An article below "Q&A with Iogen..." but first something -- 

    ABOUT  The Environmental and Energy Study Institute (EESI)
    is a non-profit organization dedicated to promoting
    environmentally sustainable societies.... 
    EESI was founded in 1984 by a bipartisan group of
    Members of Congress concerned about energy and
    environmental issues.  http://www.eesi.org/about/about.htm 

    - ECO Newsletter - 
    Published monthly, this newsletter
    provides an open forum for discussion of
    Ethanol, Climate change, and Oil reduction issues. 
    http://www.eesi.org 


 APRIL 2003 
 Q & A with Iogenâs Jeff Passmore regarding cellulosic ethanol 
 http://www.eesi.org/publications/Newsletters/ECO/eco%2019.htm 

 ECO recently interviewed Jeff Passmore, Executive Vice President of Iogen 
Corporation. 
 Iogen [http://www.iogen.ca] is a privately owned Canadian business that has 
recently
 announced that its demonstration facility in Ottawa, Canada is successfully 
processing
 30 tons of wheat straw per week into fermentable sugar and is on track to 
reach annual
 production of 320,000 liters (roughly 85,000 gallons) of cellulosic ethanol. 

 Potential feedstocks for producing cellulosic ethanol include a broad range of
 agricultural residues and forest wastes such as sugar cane bagasse, rice hulls 
and
 forest thinnings, municipal wastes such as waste paper, yard waste, 
construction debris,
 and industrial wastes such as pulp/paper and sludge.  According to research 
done at the
 Argonne National Laboratory, cellulosic ethanol also greatly reduces the 
emission of
 greenhouse gases when compared to gasoline. 

 [SEE:  Briefing Summary - Elements of a BioBased Economy: BioBased Energy, 
Fuels, and Products
  May 20, 2003 
http://www.eesi.org/briefings/2003/EnergyandClimate/5.20.03%20Biomass/5.20.03%20Biomass.htm]
  

    Why does Iogen think the development of a cellulose market is 
important/desirable? 

 Iogenâs goals include meeting the challenge of reducing North Americaâs 
greenhouse gas
 emissions, creating a domestic fuel supply, increasing market opportunities 
for farmers,
 and creating local jobs. 

 Our technology will allow for major impacts on the CO2 put back into the 
atmosphere in
 the transportation sector.  The demonstration facility in Ottawa, Canada has 
been
 designed and engineered to process up to 40 tons of feedstock per day.  
Currently, the
 facility is successfully processing 30 tons of wheat straw per week into 
fermentable
 sugar ö which would produce 320,000 liters of ethanol annually.  No one has 
ever used
 modern enzyme technology to successfully convert cellulose material (a polymer 
made up
 of repeating units of glucose, a simple sugar) such as straw into fermentable 
sugar on
 this scale before.  The demo plant construction began in 1999 and was 
commissioned in
 April of 2002. 

    What technology is Iogen using in its demonstration facility?  

 Iogen Corporation is an industrial manufacturer of enzyme products for the 
pulp and paper,
 textiles and animal feed industries, and is a developer of technology to make 
clean fuels
 from plant fiber.  Since it's founding in the early 1970's, Iogen has been 
focused on the
 processing of natural fiber, and has made a substantial commitment to 
technology in the
 field.  The company's effort has resulted in a range of enzyme products used 
to improve
 the way fiber is processed. 

 EcoEthanolú is the same as conventional (or grain derived) ethanol; the 
difference lies in
 how it is produced.  Our focus for feedstocks has been wheat straw and corn 
stover ö but any
 cereal straw is useable - as long as the yields make it economical and as long 
as the
 cellulose content is there.  To be useable in our process, a feedstock must 
have roughly
 60 percent carbohydrate content, and be available in very large quantities 
such as
 750,000 tons per year within an 80-mile radius.  There would also be the 
question of
 harvesting the material. 

 In laymen's terms what happens is that the feedstock, frequently straw, is 
crushed into
 a powder.  It is then put through a patented pretreatment process to open up 
the fibers. 
 Enzymes (a natural catalyst used in many industries) are added to the 
pretreated feedstock. 
 The enzymes break down the cellulose content into sugar.  That sugar is then 
fermented and
 distilled into ethanol. 

 In our process we use the lignin in the straw and stover.  It can be used to 
produce
 electricity and becomes an integral part of the massive greenhouse gas 
reductions we see
 with ethanol from cellulose.  On average, one dry metric ton of wheat straw 
will produce
 250kg of combustible materials.  Of this, approximately 200kg is lignin, all 
of which
 can be burned to create electricity.  Lignin has around 80 percent of the heat 
content of
 typical thermal coal, or approximately 20,000 BTU/kg.  Depending on the 
feedstock used
 and its growing conditions, there can be a surplus of lignin that can be sold 
to the
 power grid as green electricity.  

    What are the greatest technological obstacles to the development of a
    commercial-scale cellulosic ethanol facility?  

 We have always known that you can use enzymes to treat fiber and turn it into 
sugar;
 the obstacle lies with at what cost and whether this can be done in an 
industrial-scale
 environment.  We need supplies of straw, financing, an off-take for the 
ethanol, a market
 and an affordable price.  Iogen has designed the engineering around the enzyme 
process,
 and the enzymes around the engineering process.  Our scientists have to keep 
talking to
 our processing engineers, and vice versa, in order to come up with the optimal 
commercial
 development. 

 One must also ensure that there is good patent protection in place.  Iogen has 
many patents
 on our enzymes and stages throughout our EcoEthanolú process.  Protecting 
intellectual
 property is key.  We have also not shied away from strategic investments.  We 
realized that
 we were going to have to give something up to get The Royal Dutch/Shell Group 
to invest,
 but you make sure you have smart people on your side of the negotiating table. 

    What incentives need to be enacted to spur the development of a cellulosic 
ethanol market? 

 Since cellulosic ethanol is in the early stages of commercial development, 
Iogen would like
 to see governments willing to discuss with industry how best to further 
advance the
 commercialization of this technology.  Incentives to fuel the 
commercialization of this
 technology may take the form of loan guarantees, capital grants, producer tax 
credits and/or
 tax exemptions.  We are asking for recognition by the Canadian government of 
the GHG reduction
 benefits of Iogenâs technology, and a structure to discuss the incentives 
necessary to establish
 a cellulose ethanol industry. 

    Do you see enactment of a national Renewable Fuels Standard (RFS) in the 
United States as
    important to achieving your goals?  

 While Iogen is a strong supporter of the RFS, the US demand for ethanol will 
continue to grow
 due to implementation of state MTBE bans and to increased awareness and 
acceptance of ethanol
 in the next three to four years.  After that the RFS will allow the market to 
avoid stagnation. 

    What are Iogenâs next steps if the demonstration plant is a success? 

 Iogen has recently signed a $46 million strategic partnership agreement with
 The Royal Dutch/Shell Group to aid in the development of Iogen's EcoEthanolú. 
 The investment will enable Iogen to develop more rapidly the worldâs first
 commercial-scale biomass to ethanol plant.  While Iogen has not yet made a
 decision on where the first commercial biorefinery will be built, we are
 investigating the Canadian prairies, the US Midwest, the UK, and Germany. 
 The first plant should see construction started in late 2004, with
 EcoEthanolú being commercially available in late 2006.

    As always, EESI welcomes your comments about the issues raised in this
    commentary and throughout ECO.  Responses, article and commentary
    submissions, and feedback can be sent to [EMAIL PROTECTED]  

 ----- 

 Henry Ford, Charles Kettering and the "Fuel of the Future"
 in press, Society of Automotive Historians, 1998 
 Copyright Bill Kovarik, Ph.D., 1998 
 by Bill Kovarik, Ph.D. 
 http://www.radford.edu/~wkovarik/papers/fuel.html
   The fuel of the future, according to both Henry Ford and Charles F. 
Kettering,
 was ethyl alcohol made from farm products and cellulosic materials. 
 Ford, of course, is well known as an automotive inventor; 
 Kettering was the head of research at General Motors for many years and
 a highly respected inventor in his own right.... 
   This paper examines that context, including the 
   competition between lamp fuels in the 19th century; 
   the scientific studies about alcohol as a fuel in the early 20th century; 
   the development of "ethyl" leaded gasoline as a bridge to the "fuel of the 
future" in the 1920s; 
   the worldwide use of alcohol - gasoline blends in the 1920s and 30s; and 
   the eventual emergence of the farm "Chemurgy" movement and its support for 
alcohol fuel in the 1930s. 


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