AgWired

News From the world of Agribusiness
08.20.2008
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  • ACE Fueling Revolution Conference

    “Fueling Revolution” is the theme of the 21st Ethanol Conference & Trade Show which kicked off Tuesday in Omaha at the Qwest Center. The event is the big show of the year for the American Coalition for Ethanol (ACE).

    ACE 1The conference is expected to draw more than 1,200 attendees, with more than 200 companies represented at the trade show. Topics that will be covered during sessions over the next two days include ethanol blender pumps and mid-range blends, innovations in corn ethanol, cellulosic ethanol commercialization and feedstock logistics, and much more.

    I am here in Omaha to blog the event today on Domestic Fuel and also the Renewable Fuels Association’s blog Good Fuels, but ACE has also developed a new blog to follow the convention proceedings - at ethanol.typepad.org. Check it out!


    See the ACE 2008 Photo Album here

    Team Ethanol Wins at Watkins Glen

    Ryan Hunter-Reay - Courtesy of Indy Racing LeagueAlthough I wasn’t there to cheer him on, Ryan Hunter-Reay and Team Ethanol scored their first IndyCar Series win Sunday at the Camping World Grand Prix in Watkins Glen, NY. Picture is courtesy of Indy Car Series.

    Appropriately on Independence Day weekend, it was an all-American win for the Rahal Letterman team, which is sponsored by the ethanol industry - including ICM, POET and Fagen.

    “It’s a dream come true,” Hunter-Reay said after the race. “American kid winning with ethanol on the side of the car. It’s an American team - Bobby Rahal gave me the job and now we’re in Victory Circle.”

    Hunter-Reay is the third driver for Team Ethanol, which was initiated by Paul Dana in 2005. Dana was killed in a pre-race wreck at the start of the 2006 season in Homestead. Jeff Simmons took over for him the rest of that season and most of 2007 before he was replaced mid-season by Hunter-Reay who went on to become Rookie of the Year.

    This is the second year the IndyCar Series has been fueled with 100 percent ethanol, so the victory is especially sweet for corn growers and the ethanol industry.

    Investor Interest in Ethanol Drops

    Chris GroobeyThe issue of investment and financing for ethanol plants and bio refineries in general was addressed today by Chris Groobey, Baker & McKenzie, LLP. He works on project financing with investors and lenders and mostly in renewable fuels. He painted a pretty bleak picture.

    In fact, he says the New York investment community is not interested in biofuels right now. He says they’re tapped out and that ethanol and biodiesel are not of interest to them at all. So with that being said, what’s next? He says there needs to be a combination of making more money from existing plants by co-locating other facilities or finding other sources of income from the same plant. He also thinks there needs to be more and bigger business structures.

    He says this means we’re returning to more traditional models of rural development that take a longer term view. He recommends growing local agriculturally skilled management teams with people who understand farm risk.

    You can listen to my interview with Chris here:

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    You can also download the interview using this link (mp3).

    Transition To A Bio Economy Photo Album

    Ethanol Trucking

    Frank DooleyWhen it comes to infrastructure needs for a bio economy our rural road system is a key component. To speak about it here at the Transition To A Bio Economy conference we heard from Frank Dooley, Purdue University. He sees a big increase in grain production, primarily in the midwest. With that comes a growing demand for transportation. He thinks we should be concerned because most of the corn will be moved by truck and that’s going to impact rural roads. He also sees an increase in rail transportation but not significantly.

    He’s worked on a project with the state department of transportation in Indiana to study traffic flow changes and suggests that more of this type of research needs to be done. He says that a 100 million gallon ethanol plant will have up to 110 trucks in per day.

    You can listen to my interview with Frank here:

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    You can also download the interview using this link (mp3).

    Transition To A Bio Economy Photo Album

    Rail Car Transportation of Ethanol

    Paul HammesWe hear a lot about the growth in ethanol production but do you know how it gets from the plant to where it needs to be to enter our fuel supply? How about rail car? During our discussion on the infrastructure needs of a Transition To A Bio Economy, we heard from Paul Hammes, Union Pacific Railroad. Of course his focus was on rail infrastructure and as it relates to biofuels. Specifically, he spoke to the different pieces of that supply chain like rail cars, the rail network and unload/load capacity.

    He says that the biofuels industry development happened quite quickly and that put some pressure on their network. In particular, it presented challenges at the destination markets for the unloading of ethanol. One of the challenges has been that ethanol is moved in small units and in concentrated areas. He see future challenges as developing rail infrastructure to meet capacity demands and more development at destination terminals.

    You can listen to my interview with Paul here:

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    You can also download the interview using this link (mp3).

    Transition To A Bio Economy Photo Album

    Buying Biomass

    Sarah BrechbillOkay. This is the last one for today. But there’s more to come tomorrow.

    Sarah Brechbill, Purdue University, got to put her masters degree project on the stage today here at the Farm Foundation’s Transition To A Bio Economy conference. She looked at the cost to get biomass to a plant and specifically looked at switchgrass and corn stover.

    She says that there’s really no one answer to what’s best for everyone. However, she did find that corn stover was generally cheaper. One reason is that it’s already being grown.

    You can listen to my interview with Sarah here:

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    You can also download the interview using this link (mp3).

    Transition To A Bio Economy Photo Album

    Cellulosic Flavonoids

    Danielle Julie CarrierWe hear a lot about co-products with ethanol production like the DDGS but what about in cellulosic ethanol production? Well, Danielle Julie Carrier, Arkansas State University is doing work on that subject.

    I was very interested to hear that there are some possibilities. She’s working with switchgrass and they’ve found that if you wash the feedstock prior to the pre-treatment for ethanol production that you get a water mix with flavonoids which help reduce bad cholesterol. Co-products like this have potential and may help make the production of cellulosic ethanol more attractive.

    You can listen to my interview with Julie here:

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    You can also download the interview using this link (mp3).

    Transition To A Bio Economy Photo Album

    Adding Peas To Corn For Ethanol

    Abhishek GoelI know you’re getting a healthy dose of biofuels here on AgWired today but it all has to do with agriculture and rural America so I hope you’re enjoying it. I’ve been learning a lot, including just how much work the Farm Foundation does.

    During our last session of the day here at the Farm Foundation, Transition To A Bio Economy Conference, our speakers talked about some feedstock and co-product issues of ethanol production. First up was Abhishek Goel, North Dakota State University. He did work on using dry peas to supplement corn in an ethanol plant. The idea was to reduce supply risk and increase profitability.

    He says that in North Dakota corn supply is variable and since the state is the biggest producer of dry peas it seemed like a natural place to start. The work was done in 2007 and although prices have certainly changed he believes there are opportunities to supplement corn with other feedstock options.

    You can listen to my interview with him here:

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    You can also download the interview using this link (mp3).

    Transition To A Bio Economy Photo Album

    More On Ethanol Plant Location

    David PerkisOn the subject of locating a biorefinery we had another presentation on the subject here at the Transition To A Bio Economy conference. This one was by David Perkis, Purdue University.

    He says the purpose of his work is to answer questions that local decision makers have such as, Where to locate plants?, What do we have to prepare for?, What can we do to entice a plant to our area? and Do we have a chance? He says that factors in having an optimal location for an ethanol plant is access to sufficient corn stover and transportation distances.

    You can listen to my interview with David here:

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    You can also download the interview using this link (mp3).

    Transition To A Bio Economy Photo Album

    Is There a Biofuel To Food Price Link?

    Michael WetzsteinThe first speaker here at the Transition To A Bio Economy conference is Michael Wetzstein, University of Georgia. His talk deals with two issues. One is on price volatility and the other is on food and fuel. He’s one of 22 speakers on the program and all the talks are dealing with the biofuels issue. I’ll do my best to interview them all. So here we go.

    Michael says that gas price volatility can be avoided with fuel diversification by blending renewable fuels with fossil fuels. That’s what his research shows. He also suggests that we could relax gas taxes and reduce the tariff on the importation of Brazilian ethanol.

    Another part of his research is on food and fuel and to answer the question of “Is there a direct link between the volatility of ethanol production and the volatility of corn prices. His research has found that there is a link but not a persistent or long lasting one. In fact, in the long run he says there is no direct link.

    The bottom line he says is to produce more food. After talking to Iowa corn growers last weekend, I can say that American farmers are certainly doing their best.

    You can listen to my interview with Michael here:

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    You can also download the interview using this link (mp3).

    I’m also uploading pictures to a photo album which you can feel free to use if you’d like: Transition To A Bio Economy Photo Album

    Ethanol Car Runs Strong in Iowa

    Iowa Corn Indy 250This year’s Iowa Corn Indy 250 is over and as usual, ethanol won. Actually, Dan Wheldon, Target Chip Ganassi Racing won the race. You can see plenty of victory lane pictures in my photo album.

    However, I was rooting for Team Ethanol. They ran as high as 3rd place but according to driver, Ryan Hunter-Reay, they lost a gamble on fuel strategy. He ran a strong race all day and really wanted to finish on the podium in front of so many fans of ethanol but it wasn’t to be. He finished 8th though and maybe he’ll get some breaks to go his way next time.

    I’m out of here and heading home before getting on the road again tomorrow for the “Transition To a Bio Economy” conference in Berkeley, CA. See you from there.

    Don’t forget to check out my photo album from all the activities of the past few days.

    Iowa Corn Indy 250 Photo Album

    My Iowa Pace Car Ride

    Pace CarAfter today’s ethanol press conference the media were treated to rides out on the track in the Iowa Speedway Pace Car. I got to do one at Indy a couple years ago in a truck so this was different.

    Our driver was Davey Hamilton.

    Even though we only went about 95 mph, the curves were tough to deal with. As hard as I was pressing up against the door I was very glad to have my seat belt on.

    Iowa Corn Indy 250 Photo Album

    Getting The Inside Look at Ethanol

    Ethanol Press ConferenceWe had an inside look at ethanol press conference here at Iowa Speedway this morning. Participating were (l-r), Toni Nuernberg, EPIC, Craig Floss, Iowa Corn Growers Association, Mike Sobetski, LifeLine Foods and Troy Hobbs, Monsanto. They helped answer questions journalists here had about the fuel that’s burning in these IndyCars.

    You can see individual posts with each of them on our Domestic Fuel site. But if you’d like to listen in or download the audio for your own use, here’s the links:

    You can listen to Toni’s comments here:

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    Download it here.

    You can listen to Craig’s comments here:

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    Download it here.

    You can listen to Mike’s comments here:

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    Download it here.

    You can listen to Troy’s comments here:

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    Download it here.

    Iowa Corn Indy 250 Photo Album

    Practice Time at Iowa Speedway

    Iowa SpeedwayThe first practice session for the Iowa Corn Indy 250 is just about to conclude and Team Ethanol’s #17 car is doing very well. I’ve got another interview scheduled with him in about 45 minutes.

    Ryan Hunter-Reay clocked a practice lap at 181.676 mph and is currently 7th fastest. The track was heating up this afternoon as we have a sunny day, something people here in Iowa are very happy to see. There’s another practice session this afternoon and they’ll be back out tomorrow.

    We’re hoping to see Ryan crossing that finish line first on Sunday!

    Iowa Corn Indy 250 Photo Album

    Ryan Hunter-Reay Pumps Up Team Ethanol

    Ryan Hunter-Reay With Highway PatrolI finally got to meet the Team Ethanol driver, Ryan Hunter-Reay. Ryan was on hand at the Kum & Go pump promotion and posed here with the Highway Patrolmen who helped us with security and traffic and other drivers. He’s the tall guy on the left. Cindy and Laura have already had a chance to meet him. This is my first Indy race of the year though.

    Ryan says the Iowa race is very important, especially due to the connection to the corn growers here in the state. He says he’s learned so much from working with people in the ethanol industry, especially how it’s a real part of the solution to our energy crisis.

    You can listen to my interview with Ryan here:

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    Or watch it on this video:

    Iowa Corn Indy 250 Photo Album

    Talking Ethanol With Pioneer’s Russ Sanders

    Russ SandersPioneer Hi-Bred is sponsoring the Iowa Corn Indy 250 again this year and I spoke to Russ Sanders, Marketing Director, about how the company is involved. He’s pictured here (left) with Team Ethanol driver, Ryan Hunter-Reay and EPIC Director of Communications, Joanna Schroeder.

    Russ says that the company sees a great opportunity in the biofuels arena and their participation in this race provides them with a great opportunity to get the message out about the positive benefits of a fuel like ethanol.

    You can listen to my interview with Russ here:

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    Or watch it on this video:

    Iowa Corn Indy 250 Photo Album

    I’ll be out at the track today and through the weekend following along with EPIC and finding the ag angle to the most exciting racing there is.

    Pumping Hands And Gas

    Ryan Hunter-ReayConsumers in Ankeny, IA were treated to a little relief at the gas pump today when the Ethanol Promotion and Information Council teamed up with Kum & Go for a pre-race ethanol promotion.

    Regular (E10) was selling for $2.50/gallon and E85 was $1.85. I filled up my flex fuel van before I left.

    Four of the IndyCar drivers were on hand to help out including Team Ethanol driver, Ryan Hunter-Reay, pictured here, along with Ed Carpenter who is shaking hands with a lady who asked for their autographs.

    I’ll have interviews and more pictures to come. We just got finished with the promotion and are taking a break to get something to eat.

    Post Update: Here’s a link to the photo album I’ve started: Iowa Corn Indy 250 Photo Album

    EPIC Member Website Re-designed

    EPIC Member WebsiteWhile I’m on the subject of the Ethanol Promotion and Information Council, I realized that I’ve neglected to mention their newly designed member website.

    I think it’s a great example of how a “blog” can be your primary website. EPIC staff, (occasionally, Cindy and myself), easily and frequently update the website with fresh information that their members want and need to know. Members can subscribe to it and there are plenty of pages of information that are also updated easily and frequently. It’s another ZimmComm New Media blog project that we’re pretty proud of. Elizabeth Hilpipre, EPIC staff, is becoming a master blogger and loves her new iMac btw.

    Speeding To Iowa Corn Indy 250

    Iowa Corn Indy 250It looks like the flooding in Iowa has not affected things at the Iowa Speedway where I’m headed this afternoon for pre-race activities for this weekend’s Iowa Corn Indy 250.

    Iowa’s flooding disaster is not directly affecting scheduled events for the IndyCar Series weekend, June 20-22, at Iowa Speedway. The facility has immediate access to I-80 and is located on elevated ground near an adjacent airport. Racing fans who plan to attend the Iowa Corn Indy 250, especially those out-of-state, are encouraged to proceed with plans to attend the event.

    Over the next several days I’ll have some stories here, but mostly on our Domestic Fuel site. Our coverage of the activities is once again sponsored by the Ethanol Promotion and Information Council.

    Blogging the FEW

    Fuel Ethanol WorkshopThe 2008 International Fuel Ethanol Workshop is getting underway here in Nashville. One thing I have already noticed is the number of international visitors here. I met someone from Canada and a couple from India was ahead of me at registration and I have seen many more from various countries wondering around the resort wearing FEW badges. Seems like there are more than there were last year.

    Today most attendees are either playing in the golf tournament or taking in the pre-conference seminar on “First and Second Generation Ethanol Production.”

    The official kickoff for the conference will be at 5:30 p.m. with the opening of the Industry Expo in the Ryman Exhibit Hall featuring more than 600 exhibitors.

    Just started a photo album - not much in it so far but will be adding lots more by tonight.

    2008 Fuel Ethanol Workshop Photo Album

    Thanks to the Renewable Fuels Association for sponsoring our coverage of FEW. Check out frequent updates on Domestic Fuel and Good Fuels.org.


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