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Re: walrus_no_9 post# 987

Thursday, 08/09/2007 3:11:19 PM

Thursday, August 09, 2007 3:11:19 PM

Post# of 1109
8/8/2007 9:59:00 AM Email this article • Print this article
The delegation formed after Bowers and CBEC Field Operations Manager Rick Nannen visited China in March and presented the CBEC project.
Chinese delegation visits Colusa, explores Colusa Biomass Energy Corporation future
For nearly six years, Tom Bowers of Colusa Biomass Energy Corporation [CBEC] has worked toward building a bio-refinery in Colusa County.

As Bowers and his team have progressed, the company has gained attention in the United States, and internationally. Now, China is showing an interest in CBEC by sending a delegation to meet with CBEC in Colusa County.

CBEC has developed business relationships with governmental agencies in Egypt, Peru, Bolivia, Chile and Argentina as well as developing contacts with capable private enterprise candidates in Greece, Indonesia, Viet Nam, the Philippines and Korea.

Last week, Bowers and CDEC hosted the delegation from China.

Sichuan Tuopai Group Chairman, Assistant Chairman, Central Plant Manager, Master Senior Engineer, Secretary to the Chairman, and the County Executive for Shehong County, Sichuan Province, China, and the Chief of the Regional Economy Development Division, Sichuan Provincial Development and Reform Commission were among the delegation representing China on the tour here.

"Each of these individuals has an abiding interest to establish a renewable energy infrastructure within their province and the Central Government has a similar intention for the Chinese nation," said Bowers. "Sichuan is a major agricultural production area in Western China."

Bowers explained earlier this week that the Chinese delegation came to Colusa for a three-day visit to discuss in detail the proprietary technologies primarily for processing waste rice straw to fuel ethanol and silica sodium oxide.

Bowers hosted the initial meeting prior to the tour at the Colusa County Business & Visitors Center conference room.

"We were pleased that we had the opportunity to rent the conference room at the Colusa County Business & Visitors Center for this meeting," said Bowers. It is very fortunate that such a nice facility is available," he added.

The delegation formed after Bowers and CBEC Field Operations Manager Rick Nannen visited China in March and presented the CBEC project.

Sichuan Tuopai Group Company LTD is a vested and well-established ethanol producer located in SheHong County where it is the largest employer [7,000 factory employees], and the largest taxpayer.

Bower commented that the Tuopai ethanol is primarily made from both wheat and corn, with the alcohol used to fortify Chinese wines and liquors.

Negotiations with Tuopai have centered around an investment in CBEC, a development of an identical bio-refinery to the Colusa Biomass Bio-refinery in SheHong, and further developing multiple additional bio-refineries within China.

"At this point, the business model is for CBEC to joint venture with Tuopai in the development of the waste rice straw to ethanol and silica sodium oxide markets within China," said Bowers.

According to Bowers, CBEC has developed the pre-processing techniques both mechanical and chemical, to separate into four basic chemical compounds from its preferred feed stock waste rice straw. "The four compounds; cellulose, hemicelluloses, silica, and lignin all have demonstrable value in the production of cellulosic ethanol from organic material," said Bowers.

The intellectual property that the entity CBEC is based on is US Patent 5,735,916 issued in 1997. CBEC owns the patent and all rights. An extract of this patent may be viewed at www.colusabiomass.com.

Bowers said CBEC would build its initial bio-refinery in Colusa County, with an annual capacity of 12,500,000 gallons refined from 135,000 tons of rice straw. He added that the corporate business model is based on building an operating eleven bio-refineries by close of 2012. "All of these bio-refineries will be identical in design, type of feed stock used, and output," he said.

Bowers said that CBEC is most honored to have the Chinese delegation travel to Colusa County. "The Chinese do not generally travel to foreign nations, and it is totally unprecedented that they would come to Colusa County to meet with Bowers and CBEC although the factory has not yet been built here.

They [the Chinese delegation] are in the ethanol business, and although there are not yet towers of stainless steel or pipes to show that we are producing ethanol, they came for the technology that we are able to share with them," said Bowers.

Bowers later commented that he has always felt that the opportunity to move forward with the project would come to him.

Now it appears that it has. "Although the U.S. Government has not acknowledged the economic and environmentally sound process we have presented with CBEC, it has now been recognized by the world's largest rice producer," he said.

"What we intended for Colusa County and an expansion into the state has now gained the interest of countries outside of the United States," said Bower.

Bowers said no final agreements have been struck with the Chinese delegation, but that the gesture of the visit, which in itself was outside of the country's norm, was an encouragement to CBEC.

Although the group traveled with an interpreter, each individual spent time asking questions of Bowers.

Bowers commented on the intensity of the visit, and the eagerness of the Chinese delegation to learn about the CBEC process. "They were here to listen, and to ask questions," he said.

Bowers included a brief summary of the highlights of the CBEC process as:

•High ethanol yield per ton of feed stock [94 gallons].

•Low cost of feedstock [waste straw].

•Feed stock most plentiful in world [800,000,000 tons annually].

•Low production costs of ethanol.

•Two income streams: ethanol and silica sodium oxide.

•Transportation fuels market worldwide expanding ahead of production.

•No feed stock taken from food stream, all are Ag wastes and residues.
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