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Friday, 01/25/2013 3:52:48 PM

Friday, January 25, 2013 3:52:48 PM

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Corn Oil, Biodiesel, Blender Patents All In One

Biodiesel production at the ethanol plants.

I would like to see GPRE install GERS' patented biodiesel production upgrade. It just makes "cents".

When the oil is extracted it's pumped into storage tanks at the ethanol plant. From there, the oil is loaded into a semi or rail car. When it gets to the biodiesel plant, it's pumped back into another storage tank and then pumped into the biodiesel reaction system. The finished product is pumped into a storage tank at the biodiesel plant. Then it's loaded back into another semi or rail car. The biodiesel is then pumped into yet another storage tank at a blending facility. From there, the biodiesel is mixed with diesel and pumped back into a semi or rail car. Finally, the mixed fuel is pumped into the underground tanks at gas stations until it's pumped into vehicles. This is ridiculous.

My question is, why?

With the ability to produce biodiesel at the ethanol plant, much of this could be eliminated and the savings would be huge. The extracted oil should be directly turned into biodiesel at the ethanol plant and then taken straight to the storage tanks at the gas stations. From there, biodiesel in it's pure form, should be blended with the new GERS' fuel blending method patent. This, I believe, is GERS' strategy. This would cut out the middle man, save consumers a lot of money, and encourage higher blends of biofuels.

In GPRE's case, they have the blendstar asset. GPRE could save a lot of money by producing biodiesel at their plants. With the blendstar asset, GPRE would get the $1 per gallon credit instead of passing it on to the middle man or big oil.

http://www.gpreinc.com/BlendStar
This may be the big news GERS has been working on.

Event driven systems integration of systems other than corn oil extraction technologies.

There's no need to transfer the corn oil/biodiesel over and over. If GPRE produced biodiesel and blended it themselves, they could capture the full value of the supply chain as well as the $1 per gallon credit. In addition, GPRE would have another product to sell, glycerin, the byproduct of biodiesel production. Also, GPRE's algae oil production is ramping up. Another good reason for them to have the ability to produce biodiesel.

GPRE could gain as much as $20 million in biodiesel tax credits not including algae oil.
This would likely pay for the equipment upgrade at their plants.
Could this by what GPRE is about to do? They did just raise $100 million from the deal with The Andersons.

The numbers are compelling. The profit potential is phenomenal.

Good Luck To All!$!$!$!$!$!$
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