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Friday, 01/27/2012 1:47:18 PM

Friday, January 27, 2012 1:47:18 PM

Post# of 312102
JBII PROFITABILITY IMO = NO BRAINER. HERE'S WHY:

JBII feedstock cost -- $0
JBII electricity cost -- near $0
JBII natural gas cost -- near $0

Take biodiesel costs as an example, a process that ekes out a tiny per gallon profit:

Yellow Grease feedstock cost -- $600/ton
White Grease feedstock cost -- $800/ton
Soybean oil feedstock cost -- $1000/ton
http://www.ams.usda.gov/mnreports/lswagenergy.pdf

"The Energy Information Administration (EIA) uses a process-costing approach to model the impacts of net feedstock production costs plus capital and operating costs. The feedstock cost of the oil or grease is the largest single component of biodiesel production costs."
"The biodiesel production process uses, for each gallon, 0.083 kilowatthours of electricity and 38,300 British thermal units (Btu) of natural gas"
http://www.eia.doe.gov/oiaf/analysispaper/biodiesel/

Biodiesel requires very expensive feedstock, electricity, and natural gas to produce -- yet ekes out a tiny profit. JBII has virtually none of these costs. Profitability is a no brainer.

Raw

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