Docrew, I have to dig around for that 0.10/g link but I do remember that discussion over on Alcard and the number seams resonable if you look at oil. If this is the standard for all these new alternatives it puts them all on the same playing field.
Didn't W2 state awhile back that production costs were around
$5/barrel. So we add $4.20 a barrel that still well below cost of gasoline to produce.
Lets call it $10/barrel cost w/royality
Look at costs associated with gasoline:
54% is the price of crude;
21% is the cost of refining;
2% is the cost of transportation; 1
7% is taxes;
retailing and marketing; and profit to refiner, transporter, and retailer is 6%.
At $2.70/gal gasoline (price of gas when I got these numbers)
costs per barrel
oil $61.24
refining $23.81
With our alternate technology fuel products
I dont know how to cost the bio mass (garbage) going into the reactors, I would figure most of it is going to be the transportation/handling costs associated to bring it to the plants. But it has to much much less than $61/barrel and will probable be offset by the fertilizer byproduct that is being produced. Lets call it break even.
Figure the product will have to be blended at the refineries if it to be used in our transportation fuel system but that cost should be minimal( fraction of oil refining). If it is to be used for power generation, than it's possible just to feed it directly into the plant for an even greater cost savings.
So we when looks at costs for fuel,
we have $10/barrel (with our 0.10/g royality) vs $85/barrel conventional oil products.
I think 0.10/gal is cheap!