REG EMPORIA BIODIESEL PLANT

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REG EMPORIA BIODIESEL PLANT Presented by Kent
Heermann, CEcD
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Renewable Energy Group, Inc.
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Biodiesel basics

• Biodiesel is made with a chemical process -
  Transesterification
• Produced to industry specs ASTM 6751
• Can be run in diesel engines without modification

Triglyceride
Methanol
Biodiesel
Glycerin
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Advantages of biodiesel

• Emissions
• Sulfur emissions essentially eliminated with B100
• Carbon monoxide, particulate matter reduced
• Positive performance attributes
• Lubricity
• Utilized in Ultra-Low Sulfur Diesel situations
• Replacement for lubricating additive
• Positive energy balance
• 3.24 BTU produced from 1 BTU of energy
• Locally refined from local feedstocks

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Safety in biodiesel

• Biodegradable
• Biodegrades as fast as sugar
• Biodiesel blends accelerate biodegradability of
  petroleum diesel fuel
• Non-toxic
• Table salt (NaCL) is nearly 10 times more toxic
• 24 Hour human patch test - Less irritation than
  4 soap/water solution
• Conductivity
• Increases conductivity lost with ULSD
• Safety in tank fills and loading

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Safety in biodiesel

• Flash point
• Biodiesel gt 260 degrees Fahrenheit vs. petroleum
  based diesel at 125 degrees Fahrenheit
• Safer to store and handle than petroleum diesel
  fuel
• Environmentally friendly
• Reduced manufacturing waste
• Alcohol used in process recaptured and reused
• Water used in process recaptured and reused
• Glycerin used in pharmaceuticals, cosmetics,
  fertilizer, and animal feed additive

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REG biodiesel plant overview
Tank Farm
Production Facility
Railcar area
Loadout Receiving
Pre-treatment
Office
Laboratory
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Inside the Ralston facility
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Western Iowa Energy Wall Lake, Iowa
Pre-treatment area
Tank Farm
Production Area
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About REGs 60 MGY plants

• EPA Minor Emitter status
• No ear protection required in the plant
• No scent
• Products unloaded and shipped via truck and rail
• Estimates call for rail service three times a
  week
• Includes cars being brought in and sent out
• Six to seven cars could be filled each day

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Full-service biodiesel company
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Technology and construction

• Commercial scale, state-of-the-art plants
• 30 or 60 million gallons per year (MGY)
• Continuous flow, patented technology
• Turnkey plant includes
• Process design and engineering
• Process hazard management and procedures
• Structural, mechanical, and electrical
  engineering
• Computerized process controls
• Heat tracing of piping and vessels
• Chemist / laboratory setup

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Production

• ASTM D6751 Standards
• 16 point industry test
• Includes flashpoint, water and sediment,
  viscosity
• REGs biodiesel meets 24 point test
• Certificate of Analysis
• Every biodiesel lot sold has a CofA
• Lists specifications
• BQ-9000 Accredited Producers
• Quality standard program
• Consistently and efficiently produce high quality
  biodiesel
• Voluntary program

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Procurement and risk management

• Commodity risk management
• Direct strategic partnerships with key feedstock
  suppliers
• Long-term supply planning
• Input negotiations and procurement
• In Emporia that means
• Soybean oil
• Animal fats

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Partnerships with industry leaders

• Bunge (NYSEBG)
• Worlds largest oilseed processor, seller of
  bottled vegetable oil to consumers, and corn dry
  miller
• Provides REG feedstocks, logistics, and site
  opportunities
• EDF Man
• Operates worldwide bulk liquids storage facility
  business, focused on the chemical and commodity
  markets
• 19 facilities in North America with annual
  shipping of 5 million tons of liquid product

• West Central Cooperative
• Founder of REG and equity investor
• One of largest US farming cooperatives
• One of earliest members of National Biodiesel
  Board
• Todd Sargent
• Leading engineering and construction firm in
  feed, grain, pet food, flour, oilseed, and
  biodiesel
• Exclusive relationship with REG to build
  biodiesel plants

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Operations management

• REG will operate the 60 MGY biodiesel plant in
  Emporia
• On-site training for new employees
• Safety procedures and training outlined by REGs
  EHS staff
• Real-time process monitoring from anywhere in the
  world
• Feedstock and finished product testing
• Some management services from REG headquarters
• Information technology
• Human resources
• Accounting

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Sales and marketing

• Biodiesel marketed nationwide
• By 2010, network production capacity expectations
• 640 million gallons
• 15 production facilities
• Direct customers
• Distributors
• Refineries
• Terminals

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Sales Marketing
REG Has Built A National Distribution System
Distributors/ Customers Terminals
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REG sales marketing network

• Currently marketing 27 of all US biodiesel
  produced
• Distribution through some of USs leading
  terminal-operators
• REGs commercial scale facilities, production
  expertise and BQ-9000 Accreditation meet
  customers demands for consistent quality,
  quantity and supply assurance
• A recognizable branded product, SoyPOWER, has
  been ensuring customers high quality, on-time
  delivery and steady supply
• REG distribution advantages
• Lower transportation costs than other producers
• Long-term contracts and high volume allowed REG
  to negotiate advantageous turns
• In a tight market, REG established itself as a
  reliable supplier
• 17 regional dispersed blending terminals

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Experience and expertise

• REG history
• Methyl ester production as a way to add value to
  soybean oil in 1990s
• West Central began producing and marketing
  biodiesel in 1996
• Began designing and building plants for others
• West Central invested biodiesel into Renewable
  Energy Group, Inc. in 2006
• Leadership
• National Biodiesel Board
• National Biodiesel Accreditation Committee
• ASTM membership
• Iowa Renewable Fuels Association

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Renewable Energy Group network

• Renewable Energy Group Ralston, Iowa 12 MGY
• SoyMor Glenville, Minnesota 30 MGY
• Western Iowa Energy Wall Lake, Iowa
  30 MGY
• Central Iowa Energy Newton, Iowa 30 MGY
• Iowa Renewable Energy Washington, Iowa 30 MGY
• Western Dubuque Biodiesel Farley, Iowa 30 MGY

• East Fork Biodiesel Algona, Iowa 60 MGY
• Renewable Energy Group New Orleans 60 MGY
• Renewable Energy Group Emporia, Kansas 60 MGY

• Heartland Biodiesel Rock Port, Missouri 30 MGY
• Victory Renewable Fuels Lyon County, Iowa 30 MGY
• Blackhawk Biofuels Freeport, Illinois 30 MGY
• Renewable Energy Group Cairo, Illinois 60 MGY

In Production
In Construction
Pre-Construction
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Kent Heermann CEcD Regional Development
Association of East Central Kansas 719 Commercial
Street Emporia, KS 66801 620-342-1600x16 kheermann
_at_emporiakschamber.org