuels industry. The trade group fosters the development and growth of the renewable fuels industry in Iowa through education, promotion, legislation and infrastructure development.

Greenbelt Resources And Diversified Ethanol File Patent Protection For Ethanol-Water Separation Membrane System

Greenbelt Resources Corporation today announced patent protection filing for its proprietary ethanol-water separation membrane module technology on behalf of its subsidiary Diversified Ethanol Corporation. The patent-pending system utilizes the Hitachi-Zosen membrane known for purifying a number of liquids and gases including ethanol and other organic solvents.

The proprietary solution for separating water from ethanol developed to improve the efficiency of ethanol dehydration will also reduce the overall cost to construct and service a system in contrast to alternative designs that require a custom build approach. Instead of combining a large number of membranes into one large vessel, the new innovation from Diversified Ethanol uses a series of repeating smaller vessels, each with fewer membranes that together form a single, higher capacity module. The patent-pending module design utilizes multiple off-the-shelf parts.

“Our goal has always been to apply innovative thinking and engineering to the ethanol production process as a means of providing a lower cost fuel alternative that helps our economy become more self-sufficient and less reliant on foreign oil,” said Floyd Butterfield, Founder and Chief Technology Officer at Diversified Ethanol Corporation. “Not only does our approach enable more energy-efficient separation of water, it sets the stage for us to apply our membrane module technology to other separations that offer additional energy-saving and economic benefits to our products and the community.”

Greenbelt Resources and Diversified Ethanol incorporated the unique membrane system into the plant design for the Stan Mayfield Bio Refinery Pilot Plant at the University of Florida Institute of Food and Agricultural Sciences laboratory at the Buckeye Technology facility in Taylor County, Florida.

November 2013 Crude Oil Imports Total $28.5 Billion

 The latest numbers from the Commerce Department show that the trade deficit for November was $34.3 billion, down from $39.3 billion in January. Crude oil imports accounted for $28.5 billion.

In all, imports of petroleum goods fell 11% in November from the prior month, to $28.5 billion, seasonally adjusted. Meanwhile, U.S. exports of energy continued to edge higher, with petroleum shipments rising 5.5% in November to $13.3 billion.

On an inflation-adjusted basis, the U.S. trade deficit in petroleum goods in November was the lowest since late 1996, Commerce data show.

Source :  L.A. Times

Ergon Acquires Bunge’s Interest in Mississippi Ethanol Plant

Ergon, Inc. announced today that its wholly owned subsidiary, Ergon Ethanol, Inc., acquired Bunge North America, Inc.’s interest in and now owns 100% of Ergon BioFuels, LLC located in Vicksburg, Mississippi. Financial terms were not disclosed. Effective December 31, 2013, Bunge-Ergon Vicksburg, LLC changed its name to Ergon BioFuels, LLC.

Ergon BioFuels, LLC, formerly Bunge-Ergon Vicksburg, began as a joint venture between Ergon Ethanol, Inc. and Bunge North America in 2007. With an annual throughput capacity of 54-million gallons, Bunge-Ergon Vicksburg, LLC was one of the largest producers of ethanol in the southeastern United States until operations were suspended in December 2012.

“This transaction allows us to look at alternative feedstocks, as well as how the plant may be used for products beyond traditional ethanol production,” said Don Davis, President of Ergon’s Refining and Marketing division. “In addition, we feel the Ergon BioFuels facility will be synergistic with nearby Ergon Refining, Inc.’s opportunities for an expanded product base.”