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Britain Flexed It with EU Exit; Forisk Checks Its Implications for Forest Markets and Bioenergy

Britain Flexed It with EU Exit; Forisk Checks Its Implications for Forest Markets and Bioenergy | Timberland Investment | Scoop.it

What does Brexit imply for U.S. timberland investors and forest industry firms? Probably not much. Brexit implications concentrate on markets with strong exposure to wood pellets. Since U.S. wood pellet producers represent a small portion of the U.S. forest products industry, any impacts would be felt locally in key pulpwood markets, if at all. Even here, the risks reside within the context of increased uncertainty in three key areas: EU/UK energy policy, trade, and currency valuation (FX).

 

The main policy driving wood pellet demand is the EU’s implementation of its 2020 climate and energy package. It remains unclear if further policy changes will ensue with the exit or new political leadership following the resignation of PM David Cameron. The 2009 EU Renewable Energy Directive (RED), which is part of the energy and climate package, sets binding renewable energy targets for each EU member state. The RED set a target of 15% energy consumption from renewables by 2020 for the United Kingdom. Efforts to meet this target pushed biomass-based electricity generation from 3.8% of the national total in 2010 to 8.6% in 2015, with forecasts of 11% by 2020.
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A UK departure from the EU would release the UK from the RED obligations, unless the UK maintains economic trade ties with the EU as part of the European Economic Area (EEA). An exit from the EU also releases the UK from compliance with EU State aid rules, which could simplify subsidy programs in the UK. The UK has developed its own climate change goals in the Climate Change Act of 2008 and has established programs to meet carbon reduction requirements, including the Contracts for Difference (CFD) program that provides subsidies for renewable energy technologies. Recent CFD budgets favor “less established technologies” such as offshore wind and biomass combined heat and power rather than biomass conversions, which have been driving the U.S. pellet export sector.
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Finally, Brexit could tighten financing for unfinished projects if capital markets step back. Projects that plan to source wood pellets, such as Lynemouth and MGT, may face increased delays. Technically, nothing will formally change until the UK invokes Article 50 of Lisbon Treaty and begins the withdrawal process (a process that could take two years). In sum, the future of subsidy programs and funding efforts for renewable energy rest with Britain’s government and commitment as a country to continue supporting renewable energy and low carbon technologies, regardless the recent vote.

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Scientists use ‘reverse photosynthesis’ to break down biomass

Scientists use ‘reverse photosynthesis’ to break down biomass | Timberland Investment | Scoop.it
Researchers at the University of Copenhagen have discovered a natural process they describe as reverse photosynthesis. In the process, the energy in solar rays breaks down, rather than builds plant material, as is the case with photosynthesis. The sunlight is collected by chlorophyll, the same molecule as used in photosynthesis. Combined with a specific enzyme the energy of sunlight now breaks down plant biomass, with possible uses as chemicals, biofuels or other products, that might otherwise take a long time to produce. By increasing production speed while reducing pollution, the discovery has the potential to revolutionize industrial production. The research results have now been published in Nature Communications.

The petrochemical industry is indispensable for the functioning of society. However, it remains problematic for both environment and climate. Danish researchers based at the University of Copenhagen have now made a breakthrough with the potential to transform the way we use our Earth's natural resources: 

“This is a game changer, one that could transform the industrial production of fuels and chemicals, thus serving to reduce pollution significantly," says University of Copenhagen Professor Claus Felby, who heads the research.
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How A Tech Billionaire’s Biofuel Dream Went Bad

How A Tech Billionaire’s Biofuel Dream Went Bad | Timberland Investment | Scoop.it

It’s a factory in the sleepy city of Columbus, Miss., that was briefly able to turn wood chips into a biofuel that could power vehicles more cleanly than oil, using a first-of-its-kind technology that wowed engineers, politicians, and investors.

 

The plant’s supporters once envisioned it as the embodiment of a clean-energy future. The company that owned it was valued at more than $1.5 billion, and its shares publicly traded. The factory, the first of several planned in the state, was intended to employ hundreds of workers and create new demand for the state’s timber industry.

 

But on a hot, sunny afternoon in October, the factory is a dead zone. Long weeds have sprouted up around an empty parking lot. No workers are operating any machinery. The plant hasn’t produced any biocrude in close to two years. Days before, a big chunk of the facility was sold for $2.1 million. Another piece was unloaded weeks before that for $1.6 million. The plant, a former paper mill, had cost more than $215 million to buy and convert to green energy production.

 

The factory was run by a company called KiOR, which was once a symbol of the promise of the next generation of biofuels and the role that Silicon Valley and government could play in incubating clean-energy technology. Its soaring ambitions—and hype—largely stemmed from the imprimatur of Silicon Valley venture capitalist Vinod Khosla and the millions he had invested in it. All told, the company spent more than $600 million. In its brief time in operation, it generated $2.3 million in revenue; when it filed for bankruptcy it listed assets of $58.3 million.
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Unlike most failed startups, KiOR hasn’t just shut its doors and disappeared into oblivion. Today recriminations, investigations, and litigation continue to surround it. The Securities and Exchange Commission has been examining whether the company made false statements, including on a critical point: the yield of its biofuel (the amount that can be made per ton of wood chips). Two KiOR executives and Khosla himself are also facing a class action suit alleging that company executives misled investors about production volumes and yield.

 

The state of Mississippi is also suing Khosla and key KiOR executives on similar grounds, claiming they hoodwinked the state to obtain a $75 million loan. The case provides a striking image. One of the poorest states in the country, which received only $6 million of its money back before KiOR went bankrupt, is seeking to collect from a Silicon Valley billionaire.
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The list of biofuel startups backed by Khosla Ventures now reads like a catalogue of disappointments, vaporizing hundreds of millions of the firm’s money, along with millions in government funds. Range Fuels built a cellulosic ethanol plant using Khosla funding and millions from the DOE and the USDA. The company shut its factory in 2011. Another half-dozen biofuel startups backed by Khosla Ventures have failed to deliver significant results.

 

Two of the ones that looked successful early on, Gevo and Amyris, both went public. But today their shares are trading at a fraction of their initial value. In 2012, Amyris decided to move away from biofuels and focus on higher-margin specialty products. Other biofuel companies have done the same. One Khosla-backed biofuel company that has shown promise is LanzaTech, which turns industrial waste gases into biofuels and biochemicals. It has a demonstration-scale plant in China and plans for a commercial facility there.

 

Fewer than 2 million gallons of cellulosic biofuel were produced in the U.S. in 2015, according to the EPA. That’s a small fraction of the 3 billion gallons the agency had predicted in 2007 would be produced this year. Only four cellulosic fuel plants have been built and are in the commissioning phase in the U.S., according to Bloomberg New Energy Finance. 

Sam Radcliffe's insight:

Thanks to Jack Bridges @ risk-adjusted-returns for bringing this one to our attention.

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Closing of Maine mill sets back paper industry's biofuel effort

Closing of Maine mill sets back paper industry's biofuel effort | Timberland Investment | Scoop.it

Wednesday’s closure of the Old Town Fuel and Fiber mill is a setback for the Maine pulp and paper industry’s efforts to break into biofuels production, industry representatives said.


The mill, owned by New York-based private equity firm Patriarch Partners, has ceased operations indefinitely and furloughed about 180 employees. While pulp remained the mill’s core business, it was the only facility in Maine experimenting with the production of biofuel on a commercial scale.
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The Old Town mill had initiated a pilot program in 2008 to produce “biobutanol,” supported by a $30 million grant from the U.S. Department of Energy. The project was a collaboration with the University of Maine, which has done extensive research on how to distill fuels from wood. Butanol is a motor fuel that can be used in place of gasoline without any engine modifications.

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Cool Planet to build 3 biorefineries in Louisiana

Cool Planet to build 3 biorefineries in Louisiana | Timberland Investment | Scoop.it

Louisiana Gov. Bobby Jindal and Cool Planet Energy Systems President and CEO Howard Janzen have announced the company will build three biorefineries in Louisiana with a capital investment of $168 million. The project will consist of modular biomass-to-gasoline refineries in Alexandria, Natchitoches and a site to be determined.

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Cool Planet will begin construction in January 2014, with the first site at the Port of Alexandria beginning operations in late 2014. Construction will begin on the second biorefinery at the Port of Natchitoches by the summer of 2015, with a completion date in the summer of 2016. The third site is scheduled to come online in late 2016 at a Louisiana site to be determined.

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Cool Planet will harvest wood waste and forest byproducts to make gasoline at its initial commercial-scale facilities in Louisiana. Each biorefinery will be capable of producing 10 million gallons of high-octane, low-vapor pressure gasoline for strategic distribution through existing market channels and for blending at Louisiana refineries. The fuel will be compatible for use in existing vehicles on the road today. The company’s business model calls for developing 400 of the micro-refineries across the U.S. in the next decade.

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Using a proprietary process, Denver-based Cool Planet also will market biochar, a byproduct of the refining process that will be used as an agricultural supplement to boost water retention and reduce carbon released from crops. This process makes Cool Planet’s overall production cycle a carbon-negative process – meaning the project will achieve a net reduction of greenhouse gases.

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Cool Planet’s production plants will be 100 times smaller than a typical oil refinery, but the company’s largely prefabricated systems can be moved near concentrated biomass sources, reducing transportation costs and increasing efficiency. Those savings will enable the company to produce gasoline that’s competitive with oil refineries at prices as low as $50 per barrel while eliminating the need for government fuel credits or subsidies

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Wood Bioenergy: The Rise and Fall of Wood-Based Biofuels, Part II

Wood Bioenergy: The Rise and Fall of Wood-Based Biofuels, Part II | Timberland Investment | Scoop.it

Investors in wood-based biofuels must keep in mind how ethanol investments have generally lost their luster.  John Eligon and Matthew Wald of TheNew York Timessummarized the struggle of hundreds of corn ethanol plants built throughout the U.S. Corn Belt with government subsidies and mandates (“Days of Promise Fade for Ethanol”, 3/16/13). According to the article, “thousands of barrels of ethanol now sit in storage because there is not enough gasoline in the market to blend it with…”


Regardless of the quality and status of individual technologies and plants in development, analysis of public firms active in the wood biofuels sector confirms how they continue to face extreme economic and market challenges.  First and foremost, ethanol-related production efforts operate in an over-supplied, low-demand market.  The U.S. is flush with excess ethanol production capacity and, thanks to blending walls and other logistic limitations, is holding the bag for a product with few customers.  This is economics 101.  Second, high production costs for wood biofuels, even as firms show progress and improve yields, actually can look worse on a relative basis as the prices for alternative fuels, such as natural gas, decline.  Through no fault of the U.S. biofuels sector, it remains subject to external benchmarks and exogenous forces that erode progress and diminish the attractiveness of wood biofuel investments.  Third, time works against wood biofuel projects in the U.S. when evaluating wood feedstock strategies and alternatives.  With an improving economy, demand for wood raw materials from traditional forest industry users such as building product manufacturers and pulp and paper producers is increasing.  In addition, wood bioenergy projects with existing markets and ready technology, such as wood pellet producers, are increasing production and investment in new capacity.  All of these factors push potential wood biofuels projects to the back of the line for securing woody feedstocks.   As a group, these firms have shrinking relevance to timberland owners and wood raw material competitors.

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Biomass and Biopower: What’s the Outlook?

Biomass and Biopower: What’s the Outlook? | Timberland Investment | Scoop.it

I remain cautiously optimistic. It appears that projects related to biomass and biopower have a chance to make a contribution to the U.S. energy mix, and my reasons for this follow.

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First, the Obama administration’s drive for renewable energy production and research will continue, as was vividly pointed out in the passing of fiscal cliff legislation.

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The administration’s intent in respect to certain biopower competitors, such as low-cost natural gas, is less obvious. Natural gas prices have been on a downward skid since January 2012, and currently they hover a little over $3 per MMBtu. This is a challenge for biomass, especially since the administration’s most effective carbon reduction method has been the replacement of coal power generation with natural gas generation.

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So the concurrent innovation of American oil and gas explorers and the administration has indirectly made new natural gas power generation the winner. This inadvertently hurts biopower, since the cost of biomass-derived power simply cannot beat out that derived from natural gas produced and sold for less than $5 to $6 per MMBtu.

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The federal government is not exclusively driving the bus on making natural gas a winner over biomass and other renewable energy forms, however. Industry and economics are playing a role. At a recent energy conference, I was caught off guard slightly when several energy executives representing utility, power plant equipment and services, and energy regulatory entities all believed that abundant North American natural gas resources would most likely hover between $4 and $6 per MMBtu for decades. For these folks, that makes natural gas very competitive, with ample room for coal to remain a major player. Biomass remains a player only when state or regional incentives come into play, or when feedstocks are fairly cheap.

Sam Radcliffe's insight:

Count me among those who refuse to invest in or have confidence in an industry that cannot exist without government support.

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Report shows 100 biomass power projects came online in 2012

Report shows 100 biomass power projects came online in 2012 | Timberland Investment | Scoop.it

The Federal Energy Regulatory Commission's Office of Energy Projects has released its latest Energy Infrastructure Update, which includes data through Dec. 2012. The update includes statistics on a variety of energy types, including biomass.

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Report highlights also point out that Rollcast Energy Inc.’s 60.5 MW biomass-fueled Piedmont Green Power in Barnesville, Ga., is now online. The facility will take in 500,000 tons of woody biomass feedstock annually. The feedstock is comprised of urban wood waste, as well as mill and logging solid waste. Power generated at the plant is being sold to Georgia Power Co. under a long-term contract.


Verso Paper’s 25 MW biomass-fueld Bucksport Mill expansion was also brought online. The facility, located in Bucksport, Maine, utilizes papermaking byproduct and logging wood waste as feedstock. Electricity generated at the plant will be used to power the mill, with excess sold to the local grid. 

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Bioenergy could bring new life to shuttered mill

Bioenergy could bring new life to shuttered mill | Timberland Investment | Scoop.it

There may be hope for the shuttered Ainsworth lumber mill in Grand Rapids, which closed three years ago, a victim of the housing market crash and the Great Recession.


The J.M. Longyear company of Marquette, Mich., has signed a purchase agreement for the 120-acre site, and will take control of the mill in 2014. Company officials have been tight-lipped about their intentions, but some wood and timber experts predict it could become part of an emerging bioenergy industry.

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Volvo Successfully Field Tests Biofuel Made from Pulp Industry Waste

Volvo Successfully Field Tests Biofuel Made from Pulp Industry Waste | Timberland Investment | Scoop.it

Successful field tests of vehicles powered by a biofuel derived from the black liquor wastes produced at a pulp mill have been conducted by Volvo Trucks.

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Bio-DME, dimethyl ether is a second generation biofuel produced from biomass, is a liquid, so-called second-generation biofuel that can be made from wood or by-products and waste from agricultural production.


According to Lars Mårtensson, environmental director at Volvo Trucks it could replace up to 50 per cent of the diesel that is currently being consumed by commercial vehicles in Europe within the next 20 years.

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According to Chemrec's Ingvar Landaly, at the present time the project is only using 1% of the black liquor produced at the mill.


"If we can use our technology to convert all the black liquor to bio-DME, it would be able to power around 2500 trucks, so we envisage incredible potential," he added. "The black liquor capacity in Sweden alone corresponds to about 20 mills like this one."

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Forget First to Market

Forget First to Market | Timberland Investment | Scoop.it

The first-to-market business strategy doesn’t reward advanced biofuels or biobased chemical companies because the race to provide drop-in biofuel or renewable chemicals isn’t about brand loyalty or opening a facility first, it’s about a flawless production process.

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Forestry Focuses On High-Tech Growth (KO, CUT, ABH, IP)

Forestry Focuses On High-Tech Growth (KO, CUT, ABH, IP) | Timberland Investment | Scoop.it

While many investors have flocked to the timber sector as way to diversify, the explosive growth prospects in bioproducts are often ignored.

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Nippon Paper Eyes 'Roasted' Wood Pellets as Earnings Source

Nippon Paper Eyes 'Roasted' Wood Pellets as Earnings Source | Timberland Investment | Scoop.it
Nippon Paper Industries will begin tests next spring on a process it plans to use to mass-produce efficient-burning wood pellets as a biomass fuel for electricity generation starting in fiscal 2018.
     The so-called torrefied wood gets its name from torrefaction, a process similar to coffee roasting. Wood is heated at relatively low temperatures for less than an hour to yield a substance that burns with double the heat volume of wood chips, effectively doubling the power generation efficiency.
     Despite global research on torrefied wood as a biomass fuel, few companies have taken the next step to develop a means of mass production. Nippon Paper intends to leverage its papermaking experience to quickly establish this as a source of earnings for its energy business.
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FedEx plans to deliver 'future of aviation' with biofuels drive

FedEx plans to deliver 'future of aviation' with biofuels drive | Timberland Investment | Scoop.it
FedEx, which operates a fleet of more than 600 aircraft, has forged an agreement with Colorado-based firm Red Rock Biofuels to purchase alternative jet fuel, which will support FedEx in its pledge to obtain 30% of jet fuel from alternative sources by 2030.

As detailed in FedEx’s 2016 Global Citizenship Report, Red Rock is now contracted with FedEx to supply three million gallons of biofuel a year. This will be blended to provide seven million gallons of alternative jet fuel annually between 2017 and 2024, meaning at least 48 million gallons of biofuel will be produced under the agreement.

FedEx chief executive Frederick Smith said: “As a heavy user of fossil fuels, we know how important it is to reduce our consumption and make trade-related energy more sustainable. Respect for our environment makes this an imperative. And reducing reliance on oil lessens the market volatility that slows growth.

“We’re proud to work with this innovative company [Red Rock Biofuels], which converts scrap and forest waste to make fuel. The process contributes to smart forest management practices that reduce the intensity of forest fires. Innovations like this have the potential to help farmers and communities around the world turn waste into a new form of clean energy. Helping others replicate a waste-to-biofuel model could create sustainable local industries and new jobs near airports around the world.”
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Can bioenergy replace coal?

Can bioenergy replace coal? | Timberland Investment | Scoop.it

Like all renewable energy in the European Union, bioenergy has struggled against low-priced coal imports, low carbon dioxide prices in the emissions-trading system, and an economic and regulatory backlash against renewable-energy policies, including substantial cuts in government support. But don’t count out biomass-based energy just yet. Although today it fails to compete on cost with other renewables such as wind and solar, we believe bioenergy not only has the potential to significantly improve but could even become cost competitive with coal.

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How can that happen? We believe the levelized cost of bioenergy—its cost per kilowatt-hour—has the potential to be reduced by almost half by 2025, making bio-based electricity close to competitive with coal depending on the type of plant. While there’s no denying this would require significant effort, it doesn’t require technological breakthroughs but rather simply making better use of the opportunities already at hand.

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FAME approves $25 million loan for Millinocket pellet mill

FAME approves $25 million loan for Millinocket pellet mill | Timberland Investment | Scoop.it

The Finance Authority of Maine’s Board of Directors voted 8-5 to approve a $25 million bond on Thursday to build New England’s first torrefied wood pellet mill in Millinocket’s Katahdin Avenue industrial park.


The key to Cate Street Capital’s proposal is a $35 million torrefied wood machine that according to FAME’s analysis will employ as many as 36 people directly and as many as 184 indirectly. If successful, the enterprise could attract as many as 1,500 new jobs to the state, according to its supporters.


If it fails, taxpayers could be on the hook for $25 million, proponents of a lesser bond amount said.


The machine is the first of as many as five in Millinocket and three in Eastport making torrefied wood pellets, which burn hotter than regular pellets and are intended as a cleaner-burning coal substitute. The other machines will likely each employ 20 to 25 people directly and about 100 people indirectly, including logging crews supplying the mills with millions of tons of wood wastes taken from the forest floor, company officials have said.

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As key partner departs, future dims for Michigan cellulosic biofuel plant

As key partner departs, future dims for Michigan cellulosic biofuel plant | Timberland Investment | Scoop.it

The exit of its majority owner and operator leaves the future uncertain for a long-delayed project that has attracted at least $120 million in public financing to turn wood from Michigan’s Upper Peninsula into fuel for vehicles.


New Hampshire-based biofuels company Mascoma Corporation announced in 2011 that Valero Energy would provide up to $50 million in financing for a $232 million facility in Kinross Charter Township, Michigan, and purchase the 20 million gallons of ethanol it would produce annually.


However, Valero spokesman Bill Day confirmed in an email that the company “is no longer involved in the Mascoma cellulosic ethanol project” but declined to give further details.

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Waste Wood to Coal-Like Biofuel Technology Commercialised in U.S.

Waste Wood to Coal-Like Biofuel Technology Commercialised in U.S. | Timberland Investment | Scoop.it

Kingsport, Tennessee based clean energy technology company, EnviraCarbon, is to commercialise its patented and proprietary technology which molecularly alters renewable biomass feedstock, such as wood wastes into EnvirAnized Biofuel (EBF).


According to the company the EBF is a product which looks, stores, transports, pulverizes and burns like coal, while avoiding the pollution associated with burning coal.


EnviraCarbon claimed that its superfast process changes woody biomass into clean carbonized EBF, drastically condensing a process which took nature 100 million years to accomplish into a matter of minutes.

The company added that because its process forces biomass to take on the physical characteristics of coal it can be directly used by coal-burning or biomass fired power plants and industrial facilities without any modification or retrofitting to their existing boiler systems.


The ability to use EBF interchangeably with coal or biomass eliminates the need for coal burning facilities to spend the billions of dollars in capital expenditures necessary for compliance, according to EnviraCarbon.

The developer of the technology added that EBF has the same heat value as bituminous coal from the eastern U.S. (12,000+ BTUs), exhibits a much greater heat value than wood pellets, and unlike wood pellets, is hydrophobic.

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According to the company, its facilities use only waste wood, or certified sustainable biomass as feedstock, making them environmentally friendly, and require a relatively small footprint to produce large quantities of EBF.

With a commercial facility presently under construction, the company said  that the export of EBF is expected to begin first quarter 2014.

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Jeffrey Wikle's comment, July 4, 2013 4:09 PM
Sounds too good to be true. Let's hope it is true.
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Is the U.S. Torrefaction Market Moving?

Is the U.S. Torrefaction Market Moving? | Timberland Investment | Scoop.it

... just this week, Thermogen Industries signed a letter of intent with the Eastport Port Authority in Eastport, Maine, to build a 200,000 to 300,000-ton torrefied wood pellet manufacturing facility on land adjacent to the port’s Estes Head Terminal. Following completion of engineering and site design, Thermogen aims to formally begin the permitting process with a goal of starting construction as early as possible in 2014. In Millinocket, Maine, the company already has a fully-permitted project that work on began in October.


Down in Mississippi, New Biomass Energy just reported it had made a third shipment of torrefied wood pellets—4,000 tons—to Europe. The company is working on expanding its plant to commercial scale—150,000 to 200,000 tons—and expects the project to be complete this year.

Finally, Oregon-based H3M Energy has reached several milestones in the las few years, including completion of a 50,000-ton demonstration-scale torrefied briquette facility, and construction commencement of a small commercial plant.


While Europe continues to be well ahead of us in regard to torrefaction, the market here appears to be progressing.

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Forestry sector awaits biofuel report

Forestry sector awaits biofuel report | Timberland Investment | Scoop.it

Crown-owned forest researcher Scion is set to present a report into the viability of generating biofuels from trees at the end of next month, a move that could throw a much-needed financial lifeline to the struggling sector.


Converting tree waste into biofuels and bioplastics has long been a Holy Grail for the forestry and wood-processing industry. It could turn pulp wood and sawmill waste into real revenue streams.


But while the technology has been proven in the lab, questions remain over the long-term commercial viability despite extensive research by forestry-dependent countries such as Canada and Sweden.

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Cellulosic biofuel to surge in 2013 as first plants open

Cellulosic biofuel to surge in 2013 as first plants open | Timberland Investment | Scoop.it
Cellulosic biofuel companies will boost production almost 20-fold in 2013 as the first high-volume refineries go into operation, signaling a shift from an experimental fuel into a commercially viable industry.

Production of the fuel made from crop waste, wood chips, household trash and other non-food organic sources will reach 9.6 million gallons (36 million liters) in 2013, up from less than 500,000 gallons this year, according to data compiled by the U.S. Energy Information Administration and obtained by Bloomberg News.

That gain will leave the industry short of the government’s target for 1 billion gallons that gasoline and diesel producers are expected to blend into their products next year under a federal energy regulation. The industry may not meet those targets for another five years, and companies from Kior Inc. (KIOR) to Abengoa SA (ABG) are closing the gap.
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Throw a Log on the Refinery

Throw a Log on the Refinery | Timberland Investment | Scoop.it

A plant in Mississippi will start selling gasoline made from wood by the end of the month, said owner KiOR., putting the firm ahead in a race to be the first in the U.S. to make large quantities of renewable fuel from a source that isn't food.


But at the same time that backers of the fuel and other pioneers in the renewables sector say they are on the cusp of a breakthrough, opponents of the federal mandate that underpins their market are mounting an attack. That is adding to uncertainty at a time when investors are deciding whether to commit to the advanced-renewable-fuel industry.

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Biofuels from Lignocellulosic Biomass

Biofuels from Lignocellulosic Biomass | Timberland Investment | Scoop.it

The largest potential feedstock for ethanol is lignocellulosic biomass, which includes materials such as agricultural residues (corn stover, crop straws and bagasse), herbaceous crops (alfalfa, switchgrass), short rotation woody crops, forestry residues, waste paper and other wastes (municipal and industrial). Bioethanol production from these feedstocks could be an attractive alternative for disposal of these residues. Importantly, lignocellulosic feedstocks do not interfere with food security. Moreover, bioethanol is very important for both rural and urban areas in terms of energy security reason, environmental concern, employment opportunities, agricultural development, foreign exchange saving, socioeconomic issues etc.

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