Tag Archives: projected
Pellet Consumption In Denmark Projected To Grow
By Erin Voegele | November 11, 2013 The Dutch government has filed a report on its domestic market for wood pellets with the USDA Foreign Agricultural Service’s Global Agricultural Information Network. According to the report, Denmark is the largest importer of wood pellets in the world, with imports expected to increase from 2 million metric tons in 2012 to 3 million metric tons in 2020. The GAIN report specifies that wood pellets are used in Denmark to fuel small residential boilers, medium-sized district heating plants, and large combined-heat-and-power (CHP) plants, with CHP plants representing the primary driver of growth since 2010. While some pellets are produced domestically in Denmark, most are imported. The report estimates that Danish production of wood pellets has averaged between 130,000 metric tons and 200,000 metric tons annually since 2000, primarily from residue feedstock sourced from the furniture and wood processing industries. Rapidly growing use by CHP plants coupled with a limited domestic feedstock supply has caused significant growth in pellet imports in recent years. In 2012, the country imported 2 million metric tons of wood pellets, valued at $350 million. During the first seven months of 2013, the Dutch government has reported a 10 percent increase in pellet imports. Denmark currently imports most of its pellets from the Baltic Region, with 960,000 metric tons imported from the Baltics in 2012. The country also imported 348,000 metric tons from Russia last year. The GAIN report notes that imports from the U.S. are currently marginal, equating to only 38,000 metric tons in 2012. Moving forward, the report said that sustainability will be a key factor in determining which exporting countries benefit from growing demand. The Danish government is currently analyzing the sustainability of biomass supplies. The results of that study are expected to be ready at the end of the year. The analysis is expected to form the basis for future policy and funding initiatives. Bu 2020. Denmark is expected to consume 3.17 million metric tons of pellets, with 600,000 tons of that volume consumed by residential customers and 2.57 million metric tons by the private sector. Domestic production is expected to hold steady at 150,000 metric tons, with imports reaching 3.1 million metric tons. Approximately 80,000 metric tons of wood pellets will be exported. Continue reading
Alternative Fuel Technologies ‘Can Produce $75 per Barrel Gasoline’
With crude oil price projected to top $140 per barrel by 2035, alternative fuel technologies, which can produce gasoline at the equivalent of $75 per barrel, will rise, according to a Lux Research report. Bringing the Heat: Gas- and Waste-derived Synfuels , says the price disparity between crude oil and other resources — coupled with the emergence of cheap and abundant shale gas, especially in the US — is transforming the alternative fuels landscape, opening up opportunities to produce cheaper gasoline. Natural gas and waste biomass will become increasingly viable choices for making liquid fuels, says Daniel Choi, a research associate at Lux Research and the lead author of the report. Lux Research analysts studied the cost of 21 biomass-to-liquids (BTL) and gas-to-liquids (GTL) processes. Among their findings: Methanol-to-gasoline is the cheapest option. At small scale (about 1,000 barrels per day), methanol-to-gasoline (MTG) is the most competitive route for liquid fuels from either natural gas ($82 per barrel) or waste ($75 per barrel). GTL can make ethanol more cheaply, but offers limited product value. Among GTL approaches, ethanol synthesis has the lowest cost of $80 per barrel, while Fischer-Tropsch costs $86 per barrel and MTG costs $82 per barrel. However, ethanol has less product value, due to blending limits and lower energy density. Waste biomass is a ubiquitous alternative. The Energy Department says waste biomass could produce 50 billion gallons of ethanol, roughly 3.5 times the current production. Processing the waste is challenging, adding $3.60/bbl to the fuel price — but that’s often more than offset by feedstock cost savings. In other alternative fuels news, Alaska Airlines earlier this week said it will begin using biofue l to power its Hawaii flights as soon as 2018 and Gevo has begun supplying the US Coast Guard research and development center with initial quantities of finished 16.1 percent renewable isobutanol-blended gasoline for engine testing. Alternative fuel developers face a make-or-break year as leading companies, such as Amyris, Poet, Solazyme, Gevo, Novozymes and Mendel , race to show substantial revenue, according to a report by Lux Research published earlier this year. Continue reading
Expert: 2013 Ohio Farmland Value Projected To Increase
Cropland values in Ohio increased in 2012 and are expected to continue on an upward trend in 2013 despite the drought that devastated growers this year. December 12, 2012 Cropland values in Ohio increased in 2012 and are expected to continue on an upward trend in 2013, despite the drought that devastated growers this year, an Ohio State University Extension expert said. Ohio cropland value rose 13.6% this year, with bare cropland averaging $5,000 an acre, said Barry Ward, production business management leader for OSU Extension. Ward, citing statistics from the Ohio Agriculture Statistics Service, expects the trend to continue next year, with “projected budgets for Ohio’s primary crops for 2013 showing the potential for strong profits.” This is true, he said, in spite of the drought of 2012, which devastated growers and producers across the country, particularly in the Midwest including Ohio. “We’re expecting the potential for profitability (next year) with corn looking like it will be king again,” Ward said. “We’ll have farmers with strong balance sheets, which will drive land values as well. “With those strong balance sheets in spite of the drought, many farmers will continue to be in the land buying mode.” Ward spoke last week during Ohio State University’s College of Food, Agricultural, and Environmental Sciences kickoff of its 2013 Agricultural Policy and Outlook series. The event initiates a series of county meetings to be held statewide next year. Dates and times for the meetings will be announced at a later date. OSU Extension is the outreach arm of the college. The December 3 event featured presentations from experts from the college’s Department of Agricultural, Environmental and Development Economics (AEDE), who discussed issues the food and agricultural community should expect in 2013, including information on policy changes, key issues and market behavior with respect to farm, food and energy resources, and the environment. Because of the moderate to severe drought conditions many growers experienced, profit margins were highly variable, said Ward, who is also an AEDE assistant extension professor. But crop insurance proceeds will alleviate some of the revenue shortfall and financial stress due to the drought Ward said, noting that the last five year period has resulted in “some of the most profitable years in the last 50 years of crop production.” “With many dollars and buyers chasing farmland, it isn’t surprising to see land values increase substantially in 2012,” Ward said. “Crop profitability along with low interest rates have been the primary drivers in the run-up in cropland values.” Depending on land production capabilities, returns to land are projected to be $204 to $489 per acre for Ohio corn next year, he said. Returns to Land for soybeans are projected to be $102 to $295, with Returns to Land for wheat projected at $122 to $288, Ward said. The projections are based on OSU Extension Ohio Enterprise Budgets, and assume current prices of inputs and present December and September and November 2013 forward contract prices, respectively, he said. OSU Extension has a long history of developing enterprise budgets that can be used as a starting point for producers in their budgeting process. Farmers can find enterprise budgets for 2013 here . The Website is offered by Ohio State University’s AEDE. The budgets are downloadable Excel spreadsheets. Users can input their production and price levels to calculate their numbers. The budgets feature color-coded cells that allow users to plug in numbers to easily calculate bottom lines for different scenarios. Source: Ohio Ag Connection Continue reading
