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$720,000 taxpayer handout to build new biodiesel refinery
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Managing partner John Forrest says "There's no way we'd go ahead with this project" without the Tax Payers money.

http://www.thenewstribune.com/...-stimulus-grant.html
 
Location: Southside | Registered: January 12, 2010Reply With QuoteReport This Post
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Good grief there are a lot of red flags with that company...

quote:
"There's no way we'd go ahead with this project on this schedule and scale without the stimulus money," said managing partner John Forrest.


This sounds like a classic case of the handout BEING the business plan. I pity the shareholders, if that is the case.

quote:
The first unit is planned to produce 6 million gallons per year of biodiesel. Over a decade, that would reduce the need for 60 million gallons of petroleum diesel. Three production modules could be added at the site later.


From 6 million gallons of what feedstock? Feedstock prices are rising, so if there isn't something in place, this could be a hollow pledge. The end of the article refers to their feedstock "preference", but I see nothing that will hedge this problem.

quote:
The new technology planned for the plant would use as little as one-tenth of the energy used by traditional biorefinery plant designs by reusing heat produced during processing, the application said.


"as little as" is pure politician-speak. That will not be the case. Re-using heat simply CANNOT have that big of an effect.

But this takes the cake:

quote:
Among the strong points the state found in Gen-X's application was that it had "solid biodiesel experience." Gen-X operated a biodiesel plant in Burbank until last July, when it burned down. It continues to blend biofuels.


So the fact that they had a plant that BURNED DOWN is "among the strong points" and constitutes "solid biodiesel experience"?!

WTF!


Kumar Plocher
Yokayo Biofuels
Yokayo Biofuels Facebook page
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Sustainable Biodiesel...
 
Location: Ukiah, CA USA | Registered: September 19, 2001Reply With QuoteReport This Post
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quote:
So the fact that they had a plant that BURNED DOWN is "among the strong points" and constitutes "solid biodiesel experience"?!


I guess I haven't earned any "solid experience" in the last 4 years then, since I've never burned any part of my processor.
 
Location: Southern WI, USA | Registered: May 18, 2006Reply With QuoteReport This Post
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I had a heating element crap out once. I'm obviously way more experienced than you guys! Big Grin

Cheers, John
 
Registered: June 17, 2007Reply With QuoteReport This Post
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720K? That bunch of shysters will blow that in one night at the nearest gentelmans club.
 
Location: West Michigan | Registered: April 26, 2006Reply With QuoteReport This Post
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It sounds like there are a lot of good goals...

You may be right about the feedstock issues:
quote:
The company's preference is to use local feedstock for the plant. That could include waste vegetable oil from food processing plants and oil from canola and camelina, also known as false flax, that are grown in the region.
I just wonder how many food processing plants would be required to produce the 6 million gallons of waste feedstock?

Also, many commercial plants I've heard of go upwards towards $100 Million... although I'm still not sure where all the money goes. I didn't see much discussion of a total construction budget.
 
Location: Oregon | Registered: October 17, 2007Reply With QuoteReport This Post



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I agree, 700k is chump change when your building anything larger then a basement rig..

-Ken


Recycling & Green Fuels Research: www.altfuelsgroup.org
Ozone Eating Toys For Big Boys !!: www.suncoastexotics.com
Carefully Maintaining A Carbon Neutral Footprint...
 
Location: Southeastern Ohio | Registered: January 10, 2008Reply With QuoteReport This Post
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So, if they had a BD Plant, and a fire...
Why didn't they rebuild?
Wasn't there insurance money?

Or were they just waiting for the government to kick in 3/4 million to get the rebuild started?

It is interesting the number of biodiesel fires that occurred as fuel prices dropped and the production of biodiesel became less economical.
 
Location: Oregon | Registered: October 17, 2007Reply With QuoteReport This Post
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quote:

Or were they just waiting for the government to kick in 3/4 million to get the rebuild started?


To quote the words of the well respected biodiesel promoter and commercial brewer Lyle Estill last year in PA when ask about the blending tax subsidies supporting the industry; "Join us at the troth"

The money is out there, appropriated for all types of things that many of us may or may not agree with. But it only goes to the ones who take time to apply for it...

My wife's job as a purchasing agent in a small state and federal funded agency requires her to spend grant money all day long [millions per year]. Much of it goes for what I'd consider "stupid stuff", but if they don't spend what's allotted they receive less funding next year. So guess what happens..

You may not agree with who got the money. Maybe they are total bone heads and will burn down another plant, but with some research you can find which biodiesel producers took time to apply and how much they received.

Did anyone on here apply for a grant this year?

-Ken


Recycling & Green Fuels Research: www.altfuelsgroup.org
Ozone Eating Toys For Big Boys !!: www.suncoastexotics.com
Carefully Maintaining A Carbon Neutral Footprint...
 
Location: Southeastern Ohio | Registered: January 10, 2008Reply With QuoteReport This Post
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quote:
To quote the words of the well respected biodiesel promoter and commercial brewer Lyle Estill last year in PA when ask about the blending tax subsidies supporting the industry; "Join us at the troth"


I suppose I would have used "trough" instead of troth, but then again, perhaps troth is more fitting than I first thought.

I constantly struggle with my position on this type of thing. Yeah...the money is already appropriated and is going to be spent, so I might as well be the one getting it instead of someone else. Yeah...that's ok. Everyone else is doing it...I want my share of the pie...I am owed part of the pie...get your hands off my pie!

Sort of like coming across a wallet with a drivers license, credit cards, and $1,000 in it. Hmmm....well, the wallet has been lost, along with the cash. I'll just take this cash and return the wallet. After all, the money was lost, so the owner has already "spent" the money since he does not have it to spend. Who carries $1,000 around anyway....rich bastard....probably some clueless pointy haired boss making money on the backs of his employees...Heck with him! I work hard...I want my share! This is my pie.

I think the above two things are equivalent, thus I tend not to belly up to the trough. Its to my detriment in many cases. But if I cannot look a productive tax paying citizen (such as myself) in the eye and say that by taking their money there is a direct benefit to society as a whole, then I don't accept their money.

[/RANT]


-Ian
"Don't complain about farmers with your mouth full."
"Arguing with a government inspector is like wrestling with the pig. You both get dirty but after a while you realize the pig enjoys it".

 
Location: Trapped in a world before later on | Registered: November 13, 2005Reply With QuoteReport This Post
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I will tell you from experience that right now some states are willing to throw money at companies willing to expand/move into their tax base. It's just the nature of the game. That being said, I don't know how WA managed to approve this project - unless they didn't do any due diligence.
 
Registered: April 08, 2009Reply With QuoteReport This Post
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