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Pacific Ethanol, Aventine announce merger

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By Pacific Ethanol

December 31, 2014

Business 

The merger of California-based Pacific Ethanol Inc. and Midwest-based Aventine Renewable Energy Holdings Inc. will bring their combined capacity to 515 MMgy.

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Ethanol supplies are becoming much more manageable at the end of the year. This has lessened concern about gaining access to needed gallons and sparked aggressive price pressure in all ethanol markets.

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Corn market expected to hover around $4

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By Jason Sagebiel, FCStone

December 31, 2014

Choppy and volatile trades are expected leading up to the January USDA report, writes Jason Sagebiel. Traders expect corn prices to stay on either side of $4.

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Coarse grains exports could increase dramatically if United States-Cuba diplomatic relations are fully normalized, with the island nation having the potential to become the 12th largest market for U.S. corn if trade is truly open.

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Under the U.S. EPA's efficient producer petition process, first-generation ethanol producers can be approved to generate renewable identification numbers above the registered volume that was grandfathered in under the renewable fuel standard.

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Iowa ethanol production hits record at 3.9 B gallons in 2014

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By Iowa Renewable Fuels Association

December 29, 2014

Iowa's 43 ethanol plants produced a record 3.9 billion gallons, after no growth in the past three years. For the first time, a small amount came from cellulosic feedstocks.

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U.S. ethanol producers have steadily been ramping up production in recent weeks, setting new records. The most recent weekly data indicates the industry was operating at an annualized rate of more than 15.2 billion gallons per year.

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A story reflecting on Rick Tolman's 14 years with NCGA was the most-read news story at Ethanol Producer Magazine's website. Other articles with high numbers of views included information about Brazilian and U.S. ethanol production levels.

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Nominations due Jan. 30 for the U.S. EPA's new Science Advisory Board Agricultural Science Committee, established in the 2014 Farm Bill to advise EPA on matters impacting farming and agriculture-related industries.

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FAS GAIN report highlights the current state of the biofuels industry. Canadian ethanol production to increase 1 percent in 2014, reaching 1.75 billion liters. U.S. imports of 2 billion liters needed to meet mandates.

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All buildings and major equipment are in place at the 65 MMgy Dakota Spirit AgEnergy under construction in Spiritwood, North Dakota. Staff set to move into offices in mid-January and begin preparing for startup.

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A Michigan ethanol plant has had success with its Yellow Hose program, blending E85 and supplying 33 area retailers, as well as sales at an on-site fuel pump. For 15 months the plant has held a $1 spread between E85 and gasoline.

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SIRE announces year end achievements

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By Southwest Iowa Renewable Energy

December 23, 2014

Southwest Iowa Renewable Energy LLC announced it had paid in full the outstanding convertible subordinated debt held by the company's strategic partners, Bunge North America Inc. and ICM Investments LLC.

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The sale of a 21 MMgy corn-ethanol plant closed on Dec. 23. Green Biologics Inc. plans to continue ethanol production until sometime in 2016, when it will transition to n-butanol and acetone.

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The staff at Ethanol Producer Magazine extends congratulations to two overseas ethanol production companies. One is an existing corn-ethanol plant and the other is a proposed cellulosic ethanol plant.

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At a grand opening in early December, Ottawa County, Michigan, announced the official kickoff of the Great Lakes AgTech Business Incubator, a nonprofit helping farmers and entrepreneurs turn their ideas and inventions into successful businesses.

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Syngenta has announced that it has received the safety certificate for its Agrisure Viptera trait (event MIR162) from China's regulatory authorities, formally granting import approval. The approval covers corn grain and processing byproducts.

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The U.S. Navy, Naval Air Systems Command (NAVAIR) and Gevo, Inc. have announced the first successful alcohol-to-jet (ATJ) supersonic flight at the Naval Air Warfare Center in Patuxent River, Maryland.

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The U.S. Department of Energy's Bioenergy Technologies Office recently released an updated multi-year program plan (MYPP), which sets for goals and structure for the office over the next five years.

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On Dec. 19, President Obama signed a bill that retroactively extends several tax incentives that expired at the end of 2013 and throughout this year through the end of 2014, including several incentives that benefit biofuel and bioenergy producers.

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USDA long-term projections call for slightly lower corn acres to be planted over the next decade while corn yields steadily climb. The USDA will release the complete long-term supply, use and prices projections to 2024 in February.

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Data recently released by the U.S. Energy Information Administration shows the U.S. ethanol industry started out the last month of the year with two record-setting weeks of production, with a new record set the week ending Dec. 12.

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The U.S. EPA has published a notice in the Federal Register requesting substantiations of confidentiality claims from businesses that have submitted reports and transactional information on the renewable fuels standard (RFS).

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Business Briefs

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By Staff

December 19, 2014

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A new catalytic process is able to convert what was once considered biomass waste into lucrative chemical products that can be used in fragrances, flavorings or to create high-octane fuel for racecars and jets.

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As word came that Chinese officials have given verbal approval for the biotech corn trait MIR 162, trade and agriculture stakeholders gathered this week in Chicago for the U.S.-China Joint Commission on Trade and Commerce discussions.

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UNICA, the Brazilian sugarcane energy association, has announced ethanol production from the start of the current season through the end of November is up 3.54 percent when compared to last year. Exports, however, are down 55 percent.

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An analysis of conventional and alternative vehicles and their air pollution-related public health impacts from researchers at the University of Minnesota got a swift debunking from the ethanol industry.

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The U.S. EPA has released renewable identification number (RIN) data for November, reporting that more than 1.38 billion RINs were generated during the month, including nearly 6 million cellulosic RINs.

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Tom Bryan, president and editor in chief of Ethanol Producer Magazine, writes about the stories featured in the January issue of the magazine, which has a lab management theme.

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