Growing the Bioeconomy

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Growing the Bioeconomy

• Michael Ott
• BIOWA

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Overview

• BIOWA
• BIOWA Capital
• Biobased products
• Problems related to cellulosic ethanol
• Solutions
• Synergistic clusters

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Research Institutions
Commodity Manufacturers
Entrepreneurs
Producers
BIOWA
BIOWA Capital
Economic Developers
Biotechnology Companies
Environmental Groups
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What does BIOWA do?

• Makes it easier for companies to do business
• Strategic partnerships
• Business to business
• University to business
• Investors
• Business planning
• BIOWA Business Services
• Healthcare
• Insurance
• Retirement planning
• Equipment and Supplies

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What does BIOWA do?

• Facilitate projects
• Biorefinery
• Input/Output database
• Increase awareness of biobased products
• Public speaking
• Legislative input

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What does BIOWA do?

• Consulting
• Technology
• Finding best technology for individual situations
• Establishing win-wins
• Capital
• Links to appropriate investors
• Advice on capital formation

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New Thing

• BIOWA Capital is looking to make investments in
  the bioeconomy
• Ethanol or Biodiesel plants
• New technologies
• Infrastructure

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Biobased Products

• Biofuels are the best known example
• New fuels from byproducts
• Home building products
• Perceived to be higher priced, lower quality
• THATS NOT TRUE ANYMORE!

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Fun Facts

• Compared to petroleum, per unit of energy,
  biofuels production creates 100X jobs
• If you harnessed all the waste from a city of one
  million people, you could make enough ethanol
  for
• 56,000 Americans
• 360,000 French
• 2,600,000 Chinese

World Bank Study
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Ethanol and Biodiesel

• Iowa is the leading producer of corn, soybeans,
  ethanol, biodiesel, pork and biomass
• Syzygy of efficient technology, cheap feedstock
  and high oil prices leads to very profitable
  biofuel production
• BIOWA makes it better

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Why do we need biorefineries?

• In 2005 the US produced 4 billion gallons of
  ethanol in 2005
• However, we consumed 140 billion gallons of
  gasoline
• If we produce more than 15-20 billion gallons
  from grain, the demand for corn will dramatically
  rise and adversely affect the farm economy
• Much larger volumes can be made from cellulosic
  feedstocks

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Biorefinery Products

• Break down to a common source build up from
  there
• Fuel is the main product
• Byproducts
• Commodity chemicals
• Natural fibers
• Electricity
• Feedstock dependent

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Map of Ethanol Plants
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Cellulosic Ethanol Challenges
Harvest, Transport and Store Cellulosic
Feedstock
Convert to ethanol and high value co-products
Transport ethanol and co-products to end users
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Second Bucket

• Industry is capable and willing to solve the 2nd
  problem, with some help from the government.
• Iogen, Celunol, Mascoma, Bluefire, BRI, Verasun,
  ADM, Broin, Dupont, SunOpta, Kergy, Coskata,
  Abengoa, Xethanol,.. .
• Many other supporting companies

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Oil Refinery

• http//tinyurl.com/zhj9g

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Ethanol Process
Corn Kernels
Milling
Cook with Enzymes
Fermentation
Distillation
Ethanol
Dried Distillers Grains
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Process Improvements
Corn Kernels
Milling
Cook with Enzymes
Fermentation
Distillation
Burn or Gasify
Ethanol
Dried Distillers Grains
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Ethanol Process
Corn Kernels
Milling
Cook with Enzymes
Fermentation
Distillation
Ethanol
Dried Distillers Grains
Higher Value Dried Distillers Grains
Corn Oil
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Biorefinery Schematic
R. Brown, Iowa State University
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Gasification Process
Carbon Based Waste
Gasification
Dissolve into Solution
Fermentation/ Catalysis
Distillation
Ethanol
Create Electricity
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Biodiesel Process
Vegetable Oil
Methanol
Biodiesel
Glycerin


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Biodiesel Process Improvements
Vegetable Oil
Methanol
Biodiesel
Glycerin


Methanol Recovery
Burn/Gasify for heat
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Gasification Process
Carbon Based Waste
Gasification
Dissolve into Solution
Fermentation/ Catalysis
Distillation
Ethanol
Create Electricity
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Ethanol Process
Corn Kernels
Milling
Cook with Enzymes
Fermentation
Distillation
Ethanol
Dried Distillers Grains
Higher Value Dried Distillers Grains
Corn Oil
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Biodiesel Process Improvements
Vegetable Oil
Methanol
Biodiesel
Glycerin


Methanol Recovery
Burn/Gasify for heat
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Oil Refinery

• http//tinyurl.com/zhj9g

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Cellulosic Ethanol Challenges
Harvest, Transport and Store Cellulosic
Feedstock
Convert to ethanol and high value co-products
Transport ethanol and co-products to end users
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Cellulosic transfer solved?
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A much bigger scale
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But seriously, folks

• A global view of the cellulosic conversion
  process is necessary because variables are
  interdependent
• Various feedstocks require different pretreatment
  methods, enzymes and organisms
• Co-optimization is key

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Feedstock solutions

• Public spending on feedstock logistics is
  necessary because the problem is larger than any
  one company
• Groups like BIOWA bring stakeholders together to
  address challenges early
• A credit or subsidy for harvesting cellulosic
  feedstock is necessary to stimulate the process

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Cellulosic Ethanol Challenges
Harvest, Transport and Store Cellulosic
Feedstock
Convert to ethanol and high value co-products
Transport ethanol and co-products to end users
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Ethanol Transport solved?
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Final Product Transport

• Our rail system is nearly overburdened
  transporting current amounts of ethanol and DDGs.
• Expansion of 3-15X will clearly outstrip the
  capacity of rail
• Pipelines have to be the answer

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Pipelines

• Currently pipelines are not used for ethanol
  transport for a number of reasons
• A feasibility study is needed to address issues
  and present solutions
• Private industry is not incented to do this and
  it needs to be done, so public funds are
  necessary.

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Conclusion

• Biobased products are here to stay and are
  fundamentally better than petroleum based
  products
• BIOWA works with all players to create the best
  biorefinery for any given area
• Variables are interdependent, so a global view is
  essential

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Websites to visit

• www.biowa.us
• www.biowacapital.com
• (coming soon)
• www.bioeconomyconference.org
• Feel free to contact me with any questions at
• biowa.us_at_gmail.com