December 2004 eNews Bulletin

Company Looks to Oregon Straw for Ethanol

December 17, 2004
by Mitch Lies, Idaho Staff Writer

A Montana-based company is looking to use Oregon straw in ethanol production.

The geographical concentration of straw production in the Willamette Valley and the ease with which straw can be turned into ethanol has piqued the interest of Montana Microbial Products, according to a presentation at last week’s Oregon Seed Growers League meeting.

“We think we have some technology that might work well,” said Steve Bryant, an officer of the company.

Bryant said that even if Oregon maintains existing levels of straw exports to the Pacific Rim, the state has an excess of 400,000 to 500,000 tons that could be available for ethanol production – enough to support a 20 million-gallon-a-year ethanol plant.

Clifford Bradley, the company’s chief scientist, told participants at the meeting that the company has worked with the Oregon Department of Energy on a project to develop a process for converting grass straw to ethanol. The process is far less expensive than normal ethanol conversion processes, requiring only plastic tanks instead of the stainless steel vats typically required due to the process’ capability to operate at lower temperatures.

“That really saves a lot of the potential cost,” Bradley said.

Bradley said the company has a lot of questions as to the economic feasibility of the project, but that it is willing to take the next step to see if it works. “What this is telling us is it is worth doing a very site-specific analysis,” he said.

The company is planning to build a pilot plant to work out the process parameters and provide the company reliable economic and engineering data. Bradley estimated it would cost about $250,000 to construct and operate a pilot plant.

Cost of constructing an actual plant would run between $20 million and $30 million, he said. The company plans to approach the USDA and the state government for potential biofuel grants, he said.

“I’m not here to promise you this is the greatest thing since sliced bread,” Bradley said, “but this could make sense as a way to create value for straw.”