Alberta Biodiesel Firsts

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1 SPRING 2009 TM Alberta Biodiesel Association Advancing Biodiesel The Pioneering Spirit of Major Alberta Biodiesel Firsts Olds College School of Innovation Western Biodiesel Inc. Green Way Fuels Inc. Spring

2 BIO-ENERGY ADVANTAGE WITH Specializing in Biodiesel, Bioethanol and Biogas manufacturing and facility design SERVICES Conceptual and Front-End Engineering Environmental Impact Assessment and Regulatory Licensing Feasibility and Process Engineering Studies Plant Capacity and Optimization Envelopes Detailed Engineering Design Plant Performance Testing Plant Troubleshooting Debottlenecking and Optimization Project Engineering and Project Management Technology Development Technical Review Procurement and Construction Check out this feedstock study and risk assessment for Bioenergy Manufacturing Facilities in Alberta Edmonton, AB lakelandcollege.ca Renewable Energy and Conservation (online) certificate program The issue of climate change and global warming is of growing concern. Get the skills you need to work in this innovative industry during this new online certificate program. You ll learn about conservation strategies and renewable energy alternatives currently in use, or under development, including solar, wind, bio-fuel and geothermal sources. Courses on geo energy exchange (installation) and waste reduction, reuse and recycling run from April 27 - June 19. For more information phone Lakeland College ext Spring 2009

3 TM Advancing Biodiesel (403) President s Message The biodiesel industry in Alberta has grown substantially since we first published in the spring of Two companies Western Biodiesel and Kyoto Fuels are respectively producing or preparing to commission commercial-scale facilities to sell quality fuel into a growing market. On December 11/08, the Alberta government announced a Renewable Fuel Standard as part of its comprehensive Energy Strategy precisely the kind of smart policy that will incent more production in our province. Against that backdrop of good news and a proactive government loom the global credit crunch, slumping petroleum demand, and feedstock costs that pose, at least for the short term, challenging economics for producers of most renewable fuels. However, diversified energies of all kind should and must be considered long term solutions. Few people predict sustained soft markets for existing energy, and the rebound will bring calls anew for sustainable energy. Alberta s biodiesel producers are building today to meet tomorrow s demand and if US legislated demand for renewables materializes at the scale anticipated, Alberta is headed in the right direction. The ABA continues to work both provincially and federally to maintain our momentum. We look forward to working with you in the year ahead. Ian Thomson President Canadian Bioenergy Corporation ABA Directors CONTENTS President s Message...3 ABA Directors...3 ABA Committee Chair Statements... 4 ABA Membership Form... 5 Kelly Baker Director Western BioFuels Ltd. Curtis Chandler Director Dominion Energy Services Jaimey Farnese Secretary Green Way Fuels Inc. Ken Fryer BQ9000 Auditor 4Refuel Canada Biofuels and Food...6 Alberta Government Message...7 Alberta Biodiesel Firsts...8 Industry News...10 Tanya McDonald, M.Sc. Director Olds College School of Innovation JP Montalvo Chair, Development Committee ADM Agri-Industries Co. Kelsey Prenevost Vice-President Kyoto Fuels Corp. Angela Reid Director BioStreet Canada Inc. PUBLISHER ART DIRECTOR Jim Thornton Richart Bocxe Published for Alberta Biodiesel Association by: PARAGON PUBLISHING INC. Calgary, Alberta Tel: [email protected] Member of the Canadian Federation of Independent Business All rights reserved 2009 Printed in Canada Reinhard Schuetz, P.Eng. Chair, Outreach Committee TankSafe Inc. Geoff Smolkin Treasurer Alberta Processing Co. Bill Waugh Director Cummins Western Canada Reece Winter Chair, Quality Committee SAIT Polytechnic Spring 2009 Alberta Biodiesel Association 3

4 No Stopping Now ABA Committee Chair Statements Biofuels Remain Strong Specifications are Important Biodiesel acceptance is definitely gaining momentum! As with virtually any new industry, perseverance and education are the main contributors in promoting the benefits of biodiesel. Classified as a biofuel, biodiesel exhibits dramatic advantages as a renewable liquid fuel alternative, regarding existing infrastructure compatibility, lower pollution, less toxicity, increased engine life, safer handling, and higher output vs. input energy ratio. In 2008 Alberta witnessed a number of major biodiesel accomplishments a production facility near High River, a retail fueling station in Turner Valley, the commencement of biodiesel use by a privately owned bus line operation in Banff, and a year-long field demonstration project near Edmonton. Dissemination of accurate biodiesel information remains critical. Thus, the ABA Outreach Committee encourages and respectfully invites all interested parties to become active participants in Advancing Biodiesel and showcase Alberta as a major contributor in effectively reducing climate change. Reinhard Schuetz, P.Eng. Chair, Outreach Committee This past year has been one of extremes in renewable fuels: a speculation-fueled commodity price surge, debates about food or fuel (which subsided again with plummeting crop prices), and crude oil dropping 70% since its peak in July Despite that, the BC and Alberta governments made huge moves in renewables. Last December, BC published regulations for a 5% renewables content in most fuels by 2010, and Alberta made official its Renewable Fuel Standard (RFS) policy requiring 2% renewable content in diesel fuel starting in July In addition, Alberta Energy is currently conducting a stakeholder review process to enable a successful RFS. The role of the ABA in the year ahead will be critical. The association s technical and regulatory experience will support the provincial government, and we will also contribute to federal and provincial efforts in establishing the criteria for assessing the sustainability of biofuels available in the marketplace. Ian Thomson Chair, Policy Committee The Alberta Biodiesel Association (ABA) is a non-profit organization established to assist in promoting biodiesel production and use through education, advocacy, regulatory compliance and balanced conservation. The American Society for Testing and Materials (ASTM) recently issued four updates to provide product quality assurance for the biodiesel and petrodiesel industry and diesel engine manufacturers. The multi-year revision process saw extensive participation by petroleum companies and engine manufacturers. 1)ASTM D975-08a, for on-and-off road diesel applications, now references up to 5% biodiesel content; 2)ASTM D396-08b, for home heating/ boiler applications, now references up to 5% biodiesel content; 3)ASTM D , a new specification covering 6% (B6) to 20% (B20) biodiesel content in fuel blends for on-and-off road diesel engine use; 4)ASTM D , which specifies pure biodiesel (B100) quality, was revised to include a new cold soak filterability test. To biodiesel and petrodiesel producers, as well as consumers, distributors and diesel engine manufacturers, these specifications establish product quality regardless of feedstock source or production process. In Canada, the CGSB has also started development of a B6 to B20 biodiesel blend specification, which will open up the potential for higher biodiesel fuel blend acceptance, especially by Canadian fleet and heavy duty equipment operators. Reece Winter Chair, Quality Committee PREFERRED SUPPLIER OF BIODIESEL IN WESTERN CANADA 105 Commercial Drive North Vancouver, BC V5L 4V7 tel fax Ogden Dale Place SE Calgary, AB T2C 2A3 tel fax Alberta Biodiesel Association Spring 2009

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13 I N D U S T RY N E W S I N D U S T RY N E W S I N D U S T RY N E W S additives, tocopherol, sterols and steryl esters. However, there are other component classes, based on feedstock type, for which the GC/MS library may not be able to find a compound match. To combat this issue, ARC has invested in a Liquid Chromatograph with Time-of- Flight Mass Spectrometer (LC/MS/TOF) unit capable of determining the precise formula of higher molecular weight contaminants says Wispinski. To date, the LC/MS/TOF has successfully identified a class of compounds from tallow feedstock, and work on two other classes is scheduled in the near future. This new unit will also be used to track minor components in various feedstock oils as they go through the biodiesel production process, in order to monitor and improve fuel quality over the long term. Contact: Dan Wispinski Ph: (780) [email protected] Biodiesel Quality JK TRUCKING In June 2008, JK Trucking of Lethbridge embarked on an ambitious undertaking by launching a year long Biodiesel Integrated Study Pilot (BISP) for the purpose of evaluating the functionality of biodiesel on their own fleet of about 50 transport vehicles. To date, using a B10 biodiesel blend, we have experienced no mechanical difficulties or changes in performance under varying climate conditions while travelling throughout Western Canada and into the US, explains John Koliaska, President and CEO of JK Trucking, as well as VP of Business Development for Kyoto Fuels Corporation. All the vehicles are outfitted with GPS tracking units and on-board computers for data collection on a 24/7 basis. The project has been undertaken in partnership and co-operation with the Alberta Government (funding provider); Kyoto Fuels (biodiesel supply co-ordinator); Olds College (independent project data verification and evaluation); Cummins Western (diesel engine expertise); AGAT Laboratories (analytical fuel and lubricant services); EFG Solutions (information management system); and PeopleNet (real-time onboard computer data collection and reporting). This project is an excellent example of the joint work being done to create a sustainable biodiesel industry and determine its true operability within the existing fuel distribution infrastructure says Kelsey Prenevost, President and CEO of Kyoto Fuels Corporation. Contact: Ryan Dean-Rogers, CA BISP Project Manager Ph: (403) [email protected] Spring 2009 Alberta Biodiesel Association 13

14 I N D U S T RY N E W S I N D U S T RY N E W S I N D U S T RY N E W S ABA ANNUAL GENERAL MEETING The 2008 Alberta Biodiesel Association Annual General Meeting was hosted by Red Deer College on November 18th, In addition to ABA business, numerous corporations associated with the biodiesel industry were invited to make presentations to the ABA directors, members and guests. MILLIGAN BIO-TECH The world s first biodiesel jet drag truck was unveiled at the Farm Tech Show in Edmonton, AB in January 2009 by Kevin Therres of Prairieland Motorsports, a drag racing team out of Humboldt, Saskatchewan. The unique truck is the first ever of its kind for many reasons. The truck body resembles a 2009 Ford F-150 Pickup truck, but the engine is a J60 Pratt and Whitney jet engine commonly used in the T-2 Buckeye, an intermediate training aircraft for the US Navy. The truck has been named Prairie Gold, due to the unique fuel being used in the jet engine. Prairie Gold runs on pure canola based B100 biodiesel supplied by Foam Lake, SK biodiesel producer Milligan Bio-Tech Inc. This fuel is made entirely from prairie grown canola - there are no petrochemical products in the fuel. Running on biodiesel makes this truck not only one of the fastest F-150s you ll ever see, but also the most environmentally friendly. After a run down the strip, spectators are treated to an aroma similar to fresh popped corn! Prairie Gold is expected to reach speeds of 250mph in about 6.5 seconds on a quarter mile drag racing track. Sponsors include Winnipeg based AgriCard, Milligan Bio-Tech, and three Prairie Canola Associations; Alberta Canola Producers Commission, Saskatchewan Canola Development Commission and Manitoba Canola Growers Association. Established in 1996 and based in Foam Lake, SK, Milligan Bio-Tech is not only a proud sponsor of this race team, but also a company deeply committed to leading edge biodiesel production with a strong emphasis on research and development. In addition to quality biodiesel, Milligan s other Made in Canada products include Diesel Fuel Conditioners, Penetrating Oil and Road Dust Suppressant, all of which are environmentally friendly and made from renewable, non-food grade canola. Calgary I Bay R, nd Avenue S.E. Calgary, AB T2G 4V6 I Toll Free: Visit us online Edmonton I Avenue NW Edmonton, AB T5S 2V3 I Toll Free: Contact: Sheila McLean Ph: (306) [email protected] Alberta Biodiesel_Dec08.indd 1 05/01/ :02:58 AM 14 Alberta Biodiesel Association Spring 2009

15 I N D U S T RY N E W S I N D U S T RY N E W S I N D U S T RY N E W S Prairie Gold is expected to reach 250mph in about 6.5 seconds on B100 biodiesel. Spring 2009 Alberta Biodiesel Association 15

16 TANKSAFE INC. The development and exploitation of bioenergy sources can provide a sustainable solution to growing energy demands. At Olds College we are applying our research and advanced production capabilities to learn more about the potential of bioenergy, including biodiesel, biogas and biomass. The outcomes of our current biodiesel research including the use of varied feedstocks, quality control, fuel upgrading, engine testing, by-product utilization and economic feasibility are applied everyday in fleet vehicles in our community. We welcome partners and collaboration. To learn more, visit and click on research, or call Olds College School of Innovation at (403) % Secondary Containment Biodiesel Storage Systems / Learn about biodiesel at our Biodiesel: Under the Hood Workshops running throughout Alberta. Visit for workshop details and to see if you qualify for our First Users Incentive program. 16 Alberta Biodiesel Association Spring 2009