Looks like the EPA finally was able to push RFS2 through. Biodiesel from WVO and Poultry fat scores a 87% on Greenhouse Gas Reduction compared to diesel. RINS ticked up a couple of cents but the real question will be if EPA will enforce 2009 and 2010 RINS. Without enforcement the RINS will stay low. In our opinion without the $1 tax credit from the IRS, biodiesel will never hit the RFS2 requirement of of 1.1billion gallons for 2009 and 2010. Will RINS replace the $1tax credit? Some feedback we have received is it might get to $.60 to $.80 in the tax credits absence but even still it is hard to see biodiesel as competive as something you can pump out of the ground.
Lab results showed that a 1:500 ratio of Power Services anti-gel product reduces CFPP to 3f with a blend of B20.
|A.S.T.M. TEST NUMBER||D4176||D2500||D6371||D97||D4928||D287|
|Appearance||Winter Operability||Water||API Gravity|
|B100 Biodiesel Sample|
|9959 B100 Poultry Fat||Gold, hazy||64||no test||40||29.4|
|N0. 2 Diesel|
|9437 TN ULSD||pale yellow, clear||12||no test||0||86||31.7|
|9437/9959 B5 + AEB 1:1500||-9||-24|
|9437/9959 B5 + AEB 1:750||-22||-32|
|9437/9959 B10 + AEB 1:750||-4||-40|
|9437/9959 B10 + AEB 1:500||-22||NT|
|9437/9959 B20 + AEB 1:500||3||-22|
|* CFPP - Cold Filter Plugging Point - The highest temperature at which fuel, when cooled under given conditions will not flow through a prescribed filter.|
We decided to put our plant production on hold until word of the tax credit status comes through. In adddition we are looking for RINS to climb above $.08 in anticipation of RFS2
We began production of 2 x 800 gallon batches per day of B100 using poultry fat. Our process utilizes sodium methylate, virgin methanol and recovered methanol.