POET CEO on Cellulosic Progress

During Trade Talk at the annual convention of the National Association of Farm Broadcasters (NAFB), POET Founder & CEO Jeff Broin talked with several farm broadcasters. He's pictured here in one of those many interviews.

One of those interviews was with Jody Heemstra of KWAT Radio in Watertown, S.D. Domestic Fuel got a copy of the seven minute interview and posted it on their blog.

Broin talked about the recently completed corn corn crop residue harvest said that POET has made "tremendous strides" developing commercial cellulosic ethanol. He also talked about how POET will integrate cellulosic ethanol production with its existing corn ethanol plants and the benefits that will bring to both processes.

Cellulosic ethanol report reinforces the value of research, partnerships in commercialization

Yesterday’s report from the National Research Council on cellulosic ethanol production devotes about 100 pages to the environmental effects of cellulosic ethanol.

To sum up the findings: There are right and wrong ways to produce cellulosic ethanol, and the environmental benefits depend on which path you choose.

This is not a revelation. POET has always endorsed a cautious approach to commercialization. It’s amusing that we get questions one day asking “Are you moving too quickly to understand the environmental effects?” and the next “Why is cellulosic ethanol taking so long to commercialize?”

POET’s Project LIBERTY will use corn cobs, leaves, husk, and stalk to produce cellulosic ethanol, so I paid more attention to those sections dealing with POET’s process. One such section asserts:

“Corn stover, cereal straw, and other crop residues draw on existing crops so that their use as a bioenergy feedstock under best management practices might not contribute much additional GHG emissions. However, overharvesting of crop residues could result in additional need for agrichemical inputs and the loss of soil organic matter, which is critical for maintaining soil structure and water retention capacity and for improving nutrient cycling and other soil processes.”

POET agrees completely. This material is not “crop waste,” as some would assert. Stover plays a valuable role in soil health, and that’s something that POET is carefully monitoring through work with USDA-ARS and Iowa State University. This fall marks the fourth year of an ongoing study into effects of stover harvesting on soil in the Emmetsburg, Iowa area. This is information we share with the public. Download the latest results here.

POET contracts with farmers for no more than 20-25 percent of the above-ground biomass, which is on the low end of what that data shows is available for use. There are a few ways to ensure this limit is followed:

- Farmers want to protect their livelihood, the grain harvest, so they don’t want to take too much.

- POET representatives visit the fields of participating farmers during the harvest to make sure things are going as planned.

- To take more biomass, the harvest equipment is set lower to the ground, picking up extra dirt, rocks, and other debris. This additional material would cause the biomass to be outside of POET’s quality standards.

The pace moving from lab scale to pilot scale to commercial construction has been steady, with many checkpoints along the way. No one’s rushing into this without assessing the impacts.

A couple other points I want to address from the study:

1. Economics: There’s been a big to-do about the study’s conclusion that there’s a significant “price gap” between what companies will pay for biomass and what farmers will accept in order to harvest it.

We don’t go into specifics on our arrangements with farmers, because the biomass market is still developing. I will say this: Their assumptions are not consistent with the actual first-hand experience of POET signing contracts and working with farmers.

2. The report asserts that corn stover will be an early feedstock and that if done properly, it is positive for the environment. It then notes that the entire 16 billion gallons in the Renewable Fuel Standard can’t be met with stover alone.

Maybe I missed it, but it seems to me that the report doesn’t make clear just how much of that 16 billion gallons could come from crop residue. I think that’s an important point to note.

POET’s model has a cellulosic ethanol plant sited next to a grain-based ethanol plant. The cellulosic ethanol plant is half the size of the adjacent facility.

That means POET’s model, if applied across the industry could do roughly 6 or 7 billion gallons of the 16 billion gallons. That’s pretty significant, and from some of the reports I’ve seen, that number is on the low end of the potential.

BCAP's Unspoken Benefits

With the future of the Biomass Crop Assistance Program (BCAP) up in the air due to federal budget discussions, I thought I'd point out the benefits we've seen thus far in our work on Project LIBERTY.

1) Producer Participation/Assistance/Incentive - The biggest impact that BCAP has provided is for producer incentive and assistance with getting started. The early adopters that we are working with have made a bold step in choosing to collect biomass. With no other commercial facility in the country to point to where biomass is being delivered, many farmers ask why they should do this and what their incentive is to do so. BCAP has offered financial backing to help assist producers in investing in new equipment and creating an incentive to be part of the next scope change to modern farming.

2) Rural Economic Boost - As producers have invested in new equipment and looked for additional help, the money they spend is going directly to rural communities. In Emmetsburg, people are starting up new businesses to serve the farmers in their new endeavor. In the tough economic conditions our country faces, this can make a big impact.

3) Project Growth/Stability - BCAP provides a project like ours the ability to role out a biomass collection program with more financial stability. The support funding helps limit a project's financial exposure and/or allows for project growth/expansion in the early years. In the case of LIBERTY, we have been able to spread to more farmers and actively work with them to show them how biomass collection will benefit them.

4) Environmental Re-focus - Part of the BCAP program is performing a Conservation Plan. Many of the items included in this plan are already being done by farmers today. This has provided an opportunity for the producers to re-look at how they manage their land and make sure they are performing the best practices to help them be both productive and sustainable.

5) Farm Operation Expansion/Diversity - By participating in biomass collection and BCAP, producers are expanding their operations and creating more diversity. In some instances, this has opened the door to allow another person into the operation that may not have had the opportunity or space to support them without such a program. Programs like this offer the chance for more of our farm youth to come back to the farm.

As one can see by the list above, BCAP is having many positive impacts to the producers enrolled in BCAP, the Biomass Conversion Facility supporting BCAP, and the community in which the project is being established. Further support of BCAP should continue as it will create a pathway to help establish Second-Generation Biofuels and Re-powering.

LIBERTY Stackyard Up and Running

We had to wait a little longer than we wanted to, but the LIBERTY stackyard has now been up and running for nearly 5-weeks. Producers around Emmetsburg were able to get their Eligible Material Owner applications approved around January 24th and start deliveries. To date, we have brought in nearly 23,000 bone-dry tons (BDT) of material. We are averaging around 900 BDT of material into the yard everyday, which will allow us to meet our need production need of 770 BDT per day. Best of all, we hit the 770 BDT mark on the second day of taking bales. This was a huge accomplishment for the team, and they have not stopped since. Our guys in the stackyard have been doing a great job and deserve a much needed pat on the back. Great Job Guys!!!

Through these first weeks of delivery, we have experienced two of the bigger challenges we were waiting for. First was the opportunity to deal with snow in the yard. The team is learning how and where to move snow when it comes. They are attacking the areas where the most work will occur and balancing that with the unloading of trucks. We found that by slowing the inbound trucks, the snow gives the guys extra time to clean up the yeard.

The second was thawing and melting. With the seasonally high temps last week, much of the snow in the area melted causing muddy conditions. As well, the frost has begun coming out of the ground and both loaders and trucks were digging down into the roads and bale rows quite a bit. As we struggled with this, we also heard about the farmers struggling too. It looks like as we turn into spring of the spring of the year, we will be able to get by working in the mornings when the ground is firm, but may need to stop in the afternoons as the ground again turns soft. This is all part of the learning process!

 
 
Along with bale deliveries, we have performed our first round of sampling on the storage study bales that are in the stackyard. We will be doing analysis on these samples to determine the dry matter losses and compositional changes in the biomass that are occurring. We will perform more samplings throughout the year to see how these parameters change over time in the bales.

Cellulosic ethanol industry drives development of new harvesting equipment

When you develop a new industry like cellulosic ethanol it drives economic activity all up and down the supply chain. As we mentioned before on this blog,  locating our first cellulosic ethanol plant in Emmetsburg, Iowa drew a new agricultural equipment dealer to town.

The latest issue of Farm Industry News included a story looking at the work on biomass harvesting equipment by the entire agricultural equipment industry. It's an impressive list that includes Vermeer, AGCO, CASE IH, John Deere and more. As our country transitions from foreign to domestic fuels, this is just one of the industries that will benefit.

The Harvest Rolls On

Another week in the books and we can see the end of harvest nearing. The continued good weather and dry corn have been pushing the harvest pace. I spent the past week in Emmetsburg grabbing additional biomass samples. Much of my time as spent on collecting data from the One-Pass Baling units (see below). These combines have a large square baler attached to them and feed the material directly from the combine to the baler. This material never touches the ground and produces a bale mostly free of dirt and other debris. We gathered info on collection tons, amount of material removed, and the bale make-up.

 

The week's work also included harvesting the Iowa State University test plot and looking at the agronomic impacts associated with removing varying levels of biomass. The study looks at the effect of removing no stover to all of the stover, and virtually every point in between. This marks the third year of this work and will continue to build upon the data we have gained from the past years.

 

The bales at the Project LIBERTY Stackyard are part of the Storage Study work being done by Idaho National Laboratory. They are embarking on year two of their studies on biomass storage and the stacks (see below) at the plant site are part of their work that will cover the next 11 months. Through these results, we will be able to provide the best storage configurations that will offer the lowest dry matter losses and least effect to the ethanol process. For more on our collaboration with INL, click here.

 

I will be spending some more time in Emmetsburg this week grabbing data points and witnessing the biomass baling. I expect that much of the harvest will be wrapping up by the end of this week. Boy has this harvest season flown by.

Biomass Harvest Progression

 
I meant to sit down and write this last week, but with the beautiful weather other tasks crowded it out of my to-do list. We were able to return last week and finish the baling portion of our harvest trials in IA. This took place after receiving 5 inches of rain on top of the windrows of cob and husk, but as I said last time, that wasn't necessarily a bad thing.

For months, producers have been asking what happens if the windrow was rained on. Until this point, we did not have a reference point to work from. After allowing the windrows to dry out in the sun and wind for a few days, they dried out completely and were in almost perfect conditions for baling (pictured above). From our perspective, we would recommend that the entire windrow be dry to the touch and would focus on the bottom as it will be the last to dry. The most apparent negative to the rain event was the added dirt that had attached itself to the bottom layer of leaves. The moist dirt simply ad-hired to the leaves and husk, but was still at a very minimal level. In the end, as long you allow the windrows to dry out thoroughly there should not be an issue baling material that has been rained on. Problems could arise only if wet material is baled, since biological activity in the bales could result in dry matter losses.

 

I was once again in Emmetsburg this week. Almost all of the beans have been harvested and many farmers have started on corn. It was exciting driving into the area and seeing bales in the fields. The weather has been fantastic for harvest thus far and we hope for continued cooperation from the weather.

 

On Thursday, I traveled with Mike Roth to Stuart, Iowa. The Adair County Corn and Soybean Association put on a Biomass Harvest Field Day to talk to area producers about technologies available for collecting biomass, yield results on corn and soybean plots and the agronomic impacts of biomass removal.

The day also included equipment demo of biomass collection equipment. The first equipment we viewed in the field was First-Pass Collection equipment. John Deere ran their STS Cob Attachment and cart, Tuthill ran the Bale-Direct System, and Vermeer ran the CCX770 Cob Cart. In the afternoon, we watched Second-Pass Collection in the form of round baling by John Deere with their 568 baler and Vermeer with their 605 Corn Stalk Special baler. I enjoyed being able to view this equipment in operation and see the continued work that is being done to develop and advance biomass collection equipment.

It was an excellent event that introduced the area farmers to the potential that biomass has and the revenue stream waiting to be created. It was exciting to see a local group take the initiative to put together an event that discussed such topics.

I will be back in Emmetsburg again next week to collect bale samples for analysis this winter (pictured above). If the weather holds, much of the corn harvest will be finished within the next few weeks. It is amazing how much difference there is from last year to this year. As always, I will be wishing continued luck and safety to our participating producers.

Corn Residue Removal

In response to a study from University of Illinois fertility specialist Fabian Fernandez called "Removing Crop Residues Removes Nutrients from the Field," I want to say 'I like your math'.

Fernandez's study sets the number of bales (like those pictured here) that can be sustainably removed from a field of corn based on planting rotation, tillage technique and the corn yield in a given year. He lays out the data in such a way that it is very easy to read and understand.

The only beef I have with the data is it is not complete. The data for the extreme examples of moldboard plow and conservation tillage look good, but the farmers in North West Iowa will have to be versed in linear interpolation to understand where their fields lie within the data.

Three points of clarification on the average NW Iowa corn farmer:

1. they typically follow a corn-on-corn rotation for a number of years before switching to another crop for a year or so prior to planting corn again
2. they will not moldboard plow or use a very minimal conservation till. We have see the vast majority of farmers use something more aggressive than no-till but much more gentle than the moldboard plow. A V-rip is standard for fall tillage.
3. the average corn yield (when considering all his corn acres) is 180 to 185 bushels per acre

When considering these facts, the data table in Fernandez's study appears to be right on target. For farmers in NW Iowa with continuous corn, using v-rip tillage and yielding 185 bu/acre, upon interpolation of the given figures, the math shows that one can sustainably remove 1.63 bales per acre, or 25% of the above ground residue which is what we have been recommending.

It's encouraging to see multiple universities, companies and government agencies studying the impact of residue removal on soil quality. It's especially encouraging that most of the studies confirm that some amount of corn crop residue can be removed from healthy soil without negatively impacting soil quality. This is an issue that we're committed to continuing studying and working with the others who are as well.

In short, it appears we agree with Fernandez's study. But in this case the sound bite doesn't quite capture it all; one needs to look at the entire message.

Farm Progress Show

POET Biomass is attending the 2010 Farm Progress Show in Boone, IA this week. We are displaying a biomass bale like the one pictured here at Conservation Central (booth #817).
We are looking forward to talking with equipment manufacturers and farmers about the process of collecting, storing and transporting cob biomass from the field to the plant. POET Project LIBERTY is still on track to collect in excess of 50,000 tons of biomass from the 2010 harvest in the fields surrounding Emmetsburg, Iowa.

Harvesting Biomass Deep in the Heart of Texas

POET Biomass just completed a 10-day visit to the heat of southern Texas. It was a challenge to keep the team fully hydrated as we sweated in the 100+ degree sun during the harvest of ~75 acres of corn. The corn yield was good, but the collection of the biomass was even better.

During the harvest, POET Biomass produced more than 100 bales of biomass from corn cobs, leaves, husks and the very tops of the stalks (like the one pictured here). Several of these bales were sent to the POET Research Center in Scotland, S.D. for further testing and for conversion to cellulosic ethanol in our pilot plant.

POET Biomass worked with Vermeer and a farmer in southern Texas to harvest both corn and biomass. This included the use of a Vermeer 605 Super Cornstalk Special Baler. Not only was this a learning experience for POET Biomass but it also allowed Vermeer to use their equipment in a situation that will closely match the conditions of the Iowa harvest later this fall. The equipment was tweaked to produce the best bale while leaving a minimal number of cobs on the ground.

From this learning experience, POET Biomass will be able to put together best practices for farmers to follow as they begin to harvest this fall. In the summer collection of biomass in the great state of Texas, the term 'no sweat off my back' doesn't apply, the heat of the southern Texas sun ensured there was plenty of it.

To see more photos from the harvest, go to our Flickr page.