Farm Power


Farm Power Northwest LLC creates renewable energy projects
   that sustain family farms, protect farmland, and reduce
                  greenhouse gas emissions.




                      Kevin Maas
              WTIA Smart Fuels – June 3, 2010
Farm Power


             Background

             • Small and medium-sized Puget
             Sound dairy farms under pressure

             • Anaerobic digesters: proven
             energy-producing technology that
             farmers couldn’t afford to develop

             • Two brothers with a farmer-
             focused develop-own-operate
             model
Farm Power


Standard Procedure

Dairy manure provides a
closed-loop fertilizer source                                   Milk
                                           Cows

                           Crops                       Lagoon


                                          Fields
                                                                 Methane

                   Nutrient Cycle

                   Positive Products

                  Negative Products                 Odor
Farm Power
Farm Power



                                                                   Electricity to PSE
         How does the process actually work?



                                   Biogas:
                                55% methane,                     750 kW internal-
                                  45% CO2,                         combustion
                                  trace H2S                      engine generator

Dairy Manure:
scraped from                                          Surplus heat to digester
concrete floor
                                  Anaerobic                                  Fiber
200 tons per day                   Bacteria:
                                thrive in warm,    Three weeks
Food Waste:                       oxygen-free                         Separator
                                                       later
trucked from                     environment
processing plant
                                100ºF Digester                               Liquid
Farm Power




      Our Resource:



1             =
And - 1 (          ) CO2-e
Farm Power


Starting Point

• We make profits on the power so we can
provide free bedding to farmers: $100k+ annually
to support local food production




• Farm Bill has provided predictable USDA grant
and loan-guarantee opportunities for digesters




•Many competing carbon offsets come from
methane capture at landfills
Farm Power



                 Coal
           Average plant size:
               500 MW               Natural Gas                   Community Power
                                 Average plant size:              Average plant size:
                                     100 MW                            1 MW
                                        Nuclear
                                   Average plant size:
                                       1000 MW




                                                               Wind
                                                         Average plant size:
                                                             100 MW

  Hydroelectric
Average plant size:                                          10,000 MW at any
    200 MW                                                       given time
                                                                (Wind currently
                                                                 closer to 3%)
Farm Power


14
                                                                                                                                                     Natural Gas
12
                                                                                                                                                     Citygate ($
10                                                                                                                                                   per Mmbtu)

8
                                                                                                                                                     10-Year
6                                                                                                                                                    Contract
                                                                                                                                                                   Choosing Electricity and
                                                                                                                                                     Available     Cogeneration
4
                                                                                                                                                     (cents per
2
                                                                                                                                                     kWh)          • Regulated market cuts
0
                                                                                                                                                                   volatility risk for small
                                                                                                                                                                   producers; standard offer
     Jul-03




                                                           Jul-04




                                                                                                                 Jul-05



                                                                                                                                            Jan-06
                                Jan-04
                                         Mar-04




                                                                                      Jan-05
                                                                                               Mar-05
                       Nov-03




                                                                             Nov-04




                                                                                                                                   Nov-05
              Sep-03




                                                                    Sep-04




                                                                                                                          Sep-05
                                                  May-04




                                                                                                        May-05



                                                                                                                                                                   contracts available from Puget
                                                                                                                                                                   Sound Energy and others

                                                                                                                                                                   • Ethanol bankruptcies shows
                                                                                                                                                                   importance of having both
                                                                                                                                                                   supply and sales contracts

                                                                                                                                                                   • Ample zero-cost process heat
                                                                                                                                                                   from combustion for electricity
Farm Power


             Ribbon-cutting

             • first project online August 2009 after
             two and a half years of work
             • ceremonial starting of generator at end
             of September
             • over 3 million kWh produced to date
Farm Power


Nutrients and Emissions

•   2,000,000 gallons of food waste
    recycled (almost 8,000 tons)

•   4,000 tons CO-2e of greenhouse
    gases eliminated
Farm Power


    Growing Local Impact
    • Investment in rural agricultural economies
    • Tremendous leverage possible with federal
    grants and loan guarantees
    • Construction jobs attract stimulus money
    • Long-term cash stream for our investors
    • Committed partners ready to build more




                      $405,000 company equity
                      builds $3,545,000 project
Farm Power




The Future

• projects near Lynden and
Enumclaw
• raising money with SCOR;
going for Oregon
• continued operations at
Rexville
Farm Power


                                   Farm Power Lynden
                                                                     Electricity to PSE
Remaining half of surplus heat to greenhouse
                                                       80% thermal
                                                       efficiency
In Operation

Pre-Construction

Awaiting Grants

Scouting
Farm Power


                         Thank you!

                 Questions? Comments?




Farmpowernw@gmail.com    360.424.4519   www.farmpower.com

G.E.T. Smart - Smart Fuels: Farm Power Northwest Presentation

  • 1.
    Farm Power Farm PowerNorthwest LLC creates renewable energy projects that sustain family farms, protect farmland, and reduce greenhouse gas emissions. Kevin Maas WTIA Smart Fuels – June 3, 2010
  • 2.
    Farm Power Background • Small and medium-sized Puget Sound dairy farms under pressure • Anaerobic digesters: proven energy-producing technology that farmers couldn’t afford to develop • Two brothers with a farmer- focused develop-own-operate model
  • 3.
    Farm Power Standard Procedure Dairymanure provides a closed-loop fertilizer source Milk Cows Crops Lagoon Fields Methane Nutrient Cycle Positive Products Negative Products Odor
  • 4.
  • 5.
    Farm Power Electricity to PSE How does the process actually work? Biogas: 55% methane, 750 kW internal- 45% CO2, combustion trace H2S engine generator Dairy Manure: scraped from Surplus heat to digester concrete floor Anaerobic Fiber 200 tons per day Bacteria: thrive in warm, Three weeks Food Waste: oxygen-free Separator later trucked from environment processing plant 100ºF Digester Liquid
  • 6.
    Farm Power Our Resource: 1 = And - 1 ( ) CO2-e
  • 7.
    Farm Power Starting Point •We make profits on the power so we can provide free bedding to farmers: $100k+ annually to support local food production • Farm Bill has provided predictable USDA grant and loan-guarantee opportunities for digesters •Many competing carbon offsets come from methane capture at landfills
  • 8.
    Farm Power Coal Average plant size: 500 MW Natural Gas Community Power Average plant size: Average plant size: 100 MW 1 MW Nuclear Average plant size: 1000 MW Wind Average plant size: 100 MW Hydroelectric Average plant size: 10,000 MW at any 200 MW given time (Wind currently closer to 3%)
  • 9.
    Farm Power 14 Natural Gas 12 Citygate ($ 10 per Mmbtu) 8 10-Year 6 Contract Choosing Electricity and Available Cogeneration 4 (cents per 2 kWh) • Regulated market cuts 0 volatility risk for small producers; standard offer Jul-03 Jul-04 Jul-05 Jan-06 Jan-04 Mar-04 Jan-05 Mar-05 Nov-03 Nov-04 Nov-05 Sep-03 Sep-04 Sep-05 May-04 May-05 contracts available from Puget Sound Energy and others • Ethanol bankruptcies shows importance of having both supply and sales contracts • Ample zero-cost process heat from combustion for electricity
  • 10.
    Farm Power Ribbon-cutting • first project online August 2009 after two and a half years of work • ceremonial starting of generator at end of September • over 3 million kWh produced to date
  • 11.
    Farm Power Nutrients andEmissions • 2,000,000 gallons of food waste recycled (almost 8,000 tons) • 4,000 tons CO-2e of greenhouse gases eliminated
  • 12.
    Farm Power Growing Local Impact • Investment in rural agricultural economies • Tremendous leverage possible with federal grants and loan guarantees • Construction jobs attract stimulus money • Long-term cash stream for our investors • Committed partners ready to build more $405,000 company equity builds $3,545,000 project
  • 13.
    Farm Power The Future •projects near Lynden and Enumclaw • raising money with SCOR; going for Oregon • continued operations at Rexville
  • 14.
    Farm Power Farm Power Lynden Electricity to PSE Remaining half of surplus heat to greenhouse 80% thermal efficiency
  • 15.
  • 16.
    Farm Power Thank you! Questions? Comments? Farmpowernw@gmail.com 360.424.4519 www.farmpower.com