September 2013 Ethanol Producer Magazine

www.ethanolproducer.com

Co-location Offers Pathway to High-Value FuelsPage 30

Corn Oil Goes Advanced

SEPTEMBER 2013

h l d

PLUSGrain Storage

SafetyPage 44

Training for, Reacting to

Ethanol Spills Page 50

INSIDE: WHEN OHSA COMES KNOCKING

Step Upto the Plate

TELL CONGRESS TO DEFEND AMERICAN AGRICULTURE, RENEWABLE FUELS AND THE RFS.

Call your representatives and senators at (202) 224-3121

and urge them to protect the Renewable Fuel Standard.

It’s good for the economy, agriculture and our environment.

Visit GrowthEnergy.org/action for more ways to Step Up to the Plate and get involved.

® Registered trademark, Ashland or its subsidiaries, registered in various countries™ Trademark, Ashland or its subsidiaries, registered in various countries* Trademark owned by a third party© 2012, AshlandAD-11650

Each day offers the opportunity to transform the potential of your ethanol plant. Reinvent your performance

and growth potential with our advanced chemistries, unique application insights and practical expertise.

Together, we will transform multiple parts of your operation—boost corn oil yields, drive production

efficiencies and find inventive new ways to cut costs. Discover the full potential of your plant today.

See how good chemistry can work for you at ashland.com/ethanol

Open windows of opportunity with good chemistry.

Reinvent Potential.

4 | Ethanol Producer Magazine | SEPTEMBER 2013

SEPTEMBER ISSUE 2013 VOL. 19 ISSUE 9

CONTENTS

FEATURESDEPARTMENTS6 Editor’s Note Remarkably Innovative, Vigorously Responsible BY TOM BRYAN

7 Ad Index

10 The Way I See It Pioneers Get the Arrows, Settlers Get the Gold BY MIKE BRYAN

11 Events Calendar Upcoming Conferences & Trade Shows

12 View From the Hill RINs are Free BY BOB DINNEEN

14 Drive Batter Up: Step Up to the Plate for the RFS BY TOM BUIS

16 Grassroots Voice RINsane About Repealing the RFS BY BRIAN JENNINGS

18 Europe Calling Spread the Word About the Land-Grab Hoax BY ROB VIERHOUT

20 Business Matters Crystal Ball: Predicting 2015 Health Care Reform BY CHARLES P. STEVENS

22 Business Briefs

24 Commodities Report

26 Distilled

54 Marketplace

44 GRAIN HANDLING

Seconds to React Making grain bin storage safety a high priority BY CHRIS HANSON

Ethanol Producer Magazine: (USPS No. 023-974) September 2013, Vol. 19, Issue 9. Ethanol Producer Magazine is published monthly by BBI International. Principal Offi ce: 308 Second Ave. N., Suite 304, Grand Forks, ND 58203. Periodicals Postage Paid at Grand Forks, North Dakota and additional mailing offi ces. POSTMASTER: Send address changes to Ethanol Producer Magazine/Subscriptions, 308 Second Ave. N., Suite 304, Grand Forks, North Dakota 58203.

3030

50 EMERGENCY RESPONSEWhen Spills HappenPreparation helps save lives, environmental resources and moneyBY CHRIS HANSON

30 CO-LOCATION Harnessing Corn Oil Power Bolt-on technology converts corn oil to advanced biofuels BY HOLLY JESSEN

ON THE COVERBernie Hoffman and Jeff Murphy of WB Services look over plans for the renewable diesel facility under construction in Sedgwick, Kan. PHOTO: CHAUNCEY PHOTOGRAPHY INC.

36 PROCESS SAFETY Emphasis on Details, Documentation Ethanol plants are held to comprehensive process safety standards BY SUSANNE RETKA SCHILL

3636

4444 5050


EDITOR’S NOTE

REMARKABLY INNOVATIVE, VIGOROUSLY RESPONSIBLE

TOM BRYAN, PRESIDENT & EDITOR IN [email protected]

FOR INDUSTRY NEWS: WWW.ETHANOLPRODUCER.COM OR FOLLOW US: TWITTER.COM/ETHANOLMAGAZINE

Today, with nearly 80 percent of American ethanol plants extracting corn oil, our industry is a good-size fish in a not-so-big pond. The global demand for corn oil is growing, but is it developing fast enough to meet output and sustain prices? If not, will some producers consider opportunities to convert their corn oil to higher-value coproducts on site? It seems likely.

This month’s page-30 cover story, “Harnessing Corn Oil Power,” by EPM Managing Editor Holly Jessen, focuses on a Kansas-based company demonstrating the viability of co-locating biodiesel or renewable diesel production with ethanol facilities. As Jessen reports, WB Services is now ready to bolt on biodiesel or renewable diesel production capability to any corn ethanol plant that seeks it. Once integrated, the biobased diesel plant would run in tandem with the ethanol plant, relying on the same automation systems, the same infrastructure and essentially the same people. What’s so compelling about this corn-oil-to-higher-value-products offering is the fact that it’s a bolt on to a bolt on—new coproducts from relatively new byproducts—and another illustration of our industry’s ongoing quest to maximize the value of corn.

From there, we take this issue on an environmental health and safety (EH&S) fi eld trip, examining hazard analysis and recordkeeping, grain storage safety and emergency spill response. The fi rst piece in this EH&S lineup, “Emphasis on Details, Documentation,” on page 36, offers preparedness tips for unannounced OSHA drop ins. In the past three years, nearly 50 U.S. ethanol plants have been spot-visited by OSHA. Some inspections have yielded multiple violations and onerous fi nes, mostly for misunderstandings over rigorous process safety management rules. In this must-read for anyone responsible for ethanol plant compliance, safety and change management, EPM Senior Editor Sue Retka Schill tells us compliance isn’t just about avoiding process hazards but identifying potential problems and taking steps to prevent them from becoming risks.

Next, EPM Staff Writer Chris Hanson reports on grain engulfment prevention. Hanson’s story, “Seconds to React,” on page 44, tells us how engulfment happens—unexpectedly and in seconds—and why adequate safety equipment, procedures and rescue training saves lives.

Hanson continues with a page-50 feature on spill prevention, cleanup and emergency response. “When Spills Happen,” gives us an understanding of how ethanol plant emergency spill response service providers enable producers to prepare for and react to accidental discharges. We learn that responding to spills isn’t just about containment and cleanup but also employee safety and environmental compliance. An ethanol plant’s ability to react on the spot, if and when a spill occurs, is the result of thorough contingency planning and, as always, solid training.

SEPTEMBER 2013 | Ethanol Producer Magazine | 7

TM

EDITORIALPRESIDENT & EDITOR IN CHIEF

Tom Bryan [email protected]

VICE PRESIDENT OF CONTENT & EXECUTIVE EDITOR Tim Portz [email protected]

MANAGING EDITOR Holly Jessen [email protected]

SENIOR EDITOR Susanne Retka Schill [email protected]

NEWS EDITOR Erin Voegele [email protected]

STAFF WRITER Chris Hanson [email protected]

COPY EDITOR Jan Tellmann [email protected]

ARTART DIRECTOR

Jaci Satterlund [email protected]

GRAPHIC DESIGNERLindsey Noble [email protected]

PUBLISHINGCHAIRMAN

Mike Bryan [email protected]

CEO Joe Bryan [email protected]

SALES VICE PRESIDENT, SALES & MARKETING Matthew Spoor [email protected]

BUSINESS DEVELOPMENT DIRECTOR Howard Brockhouse [email protected]

SENIOR ACCOUNT MANAGERChip Shereck [email protected]

ACCOUNT MANAGERKelsi Brorby [email protected]

MARKETING DIRECTOR John Nelson [email protected]

CIRCULATION MANAGER Jessica Beaudry [email protected]

ADVERTISING COORDINATOR Marla DeFoe [email protected]

EDITORIAL BOARDMike Jerke, Chippewa Valley Ethanol Co. LLLP

Jeremy Wilhelm, Cilion Inc.Mick Henderson, Commonwealth Agri-Energy LLC

Keith Kor, Pinal Energy LLCWalter Wendland, Golden Grain Energy LLC

Neal Jakel Illinois River Energy LLCEric Mosebey Lincolnland Agri-Energy LLCSteve Roe Little Sioux Corn Processors LP

Customer Service Please call 1-866-746-8385 or email us at [email protected]. Subscriptions to Ethanol Producer Magazine are free of charge to everyone with the exception of a shipping and handling charge of $49.95 for any country outside the United States, Canada and Mexico. To subscribe, visit www.EthanolProducer.com or you can send your mailing address and payment (checks made out to BBI International) to: Ethanol Producer Magazine Subscriptions, 308 Second Ave. N., Suite 304, Grand Forks, ND 58203. You can also fax a subscription form to 701-746-5367. Back Issues, Reprints and Permissions Select back issues are available for $3.95 each, plus shipping. Article reprints are also available for a fee. For more information, contact us at 866-746-8385 or [email protected]. Advertising Ethanol Producer Magazine provides a specific topic delivered to a highly targeted audience. We are committed to editorial excellence and high-quality print production. To find out more about Ethanol Producer Magazine advertising opportunities, please contact us at 866-746-8385 or [email protected]. Letters to the Editor We welcome letters to the editor. Send to Ethanol Producer Magazine Letters to the Editor, 308 2nd Ave. N., Suite 304, Grand Forks, ND 58203 or email to [email protected]. Please include your name, address and phone number. Letters may be edited for clarity and/or space.

COPYRIGHT © 2013 by BBI International

Please recycle this magazine and remove inserts or samples before recycling

59 2013 National Advanced Biofuels Conference & Expo

38 2014 International Biomass Conference & Expo

58 2014 International Fuel Ethanol Workshop & Expo

41 2014 National Ethanol Conference

34 Aggreko

3 Ashland Hercules Water Technologies

42-43 BetaTec Hop Products

28 Buckman

53 Cashco, Inc.

60 DuPont Industrial Biosciences

21 DuPont Pioneer

26 Fagen Inc.

39 Ferm Solutions Inc.

17 Fermentis - Division of S.I. Lesaffre

47 Gamajet Cleaning Systems, Inc.

2 Growth Energy

23 Himark bioGas

AdIndex11 ICM Inc.

8-9 Inbicon

33 INTL FCStone Inc.

13 Lallemand Biofuels & Distilled Spirits

29 Mole Master Services Corp.

32 Nalco, an Ecolab Company

5 POET-DSM Advanced Biofuels

40 Premium Plant Services, Inc.

27 Salco Products Inc.

46 Seneca Companies

19 Sygenta: Enogen

22 Tower Performance, Inc.

52 United Sorghum Checkoff Program

15 Verenium - Ethanol

48 Vogelbusch USA, Inc.

35 Wabash Power Equipment Co.

But with Inbicon’s new all-sugar ferm, you’re on the fast track to cellulosic success. Inbicon has

Without The New Ethanol, E-10 is a dead end.

www.inbicon.com


THE WAY I SEE IT

Pioneers Get the Arrows, Settlers Get the Gold By Mike Bryan

Author: Mike BryanChairman, BBI International

[email protected]

Corn to ethanol has provided the necessary pathway to a strong renewable fuels program in North America. I think we can safely say that without the corn-to-ethanol program, we likely would not have a renewable fuels program, period.

In today’s hostile environment, corn seems to have gone from the darling of the dance to dregs of the dungeon in just a few short years. Yet it remains the pathway to the future. Without the corn-to-ethanol program, the renewable fuels industry is dead in the water. It appears the oil industry is also well aware of that fact, hence the onslaught of ridiculous invitees like Wendy's into the renewable fuels standard (RFS) debate. Seriously, come on, the RFS costs one Wendy’s franchise owner with four restaurants $120,000 per year? Do these people think we’re stupid? Apparently they do, because each claim is becoming more and

more unbelievable. Is anyone in Congress actually making them substantiate these crazy claims, or do they just take it at face value and say, “Wow, I didn’t realize that?”

Without the RFS, corn to ethanol is dead! Without corn to ethanol, at least for the present, the renewable fuels industry is dead. This is why the focus has been less on the actual use of ethanol, but more on the use of corn to make the ethanol. Corn, like it or not, has become the soft underbelly of our industry, yet it is our lifeblood.

In the years ahead, as cellulose, algae, sweet sorghum and other promising feedstocks emerge, corn will take its rightful place as the pioneer of this industry. As the saying goes, the “Pioneers get the arrows and the settlers get the gold.” Corn pioneered this industry and remains a vital part of our future. In time, however, as corn growers continue to fi nd other exciting avenues for development, it will become less and less of a target for the arrows fl ung by the dizzying array of archers bought and paid for by Big Oil.

Corn farmers have stood toe to toe with Big Oil over the past 30 years and won battle after hard-fought battle. Not because they were smarter, richer or better organized, but because they were and are on the right side of the issue. Agriculture, not Wendy’s, or some other oil industry fl unky holds the keys to the future.

So let’s be clear: While corn is taking the arrows, the real target is ethanol and the market share it’s taking from is oil.

That’s the way I see it.

EVENTS CALENDAR

National Advanced Biofuels Conference & ExpoSeptember 10-12, 2013CenturyLink Center OmahaOmaha, NebraskaProving Pathways. Building Capacity.Produced by BBI International, this national event will feature the world of advanced biofuels and biobased chemicals—technology scale-up, project fi nance, policy, national markets and more—with a core focus on the industrial, petroleum and agribusiness alliances defi ning the national advanced biofuels industry.866-746-8385 | www.advancedbiofuelsconference.com

Algae Biomass SummitSeptember 30 -October 3, 2013Hilton OrlandoOrlando, FloridaThis dynamic event unites industry professionals from all sectors of the world’s algae utilization industries including, but not limited to, fi nancing, algal ecology, genetic systems, carbon partitioning, engineering and analysis, biofuels, animal feeds, fertilizers, bioplastics, supplements and foods.866-746-8385 | www.algaebiomasssummit.org

International Biomass Conference & ExpoMarch 24-26, 2014Orlando Convention CenterOrlando, FloridaAll Things Biomass.Organized by BBI International and coproduced by Biomass Magazine, the International Biomass Conference & Expo program will include 30-plus panels and more than 100 speakers, including 90 technical presentations on topics ranging from anaerobic digestion and gasifi cation to pyrolysis and combined heat and power. This dynamic event unites industry professionals from all sectors of the world’s interconnected biomass utilization industries—biobased power, thermal energy, fuels and chemicals. 866-746-8385 | www.biomassconference.com

International Fuel Ethanol Workshop & ExpoJune 9-12, 2014Indiana Convention CenterIndianapolis, IndianaWhere Producers Meet.Celebrating its 30th year, the FEW provides the global ethanol industry with cutting-edge content and unparalleled networking opportunities in a dynamic business-to-business environment. The FEW is the largest, longest running ethanol conference in the world—and the only event powered by Ethanol Producer Magazine. 866-746-8385 | www.fuelethanolworkshop.com


There's absolutely no correlation between retail gas prices and ethanol renewable identifi cation number (RIN) prices. RINs are free. Let me repeat. RINs. Are. Free.

Ethanol producers are required to give RINs to refi ners and gasoline marketers when they purchase a gallon of ethanol. It’s simple. Buy a gallon of ethanol, get a RIN for free.

Today, as the renewable fuel standard (RFS) requirement drives ethanol demand beyond 10 percent blends, a thinly traded and opaque market for RINs is developing so that oil companies can trade RINs amongst themselves to ease compliance. Unfortunately, oil companies would rather drive up the price of RINs than invest in E85 pumps or allow the sale of E15.

Instead of blending to higher levels, Big Oil pulled out a play from their scare tactic playbook. They claim that rising RIN prices are being passed down to consumers and increasing gas prices at the pump. But facts can be nettlesome when you’re trying to mislead folks. You see, gasoline prices were actually falling

when RIN prices spiked in March, and gasoline prices have been falling again since early June while RIN prices have escalated. The correlation of RINs to gas prices since Feb. 1 has been -0.3, meaning that increasing RIN prices correlate best to decreasing gas prices!

At a recent U.S. House Energy and Commerce Subcommittee hearing on the RFS, I sparred with Jack Gerard, president of the American Petroleum Institute, over Big Oil’s false assertion that RINs are impacting gasoline prices. Curiously, the day after the hearing,

RIN prices plummeted. It seems rising RIN prices have a better correlation to congressional hearings than to gasoline prices! Hmmm.

Big Oil doesn’t like paying for RINs but the rational solution to their problem is obvious. Blend more ethanol.

Author: Bob DinneenPresident and CEO,

Renewable Fuels Association202-289-3835

VIEW FROM THE HILL

RINs are FreeBy Bob Dinneen

SOURCE: EIA & OPIS

$0.00

$0.20

$0.40

$0.60

$0.80

$1.00

$3.00

$3.20

$3.40

$3.60

$3.80

$4.00

January-13 February-13 March-13 April-13 May-13 June-13 July-13

RIN

Pric

e ($

/RIN

)

Reta

il Ga

solin

e Pr

ice(

$/Ga

l.)

2013 Weekly Retail Gasoline Prices and Daily RIN Prices

Retail Gasoline Price, All Grades (Le Axis)Ethanol RIN Price (Right Axis)

A Tradition of Industry Education

For 32 years, The Alcohol School has been educatingfuel ethanol and distilled beverage producers in thescience of alcohol production. The weeklong program is designed for lab, plant, and managementpersonnel and is organized around lectures, laboratory demonstrations, seminars, and plant visits.

The program will cover the process of ethanol andbeverage alcohol production from milling and mashpreparation through fermentation and distillation.Enzyme usage, yeast biology, bacterial contamina-tion and control will also be discussed, along withother issues currently affecting both industries.

Registration is open to fuel ethanol, distilled beverage, and allied industries. Now is a good time to invest in education.

Registration materials and additional informationare available online at www.lallemandbds.com

6120 W Douglas Ave | Milwaukee WI 53218 USA+1 414 393-0410 | Fax +1 414 358-8012

For More Information

MontréalInterContinental Montréal

September 15–20, 2013


DRIVE

Batter Up: Step Up to the Plate for the RFSBy Tom Buis

The renewable fuel standard (RFS) is the most important and innovative U.S. energy policy in the past 40 years. It has been the single most effective tool at encouraging the production of ethanol, which, as you know, is the only large-scale, commercially viable alternative to fossil fuels.

Since 2005, our industry has created and supported nearly 400,000 domestic jobs here at home that cannot be outsourced. Not only are we keeping more jobs at home, we’re keeping more money at home, too. We contribute more than $40 billion annually to our nation’s gross domestic product and are driving investment into new technologies and advanced biofuels. And, American ethanol has helped curb our dependence on volatile foreign oil markets from 60 percent in 2005 to 40 percent in 2012.

The numbers don’t lie. The RFS and homegrown American ethanol have made great contributions to our nation, boosting our economy, improving our national security and fostering future prosperity and innovation.

The attacks against our industry are growing day by day. Big Oil and its cronies have lined their coffers with years of absurd subsidies, reaping record profi ts while consumers get robbed at the pump. They’ll do anything to maintain their near-monopolistic grasp on the liquid fuels market.

The more our industry grows, the more we strengthen, the more nervous Big Oil will become. So, we call on you, our supporters and allies across the American ethanol and biofuels industries, to step up to the plate. While we can’t match Big Oil’s bank accounts, we have strength in numbers.

Help us grow our grassroots movement to fi ght back.

You know why our industry is successful and poised for huge growth. We’ve created the single most dynamic economic market in modern agriculture. We’re revitalizing our rural economies. We’re making our nation more energy independent. We’re saving our neighbors every time they fi ll up at the pump. We’re cleaning our environment and air for today and for future generations. Furthermore, it’s a success story to see younger generations return home to continue the legacy of their family farm.

But have your members of Congress heard this story? Your story? We ask you to share your experiences and tell the world why ethanol matters. Tell Congress why the RFS and fuels from the farm matter to you, to your community and to our nation.

Renewable fuels are reducing our dependence on foreign oil, creating jobs at home and improving our environment, all while providing consumers with a choice and savings at the pump. Big Oil will stop at nothing to block any competition from renewable fuels and prevent their success. That is why you must act and call today.

Author: Tom BuisCEO, Growth Energy

[email protected]

Step Upto the Plate

TELL CONGRESS TO DEFEND AMERICAN AGRICULTURE,

RENEWABLE FUELS AND THE RFS.

TAKE ACTIONCall your representatives and senators at (202) 224-3121 and urge them to protect the Renewable Fuel Standard.It’s good for the economy, agriculture and our environment.

Visit GrowthEnergy.org/action for more ways to Step Up to the Plate and get involved.

No negative effect on your corn oil yield,just a positive effect on your bottom line.

Reduced urea or ammonia usage

Reduced use of emulsion breakers

Improved corn oil production

Improved ethanol yield

Increased fuel ethanol yields

Reduced glucoamylase usage

Reduced chemical costs

Streamlined process

Better process and better profi tsmakes everyone happy.

Why take the good with the bad, when you don’t have to?

Verenium Corporation | 3550 John Hopkins Ct, San Diego, CA 92121

1.800.523.2990 or 858.431.8500 | Fax: 858.431.7273 | verenium.com | [email protected]

©2013 Verenium Corporation. Verenium, the Verenium logo, and Industry, Evolved. are trademarks of Verenium Corporation. Deltazym is a trademark of WeissBio Tech GmbH. Deltazym® APS is a registered product of WeissBio Tech GmbH and is distributed in the U.S. by Verenium.

Use enzymes that excel in your process — use Deltazym® APS Protease and Fuelzyme® α-amylase.


GRASSROOTS VOICE

RINsane About Repealing the RFSBy Brian Jennings

Congress returns to work in September with some proposing to “reform” the renewable fuel standard (RFS) by reducing it. As part of this effort, key lawmakers recently asked the American Coalition for Ethanol to help them understand what is responsible for higher renewable identifi cation number (RIN) prices. Our response was: You’re asking the wrong question.

Congress should be asking who is responsible for rising RIN prices and why. The answer is that refi ners are so RINsane about repealing the RFS and controlling 90 percent of the fuel market that they are willing to pay for RINs and block consumer access to E15, E30 or E85, just to avoid buying ethanol (which costs less than gasoline).

Talk about RINsane, data from the U.S. EPA indicates refi ners historically treat RINs as a reward for blending more ethanol than required by the RFS. Because ethanol has been less expensive than gasoline, for years most refi ners have blended signifi cantly more ethanol than their annual obligations. As a result, they’ve been able to keep an oversupply of RINs on hand to limit the potential for more ethanol use. Refi ners rolled 2.5 billion excess 2012 RINs over for compliance with the RFS in 2013. The current Big Oil hue and cry isn’t about RIN prices, it is fear of actual competition from blends above 10 percent ethanol and having to let market forces actually decide pump prices.

That oil companies have been willing

to pay $1 or more for a RIN, just to avoid buying ethanol at 70 cents per gallon less than gasoline and offering consumers safe and tested E15, should tell Congress everything it needs to know about the RFS. It is needed now, more than ever. And the lack of transparency in RIN trading leaves open the possibility that unscrupulous traders or refi ners could create skewed transactions for the purpose of manipulating the RIN market for fi nancial gain or to make a political point.

As I’ve written in this column before, frankly, RINs are further proof the RFS works. Petroleum marketers who blend ethanol with gasoline are also allowed to “separate” RINs from physical ethanol gallons. It requires more paperwork, but they’ve identifi ed an advantage in purchasing ethanol for much less than gasoline, acquiring a RIN on top of the ethanol savings, using some of the RIN to pay for new infrastructure for E15 or E85, and passing a signifi cant pump savings to consumers. Petroleum marketers are able to do what Big Oil suggests cannot be done—overcome the E10 blend wall—and they are doing so while saving consumers money.

Refi ners have choices. As with other arguments they use to attack the RFS, even the volume of gasoline sold in the U.S. is largely under their control. By refi ning fewer barrels of oil and exporting gallons that could be added to the domestic fuel supply, oil companies are unilaterally reducing their own opportunity to blend ethanol and receive the RINs that come with those gallons at no cost, and they are choosing not to provide enough

supply to the market to bring prices down. The fact that they are willingly spending more money and raising fuel prices by refusing to blend ethanol indicates the lengths oil companies are prepared to go to protect their continued artifi cial dominance in the marketplace.

Most ethanol opponents in Congress have rightfully concluded they don’t have the votes to repeal the RFS, so what of this effort to reform the RFS by reducing it?

We’ve got to be clear. Reducing the RFS below 10 percent of the U.S. gasoline market does not constitute reform of the RFS. It’s a capitulation to oil companies who don’t want consumers to have access to low-cost blends such as E15 and E85. Arbitrarily cutting the corn ethanol levels to satisfy demands of Tyson, Smithfi eld, and Perdue Farms, who feel entitled to cheap corn forever, does not constitute reform either. And, abandoning the cellulose portion of the RFS, when this promising fuel is at the cusp of commercialization and EPA has the tools it needs to make reasonable adjustments on its own, will drive investment overseas and prevent the U.S. from realizing further reductions in greenhouse gases.

Or, we could say it’s RINsane.

Author: Brian JenningsExecutive Vice President

American Coalition for Ethanol605-334-3381

[email protected]


EUROPE CALLING

Spread the Word About the Land-Grab HoaxBy Robert Vierhout

The United Kingdom Overseas Development Institute, an independent think tank, recently published a report on biofuel projects in fi ve developing countries, four in Africa and one in Asia.

The project was triggered because of the claims by several nongovernmental organizations (NGOs) that the European Union’s biofuel policy had resulted in major land grabs, especially in Africa and some parts of Asia, pushing people off their land and reducing the land available for growing food crops.

Action Aid, one of the most aggressive antibiofuel NGOs, claimed that a total of 50 million hectares of land had been grabbed for biofuel production. This fi gure was taken from a database called the Land Matrix that is compiled by the International Land Coalition. Fifty million hectares is the size of Spain.

This database, when published in 2012, received signifi cant media traction and the numbers taken from it were accepted at face value. One year later, we now know that the Land Matrix database is not very reliable.

Earlier this year, in its booklet “Myths and Facts about Bioenergy in Africa,” the NGO Pangea was the fi rst to raise questions on the reliability of the database. The program manager of the

ILC interviewed admitted that it was “very hard to verify data” and that they were very careful “not to describe any of their data as verifi ed.” Unfortunately antibiofuel advocates never indicate this reality when they make reference to the database.

The ODI work is stunning. When comparing several sources on land acquisitions associated with biofuel, the numbers vary substantially. For Africa, the numbers quoted are between 7.5 million and 18.8 million hectares. The researchers believe that the data is highly sensitive to the time period covered and the methodology used.

In the four African countries investigated by the researchers—Ethiopia, Mozambique, Tanzania and Zambia—fi eldwork showed that only 1.5 million hectares of land were allocated for biofuel production, which is less than half of the 3.1 million hectares cited in the database.

But the more shocking result from their work is that only “a tiny proportion (of that allocated land) is actually being cultivated.” For the four countries investigated, the total surface of land under cultivation is 26,600 hectares. Land for ethanol crops is less than 10 percent of that number: 2,280 hectares.

So, the total land allocation for biofuel production is a mere 226 square kilometers; just over one-third of the size of Madrid and less than 1 percent of the 3.1 million hectares that are supposedly allocated to biofuels.

One of their fi ndings also demonstrates what we, the biofuels industry, have always claimed: There

is no food vs. fuel controversy. “The fi ndings suggest that there is little basis for making strong statements that biofuel production in developing countries causes widespread undermining of food security through displacing food or competing for resources,” the report says.

These are important and far-reaching conclusions that should bring some sense back into the European debate on biofuels. Unfortunately, as often is the case: First wild accusations are made, covered broadly by the media, and then once the dust is settled and once the facts surface, there is total radio silence.

The ODI report did not gain any media traction. Maybe it was too painful for journalists to acknowledge that they have been reporting on a land-grab-for-biofuel hoax. The best way for NGOs and the politicians who support them unequivocally to save face is to ignore these fi ndings.

We know what to do next: spread the results and tell the world about the hoax.

Author: Robert VierhoutSecretary-general, ePURE

[email protected]

Enogen® corn trait technology is bio-engineered to improve ethanol plant efficiency and generate more ethanol per bushel of corn. It does this by drastically lowering both slurry and liquefaction viscosity, increasing the ability to load more solids.This provides the opportunity to maximize ethanol throughput and yield while reducing production costs by up to 10%1. Join the next revolution in ethanol production, call 877-4ENOGEN.

What if cornalready knewits destiny?

© 2013 Syngenta. Enogen®, the Alliance Frame, the Purpose Icon, and the Syngenta logo are trademarks of a Syngenta Group Company. MW 11CR2084-P1-R 1/13

1Based on 2007–2012 Syngenta Trials.

www.enogen.net


BUSINESS MATTERS

Crystal Ball: Predicting 2015 Health Care ReformBy Charles P. Stevens

Following certain plan design changes required by the law, major pieces of the 2010 Affordable Care Act were to go into effect starting in 2014. These included the insurance exchanges and the so-called individual mandate and employer mandate. However, on July 2, the Treasury Department announced that it would not enforce the employer mandate until 2015. Thus, employers of 50 or more full-time and full-time equivalent employees now have a one-year reprieve from pay-or-play. This announcement soon led to calls to delay the individual mandate. At the same time, we will soon learn how the insurance exchanges will look in terms of insurance products and prices, as the exchanges are anticipated to open their doors in October.

The Treasury Department stated that the employer mandate was delayed to address employer concerns that the reporting requirements are too complex. The delay is welcome and it is expected that clearer guidance will be forthcoming. However, even if rules are clarifi ed, the requirement that large employers must offer coverage to full-time employees in 2015 may still affect employer decision making in 2013 and 2014. Labor statistics, survey responses and news

reports indicate employers are hiring a higher percentage of part-time employees than before and that pay-or-play has had a role in this trend. The question is whether the one-year delay and the anticipated reduction in complexity will motivate employers to now hire more full-time employees.

Beyond dealing with the law’s complexity, employers are also faced with other long-term planning concerns, such as the cost of coverage that is offered to eligible employees, and how their competitors may modify their own workforces and plan designs. Employee benefi ts continue to be a strong component in attracting and maintaining the best employees. Moreover, how do employers who contemplate using more part-time employees and perhaps more leased employees ensure that the work will be done as effectively as with full-time employees? This is a challenging balancing act.

Similarly, uncertainty exists concerning the manner in which insurance carriers will engage in their own decision making. Insurance carriers who were interested in selling products on the state and federal insurance exchanges have already submitted bids for the various plan designs that will be available on the exchanges in 2014. However, if the individual mandate is delayed as the employer mandate was, it is anticipated that fewer uninsured but healthy individuals will be motivated to obtain coverage from the exchanges next year. Such a change in assumptions could cause carriers to want to modify the pricing of their exchange products. Although considerable resources have been expended in creating the exchanges, a delay in the individual mandate could signifi cantly affect their rollout later this year.

Our advice for employers is fi rst, continue to monitor news reports and other alerts to keep abreast of those elements of the law that affect your decision making. Second, because most employers are not insurance experts, communicate early and often with your consultants. Understand that while brokers may know about pricing and available plan designs, an employee benefi ts attorney will be better suited to advise about strategies for compliance, taking pricing and design into account. Third, be nimble; engage in long-term planning to the extent required but think in terms of alternative possibilities and ranges. Understand that diffi culty in making budget projections will be the “new normal” for some time to come. Through all of this, the goal is to attract and maintain the best employees by offering coverage they value. Thankfully, for many employers, the delay in the employer mandate will temporarily relieve some of this pressure and allow more time for strategic planning.

Author: Charles P. Stevens, Attorney, Michael Best & Friedrich LLP

[email protected]

RIGHT FEEDSTOCK. RIGHT VALUE.Learn how getting the right product on the right acre can mean increased profi ts for you.www.pioneer.com/biofuels www.dppgraindesk.com

The DuPont Oval Logo is a registered trademark of DuPont.®, TM, SM Trademarks and service marks of Pioneer.DPPSM is a service mark of Farms Technology.All purchases are subject to the terms of labeling and purchase documents. © 2013 PHII. ENDUS026520P238AVAR2

More Ethanolper BushelMeasuring

the Results

Access to Grain Markets 24/7

BetterGrain Quality

PioneerQualiTrak®

System

DPPSM

Grain Desk


United Wisconsin Grain Producers LLC, a 60 MMgy plant near Friesland, Wis., is offering its employees a fl exible fuel vehicle (FFV) program that provides employees with $2,500 to support the purchase of a new or used FFV. The program is designed to pro-vide UWGP employees with an incentive to purchase a vehicle capable of using higher blends of ethanol, thereby increasing aware-ness and consumption of renewable fuels.

CPM, a supplier of process engineering, process equipment and aftermarket parts for the biofuels, oilseed, animal feed and food processing industries, has appointed Todd Fierro as Crown Companies general manager. Fierro fi lls a new executive manage-

ment position responsible for global coor-dination of all sales, operations, engineering, strategy, and administrative functions. He will be based in Roseville, Minn., and will report to CPM CEO Ted Waitman. Most recently, Fierro served as president of Oshkosh Corp.’s commercial segment, focusing on new prod-uct introduction and strategic development.

Poet-DSM Advanced Biofuels LLC has hired Michael Nealon as its new corpo-rate controller. He is responsible for planning, organizing, directing and controlling the con-solidated accounting and fi nancial reporting function for Poet-DSM. Prior to joining

Poet-DSM, Nealon spent more than 11 years at Glacial Lakes Corn Processors, where he fi rst worked as a controller, and most recently served as fi nance manager. While employed at Glacial Lakes, he established the company’s account-ing system and procedures. Nealon also has accounting and fi nance experience in the real estate, credit card and gaming industries.

Stoel Rives part-ner Graham Noyes is transferring his prac-tice to the fi rm’s Sac-ramento, Calif., offi ce. He represents clients involved in conven-tional and advanced biofuels, as well as for-estry, agricultural, and solid waste-to-energy projects, and biogas projects involving anaerobic digestion, ther-mo chemical gasifi cation, and other advanced technologies. Noyes has extensive experience with the federal renewable fuel standard and California’s low carbon fuel standard. He is also a well-known speaker and writer on re-newable energy credits and renewable identi-fi cation numbers.

DuPont and the National Corn Grow-ers Association have announced a new pro-gram to develop corn farmers for agricultural leadership opportunities. The NCGA Du-Pont New Leader Program will help to em-power growers to share their story of their farmers and the benefi ts of a robust agricul-ture system with key audiences, including con-sumers, media and decision makers.

People, Partnerships & Deals

BUSINESS BRIEFS

Nealson has more than 10 years of experience in the ethanol industry.

Fierro brings diverse leadership experience to Crown Companies.

Noyes has extensive experience in the biofuels and bioenergy sectors.

Dan Wegner, right, UWGP commodities manager, is presented with a check for his purchase of a 2013 Ford Focus FFV by Carl Benck, UWGP president.


Sponsored by

BUSINESS BRIEFS

Germany-based CropEnergies AG has acquired U.K.-based ethanol producer En-sus Ltd., which operates a 400 MMly (105.7 MMgy) wheat ethanol plant in Yarm, Eng-land. CropEnergies intends to invest more £50 million ($76.82 million) to improve the competitiveness of the plant, and intends to restart once essential maintenance work is completed.

Fuels America coalition members have announced the launch of a new ad campaign. The ads highlight the fact that there is a choice when it comes to our energy future, and that our nation does not have to be beholden to oil’s monopoly over the gasoline supply and the negative impacts that entails.

The U.S. Senate has voted to approve Gina McCarthy’s nomination to lead the U.S. EPA by a vote of 59 to 40. Prior to her nomination, McCar-thy served as assistant administrator for the EPA’s Offi ce of Air and Radiation. She replaces

former Administrator Lisa Jackson, who re-signed in December.

Chemtex International Inc. and Mur-phy-Brown LLC have signed a long-term agreement for the supply of purpose-grown energy crops and residues to be used as cel-lulosic feedstock in Project Alpha, Chemtex’s cellulosic ethanol facility planned for Clin-ton, N.C. The agreement covers a number of feedstocks to be grown on approximately 6,000 acres of land owned or controlled by Murphy-Brown. The crops will be grown on acreage not typically used for grain produc-tion. Final execution of the agreement is con-tingent upon achieving fi nancial closure for the project.

Flint Hills Resources LLC has an-nounced an agreement with Platinum Etha-nol to acquire its 100 MMgy Arthur, Iowa, ethanol plant. The transaction is expected to close later this year, and the purchase price has not been disclosed. Once the purchase is complete, Flint Hills will own six ethanol plants, fi ve of which will be located in Iowa.

USDA Secretary Tom Vilsack and U.S. DOE Secretary Ernest Moniz have appointed Kevin Kephart as the new committee co-chair of the Biomass Research and De-velopment Initiative Technical Advisory Committee. Kephart, vice president of research and development at South Dakota State University, will serve as co-chair beside former Mississippi Gov. Ron-nie Musgrove. The committee is made up of 32 volunteers from industry, academia, non-profi t organizations and local government who discuss and work with technical issues involving energy and agriculture.

Poet LLC has hired Rob Walther as di-rector of federal affairs, tasked with opening a Poet offi ce in Washington, D.C. He will rep-resent Poet and highlight the value of domes-tic, renewable biofuel in talks with members of Congress, their staff and federal agencies regulating renewable fuels.

ICM Inc. has signed a contract with In-dustria Paraguaya de Alcoholes S.A. for the sale of an evaporator and dryer system at its plant in Nueva Esperanza, Paraguay. Inpa-sa was founded in 2006 to produce fuel etha-nol derived from several feedstocks including sorghum, corn and sugarcane.

Especially when it comes to PROFIT. That’s why integrating a Himark bioGas plantwith your ethanol plant makes so much sense.

OUR PATENTED,

INTEGRATED

allowing you to

INCREASE ETHANOL OUTPUT BY UP TO 10%,cut your gas or electrical costs

and meet or beat EPA and

LCFS benchmarks. Soif you’re looking for the Himark in economicreturn from your ethanolplant, look no further.

Integrated bioRefineryTM

,

approach forms an

12 Greenway PlazaSuite 1100 | Houston TX 77046

Tel: 1 855 8HIMARK (1 855 844 6275)e-mail: [email protected]

SHARE YOUR INDUSTRY BRIEFS To be included in Business Briefs, send information (including photos and logos if available) to: Business Briefs, Ethanol Producer Magazine, 308 Second Ave. N., Suite 304, Grand Forks ND 58203. You may also fax information to 701-746-8385, or email it to [email protected]. Please include your name and telephone number in all correspondence.

Representatives of the ethanol industry have applauded McCarthy’s approval.

Kephart has expertise in biobased projects and fuels.


Aug. 1—It takes roughly 28,000 Btus of natural gas to produce 1 gallon of ethanol and dry the associated distillers grain. Based on current natural gas market prices, the cost is 0.112 cents per gallon of ethanol produced. A few years ago when natural gas market prices were considerably higher, the fuel cost per gallon was over 25 cents per gal-lon. Natural gas costs for a 100 MMgy ethanol production plant are more than $10 million lower today than in 2008. Much, if not all, of the drop-in natural gas prices and consequent lower operating costs can be directly attributed to increased natural gas production made pos-sible from newly developed horizontal drilling and hydraulic fracturing (HDHF) techniques.

Opponents of HDHF have contended through a variety of fo-rums that hydraulic fracturing, in particular, presents unreasonable risks to the water supply. A quick Google search produces a long list of prob-lems “documented” in numerous geographic locations. In fact, there is even a big-budget Hollywood fi lm called “Promised Land” focused on the perils brought on by the industry. Of course, the oil and gas industry

maintains that HDHF is safe in all respects including no ground water contamination.

Missing in discussions regarding the safety of HDHF have been facts derived from long-term scientifi c study. Fortunately, some facts are starting to emerge and it looks good for industry. An Associated Press article states “a landmark federal study on hydraulic fracturing, or fracking, shows no evidence that chemicals from the natural gas drilling process moved up to contaminate drinking water aquifers at a west-ern Pennsylvania drilling site.” The study included a year of monitoring tagged fl uids used in the drilling process. The fl uids remained thou-sands of feet below drinking water.

As more study is done and the public gains more confi dence in HDHF techniques, it’s likely that more areas will be opened for HDHF oil and gas development and increased production levels. HDHF may be here to stay as are the fi nancial benefi ts that accrue to energy con-sumers.

Natural Gas Report

Corn Report

Hydraulic fracturing may be here to stay BY CASEY WHELAN

New corn crop prospects looking bright BY JASON SAGEBIE

COMMODITIES

Aug. 1—The market has seen liquidation as new crop prospects seem to improve. Old crop corn was relatively tight but high basis lev-els seemed to promote movement allowing cash values to collapse in late July. In July, the USDA supply and demand report decreased old crop corn carryout by 40 million bushels to 729 million bushels. Live-stock feed demand increased by 50 million bushels; however, imports increased by 10 million bushels. Overall ethanol demand is still expected to consume 4.650 billion bushels. The tight carryout from the drought last year has kept old crop supplies limited and basis levels have been aggressive for most of the year and this summer.

New crop corn has been interesting. The planted acreage number was placed at 97.4 million acres. Traders expected to see the acreage prospects decrease due to wet weather in the spring. Yield prospects of 156.5 bushels per acre will concede to just shy of a 14 billion bushel crop. In return, the demand is projected to be 12.75 billion bushels com-pared to 11.2 billion bushels last year. The ethanol sector is projected to consume 4.9 billion bushels, the livestock sector 5.15 billion bushels, and exports 1.25 billion bushels, which was lowered from 1.3 billion bushels previously. This would place new crop carryout at 1.959 billion bushels or a 15.4 percent carry out-to-use ratio.

The graph illustrates the current projected USDA carryout-to-use ratio. The current estimate would be the highest fi gure the market has

seen since the 2005-’06 marketing year. Therefore, this is keeping pres-sure on new crop prices and allows for a lower yield (lower production) to keep traders feeling comfortable with the potential supply/demand scenario today. Threats to this crop still will be weather but even more so if we utter the words “frost talk” as we go into the fall, since this crop was planted late.


DDGS Report

Ethanol Report

DDGS prices influenced by corn as well as protein prices BY SEAN BRODERICK

Weak corn prices eroding ethanol support BY RICK KMENT

REPORT

DDGS Prices ($/ton)

LOCATION SEP 2013 AUG 2013 SEP 2012

Minnesota 225 230 290

Chicago 255 263 295

Buffalo, N.Y. 255 229 282

Central Calif. 287 286 344

Central Fla. 275 270 299SOURCE: CHS Inc.

Natural Gas Prices ($/MMBtu)

LOCATION AUG 1,2013 JUL 1, 2013 JUL 1, 2012

NYMEX 3.56 3.57 2.92

NNG Ventura 3.71 3.52 3.23

CA Citygate 3.93 3.73 3.27SOURCE: U.S. Energy Services Inc.

Regional Ethanol Prices ($/gallon) Front Month Futures (AC) $23.0444

REGION SPOT RACK

West Coast 2.964 3.074

Midwest 3.153 3.639

East Coast 2.886 2.979SOURCE: DTN

Regional Gasoline Prices ($/gallon) Front Month Futures Price (RBOB) $2.228

REGION SPOT RACK

West Coast 2.460 2.850

Midwest 2.280 2.670

East Coast 2.325 3.020SOURCE: DTN

Corn Futures Prices (Sept. Futures, $/bushel)

DATE HIGH LOW CLOSE

JULY 30, 2013 4.97 1/4 4.89 1/2 4.95 1/2

JUNE 28, 2013 5.74 1/4 5.40 1/2 5.47 1/4

JULY 30, 2012 8.23 7.99 3/4 8.20 SOURCE: FCStone

Cash Sorghum Prices ($/bushel)

LOCATION JUL 26, 2013

JUN 27, 2013

JUL 20,2012

Superior, Neb. 5.52 6.65 7.31

Beatrice, Neb. 5.62 6.72 7.65

Sublette, Kan. 5.70 6.52 8.11

Salina, Kan. 5.30 6.80 7.63

Triangle, Texas 5.77 6.77 8.24

Gulf, Texas 5.41 5.91 7.46

SOURCE: Sorghum Synergies

U.S. Ethanol Production (1,000 barrels)

PER DAY MONTH END STOCKS

MAY 2013 877 27,197 16,810

APR 2013 855 25,662 17,645

MAY 2012 894 27,718 21,851SOURCE: U.S. Energy Information Administration

Aug. 1—Ethanol futures prices moved sharply lower through the month of July following a strong shift of aggres-sive liquidation through the corn market. The grain market turned sharply lower at the end of July based on improving weather conditions and noncommercial traders quickly backing away from the ag-gressive pricing previously put in the corn complex.

With front-month corn futures now breaking below $5 per bushel and inven-tory levels of ethanol growing steadily over the past three weeks, ethanol prices are having a hard time fi nding a sense of

stability. Front-month August ethanol prices are still trading at a premium based on expected summer driving demand through the next month but prices have fallen nearly 30 cents per gallon over the past two weeks. At the same time, gaso-line prices are still holding on to strong gains based on slipping inventory levels across the country. After all of the drama and focus on tight ethanol supplies that drove prices through the fi rst half of the year, traders have reverted back to lower corn prices, which allowed for widespread weakness to develop in ethanol markets at the end of July.

Aug. 1—Heading into August, the market is still trying to decipher what the immense drop in August corn basis is going to mean long term. Until re-cently, there was still a lot of question as to whether plants were going to be able to economically source corn for August and September. Now, corn is cheaper, but ethanol is as well, so the question re-mains, but now for different reasons.

The price drop has vindicated the hand-to-mouth domestic buyers. They felt as though it had to come eventually and they still feel as though there is more to come. Export container buyers have continued their steady demand, as they need to keep the pipeline full. The drop in DDGS container prices is nowhere near the drop seen in cash corn, a fact

that will more than likely catch up with the distillers markets. Still, plants have been locking in deferred margins with sales as well, as DDGS netbacks to some plants are well over the 100 percent level of local cash corn.

Looking ahead, DDGS prices will continue to be infl uenced not only by corn, but also by protein prices, which have also been under pressure lately. De-mand for distillers grain containers does not look as though it will abate but con-tainer supply for the fall and winter will be affected additionally this year by soy-bean and corn exports as well, potentially affecting shipping prices. With much of the old-crop, new-crop inverse question in the past, the market focus will start to shift toward logistics and timing.

DISTILLED Ethanol News & Trends

The International Energy Agency has released its second annual Medium-Term Re-newable Energy Market Report, predicting that world biofuel production will increase from 1.86 million barrels per day in 2012 to 2.36 million barrels per day in 2018. If the pre-diction is correct, biofuels will account for 4 percent of global road transportation fuel de-mand in 2018.

Ethanol is expected to remain the domi-nant biofuel in 2018, with 1.81 million bar-

rels per day of production. Within the U.S., the IEA expects ethanol production to reach 853,000 barrels per day in 2013, increasing to 979,000 barrels per day in 2018. Production in Brazil is expected to reach 436,000 barrels per day this year, and increase to 536,000 barrels per day in 2018. Ethanol production is also expected to increase in Europe, from 67,000 barrels per day in 2012 to 100,000 barrels per day in 2018.

IEA predicts global ethanol production increase

John Deere has introduced a fl ex-fuel model to its ZTrak line of commercial lawn mowers, the Z925MFlex Fuel. It is compatible with all fuels rang-ing from E0 to E85. The 24.6 horsepower mower is available with either 54- or 60-inch blades.

The mower is powered by an aluminum block, air-cooled, vertical shaft, electronically fuel-injected engine. According to Chase Tew, product marketing manager for John Deere Commercial Mowing, the engine’s improved horsepower, torque and fuel effi -ciency is a result of a closed-loop electronic fuel sys-tem that uses an oxygen sensor to continuously moni-tor oxygen levels in the exhaust gas.

“The fl exibility to run machines with fuel blends ranging from straight gasoline up to 85 percent etha-nol will appeal to customers who want to be more green, burn less fossil fuel, and still have multiple fuel options available,” said Tew.

Flex-fuel mower enters marketplace

Ethanol production (in 1,000 of barrels per day)

SOURCE: INTERNATIONAL ENERGY AGENCY

2012 2013 2014 2015 2016 2017 2018

United StatesCanadaBrazil

864 853 921 955 975 977 97929 31 31 35 33 29 26386 436 452 492 519 530 536

DISTILLED

Abengoa begins operations at demo plant Abengoa has inaugu-

rated a 1.5 MMly (396,258 gallon per year) demonstra-tion facility in Babilafuente, Salamanca, Spain. The plant features Abengoa’s Waste-to-Biofuels (W2B) technology, which produces cellulosic ethanol from municipal solid waste (MSW) via a fermenta-tion and enzymatic hydrolysis treatment.

The plant has the capac-ity to treat up to 25,000 tons of MSW. During the fuel pro-duction process, the organic matter that enters the facility is treated to produce organic fi ber rich in cellulose and hemicellulose, which is sub-sequently converted into ethanol. According to Abengoa, the technology can help prevent more than 80 percent of waste from being landfi lled.

“This plant once again highlights Aben-

goa’s commitment to technological research and innovation, which has enabled it to maintain a competitive advantage in its sectors, leading projects with huge technological potential and programs that involve world-leading research centers and strategic partners,” said Abengoa CEO Manuel Sánchez Ortega.

Demonstrating Progress Abengoa’s plant in Babilafuente, Spain, is converting MSW into ethanol.

Carbo Analytics was awarded a $150,000 U.S. DOE grant for the development of a sugar analysis system under the Small Business Innovation Re-search program. The system aims to provide a rapid determination of accessible C5 and C6 sugars in a biomass sample.

According to Carbon Analytics, it has part-nered with CEM Corp., a developer of microwave digestion systems, to prepare biomass samples. The combined solution is expected to allow biofuel op-erators to fl ag potential feedstock programs, and facilitate suppliers in developing and supplying the highest value products.

“These funds enable us to get the joint solu-tion in the hands of biofuel operators even sooner,” said Thomas Reilly, chief technical offi cer at Carbo Analytics, which was one of 79 companies selected from 750 applications to receive fi scal year 2013 funding under the program.

Sugar analysis system wins funding

18”, 20” & 24” Sizes

Salco Products Inc.1385 101st St., Suite A Lemont, IL 60439 ph 630-783-2570 22311 Hufsmith-Kohrville Rd. Tomball, TX 77375 ph 281-351-0274

www.salcoproducts.com

1983 2013 Celebrating 30 Years Of Success

In accordance with C-lll Appendix A 4.10.3

Salco’s non-cycling design removes the ability to relieve pressure

and entrap foreign particles which create leak paths.

A full face gasket as the primary seal eliminates the use of

o-rings and o-ring related NAR’s.Available in FDA Nitrile, EPDM, Viton, Butyl and Polysulfide

Our gaskets have been independently tested and proven to provide greater

overall compression as well as a more uniform seal on the manway nozzle.

18”, 2

AvaiVViton

Salco Manway Nozzle Gaskets Help Combat NAR’s

eenendiddixx AA 4.10.33

ves the ability to relieve pressure

Non-CyclingVacuum Relief Valve

* Threaded, tamper evident style shown. Flanged connection and filter screens also available.

An annual biofuels report fi led with the USDA Foreign Agricultural Service Global Information Network predicts that the Canadian ethanol production will increase by approximately 4 percent this year. Canadian ethanol plants are expected to produce approximately 1.98 billion liters (523.06 million gallons) of ethanol this year, up from 1.09 billion liters in 2012. Produc-tion is projected to increase further in 2014, reaching 2.01 billion liters.

According to the report, 15 ethanol plants are expected to be operational in Canada this year, representing a combined capacity of more than 1.8 billion liters. The report estimates that approximately 99 per-cent of that capacity is currently in use.

In 2013, Canadian producers are ex-pected to use corn as feedstock for 78 per-cent of the ethanol used, with 21 percent derived from wheat. Corn oil production has also increased in recent years, reaching 96,000 metric tons last year.

DISTILLED

The 420 MMly (110 MMgy) Vivergo Fuels Ltd. wheat-to-ethanol plant in Hull, U.K., began opera-tions in July. The plant, a joint venture between AB Sugar, BP and DuPont Industrial Biosciences, was built for more than $448 million.

The plant’s annual production capacity is equiv-alent to one-third of the U.K.’s current ethanol de-mand. The facility will also produce 500,000 metric tons of distillers grains annually, enough to feed about one-fi fth of the U.K.’s diary herd.

Praj Industries Ltd. provided the license for the technology as well as basic engineering and some equipment, including the core process block of lique-faction, fermentation, distillation, multi-effect evapo-ration and molecular sieve dehydration. According to Praj, the highly effi cient facility features a unique integrated distillation, dehydration and evaporation system, which reduces energy consumption, including a 30 to 40 percent reduction in water and steam use.

Wheat ethanol plant opens in Hull, UK

Canadian ethanol production to increase

Canadian coproduct prodction (in 1,000 metric tons)

Distillers dried grains2009 736

2010 923

2011 1,037

2012 1,329

2013 1,375

2014 1,383

Corn Oil2009 46

2010 63

2011 74

2012 96

2013 99

2014 99

ESTIMATED

FORECAST

ESTIMATED

FORECAST

SOURCE: USDA FAS GAIN REPORT: CANADA, BIOFUELS ANNUAL, 2013

The Challenge. Calcium oxalate (beerstone) fouling was elevating evaporator steam pressures and hampering production. The result was higher maintenance costs along with more frequent CIPs, increased hydroblasting, higher sulfuric acid usage and resulting employee exposure.

The Solution. After evaporator cleaning, Buckman began applying Bulab 8301 advanced chemistry to the thin stillage effectively inhibiting new deposition and reducing steam pressures.

The Savings. saving $187,000

saving $82,500$175,000

Total Annual Savings: $454,500

Find out more.To learn more about our Bulab 8301 evaporator deposit control program, or to discuss any other production issues you may have, contact your local Buckman representative.

Evaporator costs got you steaming? Reduce your pressure.

How a fuel ethanol plant saves more than $400,000 per year with Bulab® 8301 from Buckman.

Commitment makes the best chemistry.©2013 Buckman Laboratories International, Inc.

DISTILLED

The U.S. EPA has issued a supplemental fi nal rule under the renewable fuel standard (RFS) that fi nalizes cellulosic pathways for bio-fuels made from giant reed and napier grass feedstock. The rule contains a life-cycle green-house gas (GHG) analysis of biofuels made from these feedstocks and establishes a system of registration, recordkeeping and reporting requirements designed to address concerns over the invasive potential of napier grass and giant reed.

Through a separate rulemaking process, the EPA is also establishing a fuel pathway for ethanol produced from barley. In mid-July agency published a notice of data availability that outlined its analysis to qualify barley as a feedstock for two categories of fuel under the RFS; conventional renewable fuel that meets the 20 percent greenhouse gas (GHG) reduc-tion threshold, and advanced biofuel that meets the 50 percent GHG reduction threshold.

EPA approves, proposes new fuel pathways

Woodland Biofuels has announced it will re-ceive up to $800,000 in funding from the Canadian government under the Federal Economic Develop-ment program. The money will be used to operate and optimize its demonstration-scale plant in Sarnia, Ontario.

The funding comes in the form of a loan, with what President and CEO Greg Nuttall called “fa-vorable repayment terms,” through the Investing in Business Innovation initiative.

Woodland Biofuels’ Catalyzed Pressure Reduc-tion technology can be used to produce cellulosic ethanol utilizing a variety of feedstocks. The com-pany plans to test different feedstocks at its demon-stration plant, which is in the commissioning phase.

"Our government recognizes that innovation holds the key to long-term economic stability for the people, communities and businesses of Ontario," said Parliament member Pat Davidson. "Our invest-ment in Woodland Biofuels will lead to opportunities for job creation, growth and long-term prosperity in Ontario, and will strengthen Canada's position as a global leader in clean energy."

Woodland Biofuels gainsdemonstration plant loan

GHG emissions (per mm Btu fuel)

SOURCE: U.S. EPA

Nitrogen fertilizer

N20

Phosphorus fertilizer

Potassium fertilizer

Herbicide

Insecticide

Lime

Diesel

Electricity (irrigation)

Giant reed (kgCO2e)

1

4.8

0.6

0.4

0.03

0

0

1.4

1

Napier grass (kgCO2e)

2.4

7.6

0.1

0.2

0.6

0

2.9

2.2

2.7

Potassiumfertilizer

0.4 0.2

Insecticide 0 0

Diesel 1.4 2.2


CO-LOCATION

Progress Report Construction workers assemble the WB Services renewable diesel facility. The facility is expected to be completed in the fourth quarter. PHOTO: CHAUNCEY PHOTOGRAPHY INC.


CO-LOCATION

A Kansas-based company is offering two bolt-on options for ethanol producers looking to turn crude corn oil into biodiesel or renewable diesel. BY HOLLY JESSEN

Harnessing Corn Oil POWER

It’s no secret that revenue from corn oil ex-traction has been key in keeping many ethanol plants producing in recent times of tight mar-gins. It accounts for an increasing portion of total revenue as the majority of ethanol plants have now adopted and optimized the technology to extract the coproduct, also known as distillers corn oil. Bernie Hoffman, vice president of business develop-ment and minority owner of WB Services LLC, says that, ac-cording to those in the know, by the end of the year or early next year it’s estimated that about 80 percent of U.S. ethanol plants will be recovering corn oil. That’s a big market.

Now, WB Services is offering ethanol producers a way to turn corn oil into high-value fuels on site. The company has


CO-LOCATION

two separate technologies, both commer-cially available now, that call for co-location of either a biodiesel or renewable diesel facility with an existing ethanol plant. “We think this just adds another arrow to the quiver for an ethanol plant as far as diver-sifying their product mix and insulating them against tough times,” Hoffman says. Rachel Overheul, engineering manager for WB Services, agrees. “It brings a lot of po-

tential market value to the ethanol plant, as opposed to being dependent on the corn oil market,” she adds.

The company has built and is operat-ing a 2 MMgy biodiesel plant and is in the process of completing construction on a 3 MMgy renewable diesel facility, both in Sedgwick, Kan. Although neither facility is co-located with an ethanol plant, both serve as a showpiece for potential customers in-

terested in co-location. “They can come and see the technology at work, feel com-fortable with the way they operate,” says Ron Beemiller, company president and CEO.

WB Services has two additional rea-sons for building the facilities, he adds. For one, they are commercially viable, even factoring in the cost of purchasing corn oil at market value and transporting it in from elsewhere. Co-locating also has many advantages, however, including on-site production of the feedstock, lowered capital expenditure and use of existing infrastructure. Although WB Services has talked to companies interested in build-ing the facilities as stand-alone plants, its main focus is on working within the etha-nol industry. “We think that the highest value location is co-located,’” Beemiller says.

The third, and possibly most impor-tant, purpose of the biodiesel and renew-able diesel plants is continued research and development. Built next door to the WB Services offi ce, the company’s engi-neering staff is continuing process devel-opment and process improvement proj-ects. “That’s kind of perpetual around here,” he says. “That never stops.”

Although both facilities are designed specifi cally for corn oil as the feedstock, the technology is feedstock fl exible. “You can use almost any organic oil or grease,” Beemiller says. “There are a few restric-tions, but not many.” And, although the facility is designed to use 100 percent of the corn oil production at the co-located ethanol plant, the technology offers the fl exibility needed so the company could choose to go to other feedstocks when corn oil values go up.

From construction to commission-ing, the biodiesel facility takes about six to eight months to build. The renewable diesel facility, on the other hand, goes up in about 12 to 14 months. Although the economics are very attractive for both plants, Hoffman says the biodiesel facility has a lower per-gallon construction cost than the renewable diesel facility.

The return on investment or payback

Increase Recovery with Nalco’s Corn Oil Separation AidNow you can increase your corn oil yield by up to .3 lb / bushel. With Nalco’s GR-8109 Plus Separation Aid, yield goes up and extraction system variability goes down.

© 2013 Ecolab USA Inc.Ecolab is a trademark of Ecolab USA Inc.Nalco and the logo are trademarks of Nalco Company

GR-8109 Plus is also enhanced with Nalco’s monitoring, automation and control technology.

This program works on all corn oil extraction centrifuges, and is Generally Recognized as Safe (GRAS) for beef, poultry and swine.

Before After

And, crude corn oil quality is significantly improved


ABOUT ETHANOLWE’RE ALL

At INTL FCStone, we’re all ethanol, all the time:

Clearing and Execution Services

Online Margin Look-Up

Risk Management Consulting

With customers in more than 100 countries around

the world, and wide-ranging expertise in interest

rate and currency risk management, we’ve got you

covered no matter where you are or what you need.

To learn more about what we can do or you,

contact us today.

We’ve provided advice,

information for our ethanol and biofuel customers

Renewable Fuels | Ethanol Group

Commodity trading involves risks, and you should fully understand those risks before trading.

FCStone, LLCRenewable Fuels Group

2829 Westown Parkway, Ste. 100West Des Moines, IA 50266

800-422-3087, ext. 3728

execution services and

since day one.

CO-LOCATION

period will vary, of course, depending on future commodity prices. However, WB Services estimates it’s about two years or less for both the biodiesel and renewable diesel facilities. “We would hope it would be quicker but in most people’s books, a two-year payback on a capital investment is pretty good,” Hoffman says. “If you improve on that, hallelujah.”

Getting There Beemiller purchased the business

that is now WB Services in late 2006, af-ter working at ICM Inc. for more than six years. The core business offers ethanol producers and other renewable industries a variety of plant and optimization ser-vices. Beemiller and Hoffman are former co-workers who started work at ICM in the same week. The two kept in touch af-ter leaving ICM, working on a few proj-ects together and, as corn oil extraction grew, comparing notes on technologies for biodiesel production from corn oil, Hoffman says, adding that he came on board at WB Services later, as the com-pany grew. “We saw corn oil as a potential coproduct stream that, in the short term, was very profi table for the plants but we thought long term there were probably higher-value products that could be cre-ated,” Beemiller says.

The search for a good corn oil-to-biodiesel technology took several years. “We kissed a lot of the proverbial frogs,” Hoffman says. It was during that search that the renewable diesel technology was discovered. Then, through an existing relationship the company had with No-vozymes, they learned about a project in Denmark, for which Novozymes was developing an enzymatic process for corn oil-to-biodiesel. The company was look-ing for a partner to take it from the labo-ratory to commercial application, he says, and ended up signing a commercialization agreement.

The biodiesel technology can run ei-ther as a traditional biodiesel plant, with the acid esterifi cation and transesterifi ca-tion production steps, or the enzymatic process, Beemiller says. Unlike most other

'We saw corn oil as a potential coproduct stream that, in the short term, was very profi table for the plants but we thought long term there were probably higher value products that could be created.'

Ron Beemiller, company president and CEO of WB Services, on the company’s search for high-value uses for corn oil


CO-LOCATION

biodiesel technologies, which are limited in the amount of corn oil that can be pro-cessed, this technology was specifi cally designed around the higher free fatty acid content of corn oil and doesn’t have those limitations. “Typically most standalone biodiesel plants can run between 10 and 20 percent corn oil and the rest has to be some other, much lower FFA feedstock to blend it down,” he says, adding that the technology utilized by WB Services does not require pretreatment.

Integrating the bolt-on biodiesel plant with an ethanol plant is quite easy, Hoff-man says. The facility is tied into the etha-nol plant’s distributed control system and, to cut down on the need for spare parts, uses the same brand of pumps, valves, motors and other components. “It’s a very comfortable operation,” he says. “For an ethanol plant, it looks and feels a lot like making ethanol.”

Another benefi t is that very few ad-ditional staff are needed to handle the biodiesel production facility. Existing op-erators and maintenance staff can run it with only the addition of a brew master,

who is in charge of making sure the batch-es are completed properly. “We’re pretty confi dent that you can bolt on a biodiesel plant and probably only add one or two people,” Hoffman says.

The renewable diesel facility produces a true drop-in fuel that is molecularly iden-tical to petroleum-based diesel. It meets the standard for ASTM D975 fuel. “The only way to tell the difference is to carbon date the fuel,” Beemiller says.

In contrast to the biodiesel facility, ethanol producers won’t be as familiar with

Going Advanced A 3 MMgy corn-oil-to-renewable diesel facility is under construction in Sedgwick, Kan. WB Services LLC offers ethanol producers two co-location opportunities, bolt-on biodiesel or renewable diesel technology.

PHO

TO: W

B SE

RVI

CES

LLC

'It’s a really great opportunity to take a byproduct, the corn oil, and turn it into something with much higher value.'

Rachel Overheul, engineering manager for WB Services

888.869.2108 coolingtower.com

Rising temperatures call for COOLING ASSURANCE

Aggreko is the global leader in rental cooling tower systems.

Supplement existing tower for colder water

Complete tower replacement

Displace costly chiller operation

Improve overhead condenser vacuum

Boost cold water flow

Ask about our performance guarantee.

RENTAL SOLUTIONS 24/7/365 Service Cooling Towers Pumps Chillers Heat Exchangers Engineered Solutions


CO-LOCATION

the renewable diesel plant components or production process. “[It’s] a more compli-cated process, but the integration is more elegant,” Hoffman says.

The process is energy long, mean-ing it actually produces excess energy that can be used to power the facility in addi-tion to the coproduct naphtha and a small amount of water. The fuel gas produced, a mix of propane and butane, can be used to displace natural gas use. For a facility producing between 2 and 2.5 MMgy of re-newable diesel, an excess of 5 to 6 MMBtu per hour of fuel gas could be used for power generation, Overheul says. Produc-tion of naphtha, which can be used as a denaturant for ethanol, would range be-tween 310,000 and 370,000 gallons a year. While neither the fuel gas nor naphtha production are enough to totally displace the plant’s natural gas or denaturant needs, integrating those coproducts into the etha-nol plant would certainly save the facility money.

Which production facility an ethanol producer is interested in will depend on their needs and comfort level with new technology. “Honesty I think it’s a win, win whichever technology you choose,”

Overheul says. “So it’s just which technol-ogy or capital expenditure you’re more comfortable with laying out. It’s a really great opportunity to take a byproduct, the corn oil, and turn it into something with much higher value.”

There are lots of benefi ts for etha-nol producers that add either technology, Hoffman agrees. First, the facility will have an opportunity to generate D5 advanced biofuel renewable identifi cation numbers, or RINs. In addition, both are considered very low-carbon intensity fuels, as it relates to the Low Carbon Fuel Standard. That’s likely only going to grow in relevancy as other states besides California are con-sidering implementing a LCFS, Hoffman says. Finally, there’s the reality that ethanol producers are facing increasing criticism right now. “One of things we like about biodiesel and renewable diesel is there doesn’t seem to be the blending push-back,” he says. “The market seems more receptive to the diesel fuels than they do ethanol.”

Author: Holly JessenManaging Editor, Ethanol Producer Magazine

701-738-4946 [email protected]

Going Up Interested parties are able to tour the site of the renewable diesel plant, shown here, as well as the biodiesel plant, which is currently in operation.

PHO

TO: W

B SE

RVI

CES

LLC

••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••

•••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••••

•••••••

•••••••••••••••••••••••••••••

••••••••••••••••••••••••••••

•••••••••••••••••••••••••••••

BOILERSSELL•RENT•LEASE

IMMEDIATE DELIVERYCALL:800-704-2002

24 / 7 EMERGENCY SERVICE

wabash444 Carpenter Avenue, Wheeling, IL 60090

POWEREQUIPMENT CO.

10HP TO 250,000#/hr250,000#/hr Nebraska 750 psig 750OTTF

150,000#/hr Nebraska 1025 psig 900OTTF


150,000#/hr Nebraska 350 psig



80,000#/hr Erie City 2000 psig 800OTTF





20,000#/hr Erie City 200 psig

10-1000HP Firetube 15-600 psig

ALL PRESSURE AND TEMPERATURECOMBINATIONS SUPERHEATED

AND SATURATED

RENTAL FLEET OF MOBILETRAILER-MOUNTED BOILERS

75,000#/hr. Nebraska 350 psig

75,000#/hr. Optimus 750 psig 750°TTF





75-300HP Firetube 15-600 psig

ALL BOILERS ARE COMBINATION GAS/OIL

ENGINEERING • START-UP

FULL LINE OF BOILER AUXILIARYSUPPORT EQUIPMENT.

Electric Generators:• 50KW-30,000KW

WEB SITE: www.wabashpower.com847-541-5600 • FAX: 847-541-1279

E-mail: [email protected]


PROCESS SAFETY

PHOTO: SUSANNE RETKA SCHILL


PROCESS SAFETY

Process safety management requires comprehensive hazard analysis and records. BY SUSANNE RETKA SCHILL

A good process safety management (PSM) program in an ethanol plant is thorough down to the details, in-cluding a diagram of every pipe, valve and sensor, show-ing model and make—the pipe and instrument diagram (P&ID). Backing that up are fi les of process safety information (PSI), including, but not limited to material safety data sheets (MSDS). There’s also SOPs, MIPs, the PSSR, MOC and PHA to consider.

“A producer would be wise to have someone who understands all of those acronyms and what they mean,” says Charles Palmer, a partner with the law fi rm Michael Best and Friedrich LLP. While ethanol producers know well that an accident or complaint can trigger an inspection by the Occupa-tional Health and Safety Administration, in the past two years, OSHA has also randomly selected several plants for inspection. Since November 2011, OSHA has had a national emphasis program on process safety management.

Though ethanol plants are small compared to mammoth oil refi ner-ies or petrochemical manufacturers, they are held to the same comprehen-sive process safety standards. There is one big difference. “One of the nice things about the ethanol industry is that it is a relatively new area of energy production,” says Greg Dale, a partner with Faegre Baker Daniels LLP. “As an industry, it’s relatively new compared to petroleum. We’re dealing with newer equipment, more modern technology and, associated with that, more modern safety parameters built into the system.”

A search of the OSHA database for records involving ethyl alcohol manufacturers shows that, indeed, older facilities generally have the most violations. Over the past three years, the number of violations per plant ranged from just one to the highest at 17, with most being less than fi ve violations. The penalties ranged from just under $1,000 to nearly $10,000

Emphasis on

DETAILS, DOCUMENTATION


PROCESS SAFETY

per violation. The initial penalty was almost always reduced. In 2011, 23 plants were inspected and in 2012 another 15. Ten plants were inspected through June of this year.

The database reveals that in the 12 inspections conducted be-tween October 2011 and September 2012, there were 77 violations and a total of $160,000 in penalties. By far, the largest category was for process safety management violations, at 37, accounting for $113,000 in penalties. The other categories trailed far behind, with six violations on permit-required confi ned spaces and fi ve citations each for respi-ratory protection, hazard communication and general requirements. Other categories received one or two citations each.

“The guys that got fi ve citations, but who really put a lot of work into their PSM and felt they had their ducks in a row and were really on top it, were surprised that they got fi ve citations,” Palmer says. “You’re talking about people who take a lot of pride in what they do, and one citation is too much.” It can be challenging, too, to explain the fi nes to a board of directors, he says. “But there’s hundreds of differ-ent ways you can be cited under the PSM standard and it’s unusual that if OSHA is doing a PSM inspection you don’t get a citation.”

The PSM standard requires a thorough examination of all po-tential safety issues in a process hazard analysis (PHA) that must be reviewed every fi ve years at a minimum by a plant’s PSM committee. Standard operating procedures (SOPs) must be written for every part of the process, complete with safety protocols. Organizational charts are needed that show employee roles and responsibilities, and records must be kept to document that employees are properly trained and informed on safety procedures. Process safety information (PSI) must be available for each component of the system, including, but not lim-ited to material safety data sheets (MSDS). The P&ID must be kept

current, showing every process component, and a mechanical integrity program (MIP) in place that insures equipment is regularly inspected and properly maintained.

The management of change (MOC) process demonstrates the sort of detail and thoroughness required. Palmer uses the example of replacing a tank. “A committee sits down and says here’s the material in the old tank, the valves in the old tank and the features of the old tank that were put in here to provide these safety factors. The new one is different in these fi ve ways: Do they provide all of the old safety features? Will they provide more? Will it interact properly with the rest of the system? People on the committee pick apart potential problems

Inspection Trigger An accident can mean an OSHA inspection of an ethanol plant. But, for the past two years, OSHA’s national emphasis program on process safety management has provided another reason for OSHA to come knocking.

PHO

TO: S

USA

NN

E R

ETKA

SC

HIL

L

866-746-8385 | [email protected] | #IBCE14 Follow Us: twitter.com/biomassmagazine

March 24-26, 2014Orlando, FLwww.biomassconference.com

At the 2013 event in Minneapolis …96% of exhibitors made valuable contacts

100% of the exhibitors positively rated the quality of the entire conference

94% of exhibitors would recommend this conference

Biomass Power & Thermal | Pellets | Biogas | Advanced Biofuels

The Largest Biomass Conference in North America


PROCESS SAFETY

and there’s notes being taken.” The MOC fi le for that change to the process should include documentation that the manufacturer agrees that the features on the new tank are equal to or superior to the old, he says, and that features on the new won’t interact adversely on other parts of the process.

Another problematic area can be the prestartup safety review (PSSR), which documents that new systems are properly installed and all pertinent operating, maintenance and safety procedures are valid and in place and employees are properly trained. While such a compre-hensive requirement for a new plant, or newly installed system, seems achievable, the standard applies all the way back to when the plant was initially built. “The frustration is I can’t recreate history,” Palmer ex-plains. “I can’t, as the person in charge today, go back and correct the things that weren’t done yesterday.” He has seen cases where OSHA wants to go back several years, even to startup. “You can imagine if you have to have every valve, every pipe, every tank, what model, what make, what number, and all the details that are in the system, and you can’t take the system apart and fi nd those things if it wasn’t done right initially.” It is particularly frustrating on acquisitions, he says. “The cur-rent ownership and management is being held responsible for the sins of the past.” There has been some success, through not conclusive, with legal challenges seeking a statute of limitations for OSHA, he adds.

With such a daunting standard, what are managers to do if they are concerned about holes in their PSM program?

A number of engineering fi rms include safety in their consulting services and several companies specialize in safety program manage-ment. Many plants manage their safety programs in-house, but rely on these contractors for regular safety audits to help in identifying problem areas.

TRAIN

MOC

P&ID

MIP

SOP

PSI

PSSR

Process hazards analysis that shows the plant’s process safety management (PSM) committee, including management and employees, has evaluated all potential safety hazards. PHAA prestartup safety review that verifies new systems were properly installed and all pertinent operating, maintenance and safety procedures are valid and in place.

Process safety information is available and complete for all systems, including material safety data sheets (MSDS) and other documentation.

Standard operating procedures are written up for each system that includes proper safety procedures along with other necessary information.

A mechanical integrity program is in place to ensure key equipment is receiving proper maintenance, including pressure vessels and storage tanks, piping and vent systems, controls, pumps and emergency shutdown systems, among others.

A piping and instrument diagram that shows every process component, and includes make and model.

Documentation on management of change that shows every change made to the process has been evaluated for its impact on safety.

Training schedules and documentation that every employee has received the proper training.

Required PSM DocumentationThe list of tasks for a process safety management program is comprehensive and includes such things as:

Fermentation Products &Technical Services

859.402.8707www.ferm-solutions.com [email protected]

Naturyl 100%

Antibiotic Free The industry‛s first true natural antimicrobial withbroad spectrum control and no effect on yeast!

FermPro G The industry‛s first true heat tolerant yeastthat produces glucoamylase for cost savings!

Visit our Booths 3016 & 3017 for more information!


PHO

TO: W

HIT

NEY

CU

RTI

S

PROCESS SAFETY

Palmer says on occasion, managers ex-press concern that such audits will provide a roadmap for a future OSHA inspector. Involv-ing an attorney can shield some information under attorney/client protection, he says. Part of a PSM program, though, is demonstrating that employers are regularly assessing process hazards, identifying potential problems and taking steps to fi x them.

Palmer has other pointers for ethanol producers. When OSHA comes knocking, the employer has the right to know why they are there, he says. “If an employee complains about a forklift being unsafe, the goal is to take them to that forklift and show them the fork-lift is not unsafe and close the inspection at that point, rather than it expanding into PSM, grain handling and a wall-to-wall inspection.”

If an ethanol producer negotiates a settle-

ment with OSHA to reduce penalties, Palmer recommends the producer get a list of specifi c steps needed to address the violation that can be checked off as they are completed.

It is important to know that the average OSHA inspector is not qualifi ed to do a full PSM inspection, he adds. “If you are prepared, you’ve got your documentation, your manuals, you’ve got a person who is knowledgeable and is on the ball with respect to PSM, who shows signifi cant training and knows the answers and is prepared in an organized fashion to lay out those answers—the inspector is likely to ac-cept the documentation and may want to look at one component of the process, but not do a full blown inspection.”

Having an inspection expand to full-blown will require OSHA to bring in a quali-fi ed PSM team leader, he adds. “These are

individuals who have worked in the chemical or petroleum industries and they are very fa-miliar with large refi neries. They will expect an extreme amount of detail in process safety management, and will be looking under ev-ery rock. If there’s a valve missing on your P&ID, you’re going to get a citation for it. If your diagram doesn’t show everything—you can imagine if it’s not drawn to the absolute detail—multiple citations for that. Anytime you made a change and you didn’t go through change management, a citation for that.”

When asked whether such detailed PSM standards are considered onerous, Dale re-plies, “They are. They do require a great deal of employer attention. They were set out that way.” Process industry facilities are very com-plex, he points out. “You have various forms of energy coming together—electrical, ther-mal, mechanical—all in a combined process. Unless there’s an organized method in which you track things like maintenance and review hazards, things tend to get away from some employers.” While good documentation can be onerous, he admits, it helps with address-ing issues before they become a problem or an incident. “World history is replete with examples. By the very nature of these facili-ties, if something goes wrong, it can go cata-strophically wrong.”

Both attorneys say the ethanol industry is proactive and genuinely concerned with providing safe work environments. “OSHA has the ability to factor into its penalty the good faith of the employer,” Dale says. In the view of the inspector, “is this an employ-er that seeks to do the minimum or is this a very comprehensive program? It’s audited regularly and any issues that are identifi ed are promptly rectifi ed. Those kinds of things can have an effect on penalty levels and just over-all perspective of OSHA as to whether this is an employer that means business about the health and safety of workers.”

Author: Susanne Retka SchillSenior Editor, Ethanol Producer Magazine

[email protected]

(888) 549-1869 premiumplantservices.com

DRY ICE BLASTING

HYDROBLASTING

INDUSTRIAL VACUUMING

SURFACE CHEMICAL CLEANING

SANDBLASTING

SPONGEBLASTING

TUBE BUNDLE AND HEAT EXCHANGER CLEANING

count on us to keep your pl ant cle an.

Get back to full operating efficiency with cleaning experts who understand your needs.

JW Marriott Orlando Grande Lakes | Orlando, Florida | NationalEthanolConference.com

YOUR CALE NDAR!

FEBRUARY 17-19, 2014

Put BetaTec® natural hop extracts to work in your fermentationprocess to replace antibiotics and enhance yeast propagation.IsoStab® is the natural way to effectively control gram-positivebacteria while eliminating antibiotics and harsh chemicals. Plus,antibiotic-free DDGS adds value to your co-products. VitaHop®

Silver yeast nutrient enhances yeast performance and vitality,inducing faster fermentations and larger yields. Combined withBetaTec® fermentation expertise and training, these technologieswill significantly increase your plant’s efficiency.

More efficient fermentation is just a hop away.

+ =

5185 MacArthur Blvd., Suite 300 | Washington, DC 20016-33441T: 202-777-4827 F: 202-777-4895 | www.betatechopproducts.com

Ethanol yield increase up to 3.2%

Increase is statistically different from control

More consistent fermentations

Yeast cell counts increase up to 30%

Yeast viability improvement 2-5%

Faster fermentation kinetics 2-4%

30% aqueous solution of isomerized hop acid extract

• Selective against gram

positive bacteria (Lactobacillus,

Leuconostoc, Pediococcus,

Bacillus, and Lactococcus)

• Hop acid extracts are safe,

GRAS & Kosher Certified

• Antibiotic-free DDGS

A formulation of inactivated yeast, amino acids, vitamins and other ingredients

• Yeast Growth Enhancer

• Yeast Protectant

• Impact: Higher yeast cell count

and viability, ethanol yield

improvement & faster

fermentation kinetics

IsoStab® Technology

VitaHop® SilverTechnology

Highlights of 20 Plant Trials

Plant Efficiency Formula

BetaTec®…the natural hop to higher profits. For more information specific to fuel ethanol producers,

visit www.bthp.info.


GRAIN HANDLING

Emergency Preparedness Kansas Fire and Rescue Training Institute provides instruction to fi re departments and local grain companies. Here, students use the 35-foot rescue trailer to simulate a grain engulfment rescue. PHOTO: KU Kansas Fire & Rescue Training Institute


GRAIN HANDLING

Combatting grain engulfment accidents with proper equipment, procedures and training. BY CHRIS HANSON

Seconds to React

Grain storage safety is a top-priority is-sue for ethanol producers such as Highwater Ethanol LLC. “One thing I tell my employees,” says Brian Kletscher, CEO, “is if there is any question at all if an employee should be doing something, they need to stop and talk it over and go through it. We don’t want to have to call their family and tell them there has been an accident at Highwater. We want them to go home the same way they showed up to work that day.”

Grain engulfment is currently the leading cause of death inside grain bins, and the U.S. Occupational Safety and Health Organization reports the number of incidents has increased, doubling between 2006 and 2010. More re-cent studies, including one completed by Bill Field, a pro-fessor at Purdue University, found that in 2011 no fewer than 30 incidents across farms and commercial grain han-dling facilities were reported.

GRAIN HANDLING

The good news, however is, more thorough safety procedures, fi rst respond-er training and expanded public awareness of grain engulfment are having a positive impact. Field’s research found that in 2011, the ratio of fatal-to-nonfatal incidents de-creased 69 percent. By 2012, the number of documented entrapments had dropped to 19, a 37 percent decrease from the year before.

Engulfment can occur in one of three ways. One scenario involves a person standing on the surface of fl owing grain inside a silo. Once the grain begins fl ow-ing, the worker has roughly four seconds to react before he or she becomes com-pletely immobilized by the surrounding material. Within 22 seconds, the person can become completely covered.

The most common engulfment situ-ation occurs when workers attempt to loosen grain that has crusted and bridged, restricting the fl ow of grain. Bridging can occur when grain has more than 15 per-cent moisture content or mold causes grain to begin spoiling and clumping, forming a crust that stretches across a bin, Kletscher says. Underneath the crust lie potential voids, especially if the bin has been partially emptied. These can unex-pectedly collapse beneath a worker, trap-ping him in seconds.

Field found in his research that the primary cause of entrapment situations in 2011 was victims trying to dislodge crust-ed grain while the unloading equipment was running. Similarly, dislodging steep piles of grain along the sides of a bin can trigger avalanches and bury unsuspecting workers.

Once engulfed, the trapped person experiences what is described as being squeezed by a constrictor. Glenn Prib-benow, director of the Kansas Fire and Rescue Training Institute from the Uni-versity of Kansas’ Continuing Education program, explains that with each exhale, the surrounding material fi lls in the space

around the chest and prevents lungs inhal-ing to their full capacity, leading to suffo-cation.

Equipment and ProceduresEngulfment scenarios can be fright-

ening to consider for any plant with on-site storage. However, providing adequate safety equipment and better fi rst respond-er training and enforcing OSHA-approved practices are just a few of the ways engulf-ment dangers are being addressed.

The OSHA safety standard for grain handling requires that employers provide annual training and specifi c procedures to guarantee a safe work environment. Shane Rasset, a safety manager at Highwater Eth-anol, agrees that training is crucial. “I’d say that either lack of training or lack of haz-ard information would probably be one of the big reasons why accidents happen,” he says.

Before a person can enter a grain storage bin, an employer must ensure all mechanical, electrical, hydraulic and pneu-matic equipment that may pose a threat are de-energized, disconnected or prevented from accidental operation. Next, the envi-ronment inside the bin must be tested for combustible gases and oxygen content. If the oxygen content does not meet a 19.5 percent threshold, respirators are required. Ventilation is mandatory if the environ-ment contains more than 10 percent com-bustible gas. Additionally, the employer has to ensure the entering worker will not be walking down grain to make it fl ow or entering underneath bridging grain, prac-tices that are prohibited by OSHA. Once those criteria are met, the employer may permit a worker to enter.

“Inside a grain storage bin, it can be very dangerous,” Kletscher says. “We, generally, would not allow anybody to go inside the grain bin unless they’re com-pletely tied off and can be winched out.” The company prefers that no one enter the bin at all, he says.

800-369-5500www.senecaco.com

Seneca Companies is

the Ethanol Industry’s

“Complete Solution”

24-Hour Emergency Spill Response

Water Blasting to 40K PSI

Dry Ice Blasting

Wet / Dry Industrial Vacuum Pumping

Confined Space Entry

Sewer & Conduit Jetting

Environmental, Health & Safety Services

Waste Water Consulting

Shutdown / Turnaround Cleaning

Site Remediation & Cleanup

Waste Transportation & Disposal

EH&S Compliance Services


GRAIN HANDLING

If there is suffi cient grain that may pose an engulfment hazard, the agency requires a work-er to be equipped with a body harness with a lifeline or utilize a boat-

swain’s chair to ensure the employee will not sink any

deeper than the waist. At Highwater, a worker will use a

tripod to lower another worker through the top in order to clear

grain that may have accumulated along the bin walls.

In addition to the safety equipment, a second employee acts as a point of contact for the bin worker. This observer maintains a line of com-munication with the person in the bin and is trained in rescue operations. Therefore, if an incident were to oc-cur, the observer can assist in dig-ging out the worker from waist-deep grain or call for help, if needed. Kletscher says Highwater’s observ-ers are equipped with two-way ra-dios to maintain contact with both the person in the bin and the con-trol room. He adds the company’s safety manager is in the vicinity as well.

Rescue TrainingEven when adequate safety

equipment and training are provided, Suited Up Shane Rasset, safety manager at Highwater Ethanol LLC, demonstrates some safety equipment for bin entries.

LMB

PHO

TOG

RAP

HY

'I’d say that either lack of training or lack of hazard

information would probably be one of the

big reasons why accidents happen.'

Shane Rasset, safety manager at Highwater Ethanol LLC


GRAIN HANDLING

accidents can still occur. Therefore, OSHA requires facilities to have suitable rescue equipment on hand. Some fi rst responders and grain industry employers are developing emergency response equipment and train-ing classes, such as the grain engulfment rescue training program developed last winter by the KFRTI. Pribbenow explains the class was created after the institute was approached by a group that was trying to meet grain rescue training needs. The group included the Kansas Cooperative Council, Kansas Grain and Feed Association and the Kansas Farmers Service Association.

The one-day class acts as a beginner’s course in addressing the most common res-cue methods and the lengthy task of res-cuing a person in an engulfment situation. Pribbenow explains the fi rst half of the training day focuses on OSHA regulations, prevention and grain bin rescue procedures and practices. During the afternoon ses-sion, the class then practices with KFRTI’s 35-foot rescue trailer, which was developed to simulate engulfment rescue scenarios.

Created around the same time as the class, the trailer contains a grain bin, hop-per and storage compartments for tools and

materials. Once assembled, the class learns and then demonstrates rescue methods and bin cutting techniques in an open-top hopper and models used for cutting. After-ward, they apply their knowledge at a larger, closed-top bin to simulate the tighter condi-tions that occur in real-life scenarios. In ad-dition to playing the role of rescuers, Prib-benow says the students also play victims by becoming engulfed up to their waists. This makes the students more empathetic to the victims by understanding how diffi cult it is to escape those conditions.

Rescue methods to extract an engulf-ment victim are not a quick process. Prib-benow explains rescuers cannot simply pull a victim from the grain. He says to pull someone buried chest-deep in grain would require 1,200 to 1,400 pounds of force, which would cause serious harm to the vic-tim’s body. Therefore, the most common rescue method is to use coffer dams to dig a victim out.

The coffer dams form a perimeter around the victim and can be made of almost any material, from a repurposed 55-gallon drum to special interlocking, alu-minum walls. The rescue tubes used by

KFRTI are from Missouri-based KC Sup-ply Co. Inc.

Jeff Lavery, owner of KC Supply, ex-plains the tubes are fi rst lowered into the bin in either four or six sections, depending on the size of the opening. The fi rst section is placed perpendicular on the uphill slope of the grain to prevent more material from sliding down and burying the victim even further. Next, the other sides of the tube are slid into the grain, interlocking with the fi rst piece. After the tube is assembled, res-cuers may start excavating the grain inside the tube to relieve pressure on the victim. He adds the bottom of the tube initially only goes 18 inches beneath the grain’s sur-face; therefore, it can be pushed down us-ing external handles to gradually move the tube downwards as more grain is removed around the victim. Lastly, once the pressure is decreased enough, rescuers can help the victim out of the grain for medical treat-ment.

Author: Chris HansonStaff Writer, Ethanol Producer Magazine

[email protected]

Vogelbusch USA, Inc. www.vbusa.com (713) 461-7374

PROCESS ENGINEERING, EQUIPMENT SUPPLY, AND CONSULTING SERVICES

A HISTORY OF EXCELLENCE FOR OVER 90 YEARS

Increase Sales & Stay Top of Mind in 2013

Place Your Name on the Wall!

Fall 2013

Reach ethanol industry professionals

Deadline: September 23, 2013Contact us at 866-746-8385 or [email protected]

Ethanol Producer Magazine’s Fuel Ethanol Plant Map identifies conventional and cellulosic ethanol plants in the U.S. and Canada. Color coded for quick reference, the map indicates both conventional sugar/ starch facilities and cellulosic ethanol facilities, showing installed capacity, plants under construction, as well as proposed plants. The minimum size to be included on the list is 1 MMgy. Listings include name of facility, city, state, feedstock and capacity.

The map is distributed to the following: All Ethanol Producer Magazine subscribers

All ethanol production facilities

All attendees of the National Ethanol Conference


EMERGENCY RESPONSE

Prepared plant operators are trained to quickly and efficiently react in the case of a chemical accident. BY CHRIS HANSON

WHEN SPILLS HAPPEN

Prevention comes first, but in the event of a product or chemical spill, proper planning and knowing how to react to an emergency situation can save lives, environmental resources and money for an ethanol pro-ducer.

For example, in 2007, an ethanol plant was the site of one of the largest spills in Iowa’s history. Roughly 29,000 gallons of denaturant had spilled out between two railroad spurs, resulting in a 10-day cleanup operation by Seneca Waste Solutions Inc. to recover 32,000 gallons of contaminated water and excavate 5,000 cubic yards of soil. During this operation, the cleanup crew worked in conjunction with regula-tory agencies to prevent further adverse environmental impacts without endanger-ing employees.

Be PreparedContingency planning is key. Matt

Deutsch, vice president of Hydro-Klean LLC, says building relationships with local fi rst responders and a response contrac-tor are some of the most important things a producer can do to prepare for a spill. In many cases, the company with a spill

has unrealistic expectations of local fi re departments and hazmat teams, he says. “The fi re department can’t be there days on end doing a remediation-type project,” Deutsch says. “The fi re department can help berm and dike an affected area, but they’re not going to help pick up a spilled product, neutralize the soil or help with the disposal.” By understanding those limi-tations, a producer can understand when response ends and remediation begins, he says.

Chris Biellier, general manager at Sen-eca, says his company helps producers form emergency plans by conducting vul-nerability analyses and assisting with train-ing personnel. During an analysis, Seneca’s representatives complete a walk-through of the plant to identify weak areas requir-ing attention and assess the plant’s ability to mitigate spills when they occur. Once vulnerabilities are discovered, Seneca of-fers suggestions on how to minimize haz-ards, should a spill occur, until responders are on the scene. Biellier notes rural etha-nol plants may have to wait hours before response companies reach the site. There-fore, another aim of Seneca’s plan is to as-sist plants in buying time by either training plant operators or technicians to perform

various containment tasks, or training local fi re departments on how to quickly assist with mitigating spills until help can arrive.

In addition to building relationships with fi rst responders and completing vul-nerability analyses, it is recommended that producers routinely simulate spills. “Get your plans in place and train on your plans,” says Jim Holland, president of Pin-nacle Engineering. “That’s the No. 1 thing they can do to be prepared.” Holland rec-ommends simulation exercises be held at least once a year, addressing different spill scenarios. By recreating spill scenarios, producers can gain experience on how to address and refi ne a plant’s response to various incidents, such as spills from rail load-outs, wet wells and even natural disas-ters. “If they do that, they got 90 percent of it licked,” Holland adds.

Holland, Deutsch and Biellier agree that working with a designated contractor has multiple, emergency preparedness ben-efi ts. All three say they believe the principal benefi t is that the contractor will under-stand how a plant is situated when a spill occurs. Through this shared understand-ing, cleanup companies will know the plant and fi rst responder limitations, local geog-raphy and geology and how those factors


EMERGENCY RESPONSE

can affect the spill. Having a designated contractor saves on response time since it eliminates the need to negotiate rates dur-ing a spill situation, Deutsch says.

Yellow AlertIn the case of a spill, a facility’s ini-

tial reaction can affect how the situation turns out. Deutsch says the No. 1 priority is to assure the safety of plant employees. Workers commonly understand the risks of ethanol and other chemicals that are used during normal operation, he says, however, they should understand what their roles are when an incident occurs, such as evacu-ating or isolating an affected area until a response team arrives. Some plants even decide to train their own response teams,

which tends to cost more, he says. Once workers are safe, Deutsch says

plant employees should not try to “attack” the spill, but instead try to close drains while evacuating to a safe area. Addition-ally, plant operators should be knowledge-able about how much material was released and other factors that can affect the spill. Operator estimates of lost liquid, the pres-ence of other hazardous chemicals and drainage patterns provide responders and contractors with valuable information that can mitigate further risks.

All plants should have a spill contin-gency or response plan and any employee should know how to initiate it, Biellier says. If there is a chance a plant’s capabilities will require external assistance, those em-

ployees should notify responders immedi-ately since they can be turned away if it is determined help is not required.

Another resource for response plan-ning is the Renewable Fuel Association’s Fuel Ethanol Guideline for Release Pre-vention. Once plant personnel, public safety offi cials and contractors are noti-fi ed, the guidelines say the three objectives to address within 24 hours of a spill are: prevent ethanol from reaching surface wa-ter, collect pooled liquid ethanol, and be-gin excavating impacted soil. “The further that product gets from its intended area,” Deutsch explains, “the greater the hazard to the environment, to the people work-ing around it, and the expense is going to go up quite a bit, if you have to deal with

On Standby By working with a designated contractor, ethanol plants are able to have tailor-made, spill response strategies.

PHO

TO: P

INN

ACLE

EN

GIN

EER

ING

Spill Response Conducting a vulnerability analysis can help ethanol producers minimize hazards when spills do occur. Operators can also be trained in performing various containment tasks.PHOTOS: SENECA WASTE SOLUTIONS


EMERGENCY RESPONSE

more soil, more groundwater and more surface water.”

“Once it’s in the water,” Holland says, “you pretty much lost it.” If that situation occurs, oxygen must be inject-ed into the water with air compressors to bring the body of water back to ad-equate levels. He explains that keeping the spill contained onsite is much easier to handle and is a relatively lower cost compared to water-based cleanups.

Cleanup and Compliance

Once it starts, work to clean up and remediate the spill to meet environmen-tal compliance requirements can take days. Deutsch explains the cleanup pro-cess for spills, regardless of the mate-rial, are similar. After stopping the initial release, the next step is to prevent the escaped material from fl owing offsite.

Operation Oxygen A Pinnacle representative, in boat, monitors aeration activity in a waste pond after contact with ethanol.

PHO

TO: P

INN

ACLE

EN

GIN

EER

ING

Grown on one-third less

water and producing an equal

amount of ethanol per bushel

as comparable feed grains,

sorghum is paving the way to a

brighter, more sustainable future.

FUELING THE

FUTUREsorghumcheckoff.com


EMERGENCY RESPONSE

Once the diking process is completed, the collected material can be removed using adsorption pads or other equipment. Fi-nally, the impacted soil is excavated and disposed of, while new soil is placed and compacted, or seeded, depending on the situation.

Communication is one of the biggest challenges in responding to a cleanup, Biel-lier says. If a leak is still active, disclosure is crucial because responding agencies rely on accurate information to assess the situ-ation. “No agency or response company, such as ourselves, can assume we know everything of what’s going on,” he says. “So we rely on the plants to have as much information as possible so that good, safe decisions on how to respond are made based on facts.”

Another challenge for site remedia-tion is meeting environmental compliance.

Biellier explains that states may differ on the cleanup protocols required for each of the chemicals used at an ethanol plant. In those cases, Biellier says a plant will have a designated contact, be it a regional en-vironmental protection agency liaison or a department of natural resources repre-sentative. Some states, such as Iowa, follow national environmental guidelines while others, such as California, have stricter, state environmental regulations, he says.

Holland further explains that by the time the initial containment is achieved, contractors should have heard from regula-tors about what level of ethanol is accept-able in the soil before they begin excavat-ing the contaminated earth. The soil could then be remediated onsite using organisms that consume the alcohol or transported for disposal.

In the case of environmental en-

forcement and penalties, Holland says the amount varies. If the spill is contained on-site and remediation is completed, penal-ties and fi nes might be fairly limited, he says. On the other hand, if the spill is not contained and makes its way to a river, lake or pond, ethanol plants will be responsible for the cleanup cost of any fi sh kills and there may be additional charges for special-ized contractors to assess environmental restoration needs. Holland adds penalties are a challenging topic to address since they depend on multiple factors, such as if the spill was truly accidental or whether some negligence is found. “Each situation is unique,” he says.

Author: Chris HansonStaff Writer, Ethanol Producer Magazine

[email protected]

www.cashco comInnovative Solutions

When quality counts, choose Cashco. For 91 years, the industry has turned to Cashco for precision control solutions. The Ranger QCT is a universal control valve. It offers versatility, adaptability and ease of maintenance in almost any application. The Ranger is designed for use in steam, chemical, gas and cryogenic liquid applications.

• Broad product lines provide solutions for virtually any project.

• Superior quality product surpassed only by the service and support.

• Strategically located Service Centers with factory-trained specialists.

Don’t wait any longer to partner with the industry’s leader in process control. Call us today at 785-472-4461 for immediate assistance and technical support.

www.cashco o ww comInnovative Solutionssts.

Cashco, Inc.P.O. Box 6, Ellsworth, KS 67439-0006

Ph. (785) 472-4461, Fax: (785) 472-3539

CashQ

ityste ic

e s

urp

e Cllis

When quality counts, choose the industry has turned to Cascontrol solutions. The Ranger control valve. It offers versatiliease of maintenance in almosThe Ranger is designed for usgas and cryogenic liquid appl

• Broad product lines providefor virtually any project.

• Superior quality product suby the service and support.

• Strategically located Serviceh f d lwith factory-trained special

Where the ethanol industry turns for process control.

it l t t


Seneca Companies800-369-5500 www.senecaco.com

Railcar Spill ResponseHydro-Klean, Inc.515-283-0500 www.hydro-klean.com

Tank Cleaning EquipmentCloud/Sellers Cleaning Systems800-234-5650 www.sellersclean.com

Gamajet Cleaning Systems Inc.877-GAMAJET www.gamajet.com

Scanjet, Inc.281-480-4041 www.scanjetinc.com

Seneca Companies800-369-5500 www.senecaco.com

Tank Cleaning ServicesHydro-Klean, Inc.515-283-0500 www.hydro-klean.com

Premium Plant Services, Inc.888-549-1869 www.premiumplantservices.com

ConstructionFabricationAgra Industries Inc.715-536-9584 www.agraind.com

Grain StorageHoffmann, Inc.563-263-4733 www.hoffmanninc.com

Plant Construction Agra Industries Inc.715-536-9584 www.agraind.com

Fagen, Inc.320-564-3324 www.fageninc.com

ConsultingBusiness PlansBBI Consulting Services866-746-8385 www.bbiinternational.com

EPM MARKETPLACE

Ag Products & ServicesEquipment

www.masterbond.com ∙ +1.201.343.8983

Easy to apply ∙ Cures at room temperature Convenient packaging

Adhesive coating resistsexposure to ethanol

EPOXY EP41S-1HT

Mole Master Services Corporation740-374-6726 www.molemaster.com

Seneca Companies is the Ethanol Industry’s “Complete Solution” for:

800-369-5500www.senecaco.com

Dryer Systems, Ductwork, Fans, Filter Media, Heat

Exchangers, Plate-Frame, Railcars, Tank Cleaning,

Emergency Spill Response, Hydro-Blasting, Dry Ice

Blasting & more!

Hybrid CornDuPont Pioneer515-535-6411 www.pioneer.com/biofuels

Associations/OrganizationsMinnesota Bio-Fuels [email protected] www.mnbiofuels.org

ChemicalsAdditivesBuckman800-937-5548 www.buckman.com

CIPBuckman800-937-5548 www.buckman.com

Water TreatmentBuckman800-937-5548 www.buckman.com

YeastFermentis-Division of SI Lesaffre800-558-7279 www.fermentis.com

Lallemand Ethanol Technology800-583-6484 www.EthanolTech.com

CleaningDry Ice Blasting SystemsSeneca Companies800-369-5500 www.senecaco.com

Dryer SystemsHydro-Klean, Inc.515-283-0500 www.hydro-klean.com


Emergency Spill ResponseSeneca Companies800-369-5500 www.senecaco.com

EvaporatorsHydro-Klean, Inc.515-283-0500 www.hydro-klean.com


FansHydro-Klean, Inc.515-283-0500 www.hydro-klean.com


Hydro-Blasting


Central Energy PlantBDC, Inc.314-993-5810 www.gobdc.com

Buckman800-937-5548 www.buckman.com

EnvironmentalERI Solutions, Inc.316-927-4294 erisolutions.com

Feasibility StudiesBBI Consulting Services866-746-8385 www.bbiinternational.com

Plant OptimizationICM, Inc.877-456-8588 www.icminc.com

Quality AssuranceSGS Group41-0-22-739-91-11 www.sgs.com

SafetyRail Safe Training, Inc.712-212-4145 www.railsafetraining.com

Employment

RecruitingSearchPath of Chicago815-261-4403, x100 www.searchpathofchicago.com

Strategic Resources425-688-1151x.102 strategicresources.com

EngineeringProcess DesignADF Engineering Inc.937-847-2700 adfengineering.com

BBI Consulting Services866-746-8385 www.bbiinternational.com

ICM, Inc.877-456-8588 www.icminc.com

Vogelbusch USA, Inc.713-461-7374 www.vbusa.com

Equipment & ServicesAgitation EquipmentEKATO Corporation201-825-4684, x217 www.ekato.com

EPM MARKETPLACE

Air Pollution/Odor ControlMEGTEC Systems Inc.920-339-2787 www.megtec.com

Boiler SystemsNationwide Boiler Incorporated800-227-1966 www.nationwideboiler.com

Cellulosic PretreatmentVecoplan, LLC336-861-6070 www.VecoplanLLC.com

Control SystemsICM, Inc.877-456-8588 www.icminc.com

Cooling TowersTower Performance, Inc.800-314-1695 www.coolingtowercomponents.com

Corn Oil RecoveryBuckman800-937-5548 www.buckman.com

ICM, Inc.877-456-8588 www.icminc.com

Distillation EquipmentVogelbusch USA, Inc.713-461-7374 www.vbusa.com

Dryers-Rotary DrumICM, Inc.877-456-8588 www.icminc.com

Dryers-Rotary Steam TubeICM, Inc.877-456-8588 www.icminc.com

Fermentation MonitoringETS Laboratories707-963-4806 www.etslabs.com

Fractionation-CornICM, Inc.877-456-8588 www.icminc.com

LAI Eth. Bio Tech Div, Langhauser Assoc, Inc.217-412-1150 www.LanghauserAssociates.com

Laboratory-SuppliesMidland Scientifi c Inc.800-642-5263 www.midlandsci.com

Loading EquipmentDYNATEK Articulated Loading Systems888-853-5444 www.dynatekloadingsystems.com

Maintenance SoftwareICM, Inc.877-456-8588 www.icminc.com

Molecular SievesICM, Inc.877-456-8588 www.icminc.com

Interra Global847-292-8600 www.interraglobal.com

Vogelbusch USA, Inc.713-461-7374 www.vbusa.com

Non Destructive TestingERI Solutions, Inc.316-927-4294 erisolutions.com

Paint & Protective CoatingsElevation Coating, LLC763-742-2067 www.elevationcoating.com

Parts & ServicesICM, Inc.877-456-8588 www.icminc.com

Productivity EnhancementsICM, Inc.877-456-8588 www.icminc.com

SafetyERI Solutions, Inc.316-927-4294 erisolutions.com

Reach your customers

Your Solution. Advertise Today.

EPM MARKETPLACE


EPM MARKETPLACE

Silo Cleaning

Silo and Bin Cleaning Services

and Equipment

Call 800-322-6653 or visit

www.molemaster.com

Size Reduction-ShreddersVecoplan, LLC336-861-6070 www.VecoplanLLC.com

Storage-DDGSHoffmann, Inc.563-263-4733 www.hoffmanninc.com

TanksAgra Industries, Inc.715-536-9584 www.agraind.com

Thermal OxidizersKoch Knight LLC330-488-1651 www.kochknight.com

Truck Receiving/DumpersAirofl ex Equipment563-264-8066 www.airofl exequipment.com

Used Equipment

Ethanol Equipment FOR SALE

Borchart Steel Inc. has the following equipment for sale at Alchem ethanol plant in Grafton ND.

1-Tompson dryer 12’X28’ all stainless steel Construction. Rated @ 12,000lbs DDG per hour with stainless steel blowers and cyclone.

1-Nestec RTO all stainless construction 40,000 cfm. Complete Installed never used!

1-Anaerobic Bio-MethanatorWaste water treatment 130gpmRebuilt in 2007 not used since complete

1-3 Stage CE Rogers EvaporatorFor Stillage rated at 1053GPM

Jim Borchart612-363-0279 | www.borchartsteel.com

BORCHART STEEL INC

Vacuum BreakersVogelbusch USA, Inc.713-461-7374 www.vbusa.com

Wastewater Treatment ServicesICM, Inc.877-456-8588 www.icminc.com

Wastewater TreatmentBuckman800-937-5548 www.buckman.com

FinanceAppraisals

1-800-279-4757

Call us for a free, no-obligationconsulation today.

Natwick Associates Appraisal Services1205 4th Ave. S., Fargo, ND 58103

[email protected]

The Specialistin Biofuels Plant

Appraisals• Valuation for financing• Establishing an asking price• Partial interest valuation

Few certified appraisers in the United States specialize in ethanol plant and relatedbiofuels properties. The firm of Natwick Associates offers more than 50 years of worldwide experience.

InsuranceERI Solutions, Inc.316-927-4294 erisolutions.com

Lender RepresentativesBBI Consulting Services866-746-8385 www.bbiinternational.com

Legal ServicesAttorneysBrownWinick Law Firm515-242-2414 [email protected]

EPM MARKETPLACEWith all contact information placed in one convenient location, Ethanol Producer

Magazine not only contains top editorial content but also a useful directory in

each publication. Whether a fi rst-time advertiser wanting to raise awareness of

your business or a frequent display advertiser looking for added exposure, EPM

Marketplace is the perfect solution.


EPM MARKETPLACE

MarketingFuel EthanolItec Refi ning & Marketing Co. Ltd847-304-4700 www.itecref.com

MediaPublications

Platts1-800-PLATTS-8 www.platts.com/biofuels

TransportationRail

C&J Railroad Company662-902-1838 www.mississippideltarailroad.com

Exporting DDGS Through the Port of Mobile?

RAIL ROADC & J

Send your DDGS to us in bulk in your railcars and we will make the transfer to container for

export via the Port of Mobile.

Contact: Reggie Howell 662-902-1838 • Email [email protected]

Co-located EventSeptember 10, 2013CenturyLink Center OmahaOmaha, NE

The Corn Stover Harvest & Transport Seminar at the 2013 National Advanced Biofuels Conference & Expo in Omaha will offer a comprehensive discussion on the impending opportunities and questions surrounding the use of corn residue from farms in America’s Heartland to power cellulosic ethanol plants.

The Corn Stover Harvest & Transport Seminar’s mission is to assemble and engage current corn growers, cellulosic ethanol industry professionals, agriculture scientists, and equipment specialists within the seminar’s four comprehensive panels.

Discuss Opportunities & QuestionsCorn Residue to Power Cellulosic

Ethanol Plants in the Hear

View Agenda at www.AdvancedBiofuelsConference.com

TM

DuPont Pioneer, Poet, Abengoa, USDA & more

to present

CO-LOCATED EVENTSeptember 10-12, 2013CenturyLink Center OmahaOmaha, NEwww.AdvancedBiofuelsConference.com

ANNIVERSARY

1984 – 2014

www.AdvancedBiofuelsConference.com

The Advanced Biofuels Event of the Year!

Learn More Visit: www.AdvancedBiofuelsConference.com

CO-LOCATED EVENTSeptember 10, 2013Omaha, NE

KEYNOTE SPEAKERDoug O'Brien, J.D., LL.M., Acting Under Secretary, Rural Development U.S. Department of Agriculture

View Comprehensive Agenda Online

Primed for Market Expansion Make your plans to attend the 2013 National Advanced Biofuels Conference & Expo in Omaha, Nebraska. With 70 first generation biofuels facilities within 250-miles of Omaha all capable of utilizing bolt on technology, and the largest cellulosic ethanol plants in the country currently under construction or about to go online, the region is primed to prove new technology and produce advanced biofuels.

Contact us: [email protected] or 866-746-8385

Conference includes:• 65+ Comprehensive Presentations• 3 Program Tracks: - Pathways & Partnerships - Inputs & Supply Chains - Money & Markets

• Important Industry Update• Educational Expo Hall• Networking Opportunities

INDUSTRY TOURSBioProcess Algae and Green Plains Renewable Energy Tomorrow's Production Platforms at Today's Biofuel Facilities

TM

DuPont Pioneer, Poet, Abengoa, USDA & more

to present

September 2013 Ethanol Producer Magazine

Documents

Transcript of September 2013 Ethanol Producer Magazine