DRIVERS FOR BIOMASS AS FUEL

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DRIVERS FOR BIOMASS AS FUEL

• Increasing cost for fossil fuels
• Increasing concern for economic and strategic
  security
• Increasing concern that the use of fossil fuels
  is changing the worlds climate

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Changing Energy Prices

• 1 bbl oil 1 bu corn
• 1 bbl oil 9 bu corn
• 1 bbl oil 30 bu corn
• 2009 1 bbl oil 20 bu corn

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Oil Price Impacts Corn Cost
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2009 Energy Prices (/mmbtu)

• Coal (24-96/ton) 1 4
• Natural Gas 4
  20
• Gasoline (1.50-4.00/gal) 14 36
• Corn (at 3-5/bu) 9 - 15
• Cellulose (straw/wood)
• (at 30-60/ton) 2.5 - 5

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Corn Energy/Fuel Potential per Acre

• 
  2009 2020
• Yield corn (bu/acre) 170
  210
• - stover (tons/acre) 2
  2.5
• - total tons/acre
  6.8 8.4
• Energy MM Btu/acre 88
  109
• Potential Ethanol gal/acre 596
  876
• Corn to ethanol yield (gal/bu)
  2.8
  3.1
• Cellulose to ethanol yield (gal/ton)
  60
  90

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Switchgrass/PoplarEnergy/Fuel Potential per Acre

• 
  2009 2020
• Yield (tons/acre)
  5 - 10 15
• Energy MM Btu/acre 65
  - 130 195
• Potential Ethanol gal/acre 300 -
  600 1350
• Corn Energy (MM Btu/acre) 88
  109
• - Potential Ethanol (gal/acre)
  596 876
• cellulose to ethanol yield (gal/ton) 60
  90

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Carbon Intensities of Certain Fuels(CARB-LCFS -
grams CO2e/MJ)

• Direct
  Land Use Total
• CARBOB 95.86 0
  95.86
• Corn Ethanol 69.40 30
  99.40
• Cellulosic Etoh 2.40 18
  20.40
• (fermentation)
• Electricity 104.70 0
  34.90
• Hydrogen 76.10 0
  33.09
• Adjusted to reflect power train efficiency

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Potential Energy Revenue Per Acre

• 
  2009 2020
• Corn
• ethanol from starch _at_ 1.50/gal 714
  882
• ethanol from fiber _at_2.50/2.00/gal 300
  576
• high protein feed
  180 200
• Total
  1194 1658
• Switchgrass/Poplar
• cellulose ethanol _at_2.50/2.00/gal 750
  1500 1752
• lignin _at_ 80 ton
  160 - 320 480
• Total
  910 1820 2232

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Farmer/Processor Revenue per Acre

• 
  2009 2020
• Corn
• Corn _at_3.30/bu
  580 693
• Stover/cob _at_60/ton
  120 150
• Total farmer revenue
  700 843
• Processor revenue
  494 815
• Switchgrass/Poplar
• farmer revenue _at_60/ton
  300 600 900
• processor revenue
  610 1220 1332

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Other Opportunities with Perennial Energy Crops

• Flood tolerant crops could facilitate
  reconnection of the flood plain with the river
• Increased carbon sequestration
• improved wildlife habitat
• Restore more natural hydrology including
  potential for reduced flood damage
• Reduced nitrogen loading
• Improved river ecosystem functioning