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Idaho Ethanol Processing to invest up to $6 million to develop power from potato methane

July 14, 2008

In Idaho, Idaho Ethanol Processing said that it will spend up to $6 million in the next year to improve the energy use at the plant, which uses potato waste, unusable wines and juices, molasses, and beet syrup as feedstocks. The project will develop a process to generate power from methane created in potato processing.

Idaho background

The 60 Mgy Pacific Ethanol plant in Burley is facing daily fines from the local town council for zoning violations stemming from odors characterized in an AP story as “eye-watering”. The company is working to investigate and remediate. The $120 million project opened in April. Pacific Ethanol recently commenced production at the plant, which will use 21 million bushels of corn, and the entire ethanol demand for Idaho from the plant, as well as up to 500,000 tons of distillers grains for livestock feed.

In Canada, Iogen said that would suspend development in the state of Idaho and build its 23 Mgy cellulosic ethanol plant in Saskatchewan, after the Canadian officials put together a $500 million incentive package for ethanol projects, although it was not disclosed how much would be steered to Iogen. The US Department of Energy had offered $80 million in loan guarantees for the $350 million project. Iogen is backed by Shell, Petro Canada and Goldman Sachs.

Iogen execs said that they hoped to launch the 23 Mgy plant north of Saskatoon by 2011, using wheat straw and other cellulose as feedstock.

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    Written by Jim Lane · Filed Under Producer News 

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