Dry Mill Ethanol Plants

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Dry Mill Ethanol Plants Environmental Impacts and
Future Growth Presented to Governors
Coalition February 10, 2006 by Bill Roddy
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110 MGY
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Dry Mill Industry Evolution

• Plants in operation during each decade
• 1980s -175 Plants (20K to 7M gallons)
• 1990s - 33 Plants (1.5M to 30M gallons)
• 2000s - 91 Plants (30M to 110M gallons)
• ICM has 37 Plants in operation today
• ranging from 5 M to 110 M gallons

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ICM Process Guarantees

• Ethanol-2.80 denatured (_at_ 5) gallons per bushel
• Natural Gas-34,000 BTU per denatured gallon of
  ethanol with DDGS (22,000 wet cake only)
• Electrical - 0.75 Kw per denatured gallon per
  hour
• Emissions compliance Written guarantee

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"Potential to Emit" Preliminary Estimate 100
DDGS Capability
Bushmills Ethanol 49 MMgpy (permitted), 500,000
tons/yr grain (17,857,144 bu/yr), 162,218 tpy DDGS
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ICM Plants Under Construction
Agri-Farms, LLC Necedah, WI 50 MMGPY Hawkeye
Renewables Expansion Iowa Falls, IA from 40 to
80 MMGPY Hawkeye Renewables Fairbank Fairbank,
IA 100 MMGPY Lincolnway Energy Nevada, IA 50
MMGPY US Bioenergy Albert City, IA 100
MMGPY Western Wisconsin Ethanol Boyceville,
WI 40 MMGPY Heron Lake Ethanol Heron Lake,
MN 50 MMGPY Superior Corn Products Lake Odessa,
MI 40 MMGPY Red Trail Ethanol Richardton, ND 50
MMGPY Front Range Energy Windsor, CO 40
MMGPY Suncor Sarnia, ONT 50 MMGPY Commercial
Alcohol Varennes, QUE 30 MMGPY Trenton Agri
Energy Expansion Trenton, NE from 30 to 40
MMGPY Commonwealth Agri Energy Expansion Hopkinsvi
lle, KY from 20 to 33 MMGPY Prairie Horizon
Agri-Energy Phillipsburg, KS 30 MMGPY The
Andersons Albion Ethanol Albion, MI 55
MMGPY Illinois River Energy LLC Rochelle, IL 50
MMGPY Heartland Grain Fuels LP Expansion Huron,
SD from 14 to 30 MMGPY Iroquois BioEnergy Co.
LLC Rensselear, IN 40 MMGPY GLE
Redfield Redfield, SD 40 MMGPY Aventine
Renewable Energy Inc Pekin, IL 60 MMGPY Ethanol
Grain Processors Washington, KS 30
MMGPY Andersons Grain Clymers Clymers,
IN 110 MMGPY Demeter Bloomingburg Bloomingburg,
OH 100 MMGPY Platte Valley Ethanol
Expansion Central City, NE from 40 to 80
MMGPY Big River Resources Expansion West
Burlington, IA from 40 to 80 MMGPY Blue Flint
Ethanol Underwood, ND 50 MMGPY Siouxland
Ethanol Jackson, NE 50 MMGPY
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Environmental Approvals

• Air Permit
• Non Contact Water Discharge (irrigation, POTW, or
  surface water)
• Storm water NOI SWP2
• Above Ground Storage Tanks
• Water Allocation Permit (supply)
• Endangered Species
• Historical and Archaeological
• Environmental Assessment (e.g., MN)
• Note ICM Plants are CESQGs

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Energy Balance

• All Studies (with exception of Professor David
  Pimental of Cornell) cite a net energy gain of
  34 for dry mill fuel ethanol manufacture.
• Ethanol 84,000 Btu/gal octane 130 (compares
  to gasoline at 125,000 Btu/gal)
• Driving forces include improved farming
  efficiencies (e.g., no till), better chemicals
  for weed and insect control for fewer trips in
  field, improved manufacturing efficiencies.

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Impact of EPAs Consent Decrees

• Required Equipment
• Dryer Emissions Thermal Oxidizer
• Product Loadout Flare
• Fermentation Improved Scrubbers
• Fugitive VOCs Leak Detection and Repair
• Road Dust Street Sweeping
• Process Dust Baghouses
• Cost
• 1.5 - 2.0 Million per plant (equipment)
• 30,000 - 50,000 per plant (fines)

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Thermal Oxidizer/Heat Recovery Steam Generator
Steam Out To Process
Exhaust Stack
Steam Drum
Steam Generator
Combustion Section
Approximately 1500 F (Final temp determined in
compliance test)
Water In
Exhaust
Thermal Oxidizer
Rotary Drum Dryer
Combustion Air Natural Gas
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ICM Thermal Oxidization System
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ICM Fermentation Scrubber
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Key Emission Standards

• NOx, CO, VOCs (scaled), PM/PM10, SO2 are
  guaranteed by ICM to be less than 100 tpy each
  for the following
• Gas Fired Steam Generation (by TO or Boilers)
  100 Mgpy
• Coal Fired (ICMs Clean Coal Technology Bubbling
  Fluid Bed with limestone/lime ammonia injection
  baghouse) 50 Mgpy
• HAPs are guaranteed to be less than 10/25 tpy for
  Gas and Coal Configurations

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Example Water Discharge

• Source Cooling Tower, Multi Media Filter, RO
  Softener (all non contact water)
• Volume 100 gpm
• Total Dissolved Solids 3,000 mg/l (controlled by
  cooling tower cycles)
• Chlorides 40 mg/l
• Conductivity 5000 µmhos/centimeter
• pH 6.5 9.0
• Temperature lt 90 F
• State Dependent, Water Source Dependent

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Nuisance Odor

• ICM recommends development of an Odor Action
  Plan as follows (not a regulatory requirement)
• A single odor complaint will be immediately
  investigated and validated.
• The source of odor will be corrected or shut down
  and repaired.
• The plant shut will shut down if necessary to
  correct the source of nuisance odor.
• In case of TO failure, the plant automatically
  shuts down.

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Nuisance Odor?
Brantford, Ontario, March 10, 2003 - The tour bus
was stopped directly downwind of the ethanol
plant in Monroe, Wisconsin and many got out to
sniff the air. I was very impressed with the
fact that there was hardly any odor at all from
the plant, said Edith Davis, wife of Roger Davis
of Davis Petroleum. One of the reasons I came
along on this tour was to make sure that the
proposed ethanol plant would be a good neighbor
to our community, and I am now more convinced
than ever that it will be.
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Environmental Impacts

• Plants are engineered to have insignificant
  impact on the surrounding environment.
• Water Discharge quality is engineered to meet
  state standards (irrigation, surface water or
  POTW).
• When using groundwater, test wells are installed
  and groundwater is monitored prior to
  construction to insure the water table can handle
  500 gpm (typical 50 Mgy plant) without impacting
  the water table or nearby wells.

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Environmental Impacts (cont.)

• Erosion and sedimentation during construction are
  minimized with a stormwater pollution prevention
  plan.
• Surface runoff is controlled by stormwater pond
  and released after inspection.
• Process waste water is returned to the process
  after treating in an anaerobic digester called
  the biomentanator.
• The biomethanator gas (methane) displaces natural
  gas in the DDGS Dryer.
• Tanks are sited in an impervious secondary
  containment area.

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Environmental Impacts (cont.)

• Stationary source air emissions qualify the
  source as a synthetic minor source.
• Noise levels will not exceed 80 dB off property.
• Potential for nuisance odor is minimized with the
  Best Available Control Technology and Odor Action
  Plan.
• ICMs plants typically assure that no adverse
  impact on nearby natural resources will occur.
• Wetlands are typically avoided.

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Bad Batch (Due to Infection)

• Continue to process wet cake or DDG
• Blend it back in
• Truck to municipal waste plant

• Goals
• Avoiding
• Land application
• Land filling

DO NOT
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ICMs Future

• ICMs backlog
• Nearly 100 US plants in planning stages
• 6 foreign plants in planning stages
• 1 Canadian plant under construction (50 MGY)
• Predicted sizes
• 50 to 110 MGY range
• 200 MGY under discussion
• Demand for coal energy increasing
• ICMs first coal plant is operational (50 MGY)
• Coal guarantee currently limited to PRB coal
  (0.25 sulfur)

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Questions?