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Understanding Renewable Fuels in Today's Marketplace - Mayo, Hall

Stacy Mayo, Kansas Corn Growers Association; Jancey Hall, Kansas Soybeans

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Understanding Renewable Fuels in Today's Marketplace - Mayo, Hall

  1. 1. BIOFUELS 101 Stacy Mayo & Jancey Hall
  2. 2. RENEWABLE FUELS DEFINED  Wikipedia: Renewable fuels are fuels produced from renewable resources. Examples include: biofuels (e.g.Vegetable oil used for fuel, ethanol, methanol from clean energy and carbon dioxide or biomass, and biodiesel) and Hydrogen fuel (when produced with renewable processes).  This is in contrast to non-renewable fuels such as natural gas, LPG (propane), petroleum and other fossil fuels and nuclear energy.  Renewable fuels can include fuels that are synthesized from renewable energy sources, such as wind and solar. Renewable fuels have gained in popularity due to their sustainability, low contributions to the carbon cycle, and in some cases lower amounts of greenhouse gases.  Renewable fuels are fuels made from renewable resources. Where fossil fuels are finite, renewable fuels are infinite and examples of renewable fuels include vegetable oil as fuel and methanol made from carbon dioxide.
  3. 3. BIOFUELS DEFINED  Ethanol: Ethanol is a renewable, earth-friendly biofuel made from plants. Most ethanol is currently made from corn, but new technologies allow ethanol to be created from other materials like wood chips and agricultural waste.  Biodiesel: A fuel comprised of mono-alkyl esters of long chain fatty acids derived from vegetable oils or animal fats, designated B100, and meeting the requirements of ASTM D6751 -a biofuel intended as a substitute for diesel
  4. 4. BIODIESEL: FUELED BY FARMERS  Rudolph Diesel created 1st diesel engine to run on peanut oil, not petroleum  Late 1980’s early 1990’s  Excessive amounts of soybean oil on market  Diesel engines ran on canola  National Soy Diesel Development Board Founded in 1992 by soybean farmers  National Biodiesel Board  Research  Marketing  Education  Policy work
  6. 6. HOW DOES IT COMPARETO REGULAR GASOLINE  Ethanol replaces harmful carcinogens and toxic additives that can be found in petroleum-based fuels, while providing a naturally high octane  Ethanol is an earth-friendly biofuel that cuts carbon emissions from 34 to 100 percent or more, depending on the feedstock – and this percentage continues to increase with ongoing innovations in advanced biofuels.  Energy efficient to produce. For every 1 Btu of energy used to make ethanol, ethanol provides a 2.6 Btu return.  NASCAR driven more than 10 million miles on e15 with zero engine issues
  7. 7. BIODIESEL: HOW IS IT MADE Transesterification: process produces mono- alkyl esters – chemically similar to diesel fuel. Reacting: 100 lbs. vegetable oil + 10 lbs. alcohol Yields: 100 lbs. biodiesel + 10 lbs. glycerine
  8. 8. HOW DOES IT COMPARETO REGULAR DIESEL  Roughly 8% less energy in B100 than No. 2 diesel  Higher Cetane  Higher Lubricity  Equals the same horsepower, fuel economy and torque in B20 as petro diesel.
  9. 9. ETHANOL PRODUCTION IN KANSAS 1. Arkalon Energy (Conestoga), Hayne, 110 MGY, 39 mill/bu 2. Bonanza Bioenergy (Conestoga),Garden City, 73 MGY, 24 mill/bu 3. Kansas Ethanol LLC, Lyons, 60 MGY, 20 mill/bu 4. East KansasAgri Energy, Garnett, 50 MGY, 13.3 mill/bu 5. Western Plains Energy, Campus, 45 MGY, 16.1 mill/bu 6. Prairie HorizonAgri Energy, Phillipsburg, 40 MGY, 14.3 mill/bu 7. White Energy-Russell, Russell, 35 MGY, 16.1 mill/bu 8. NESIKA Energy LLC, Scandia, 21 MGY, 7 mil/bu 9. Pratt Ethanol, Pratt, 55 MGY, 18 mill/bu 10. Reeve Agri-Energy,Garden City, 15 MGY, 5.4 mill/bu 11. ESEAlcohol, Leoti, 1.5 MGY, .5 mill/bu
  11. 11. BIODIESEL PRODUCTION IN KANSAS  Emergent Green Energy – Minneola, KS  Utilize glycerin byproduct  Kansas University  Kansas State University  North CentralTechnical College  Seward County Community College
  12. 12. ETHANOL AND LIVESTOCK  Distillers grains provides a nutritious feed choice  Kansas has many feedlots closely coordinating with ethanol plants for their distiller grain production  83 mil bu of distillers grains from ethanol is available for livestock feed
  13. 13. BIODIESEL AND LIVESTOCK Reduced Feed Costs Due to Lower SBM Values Increased Revenue Due to Higher Animal Fat Values Glycerine Provides an Additional Energy Source for Feed Rations to Help Mitigate Risk
  14. 14. WHO CAN USE &WHERETO BUY: ETHANOL  Vehicles:  E10- 97% gasoline sold with 10% ethanol  Flex Fuel- E85  E15- 2001 and newer  Over the past year, consumers have driven over 300 million miles using E15 without a single reported negative effect.The facts are clear.There has never been an instance of a warranty being voided over the use of E15.  Apps &Website:  More stations coming soon
  16. 16. OPPORTUNITIES FOR KANSAS GRAIN Today, Biodiesel is a 2.9 million gallon market & adds $.62/bushel to soybean prices. Ethanol is estimated to add $.30 to $.50/bushel to corn prices.
  17. 17. OK GREAT-WHY SHOULD I USE IT? American fuel American jobs Renewable
  18. 18. THANKYOU