Vi12 gasoline denaturant fuel ethanol is sold with a

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VI.1.2 Gasoline Denaturant Fuel ethanol is sold with a 5% by volume gasoline content in this model. Gasoline contributes about $0.03 to the cost of a gallon of fuel ethanol. VI.1.3 Enzymes, Yeast, and Various Chemicals Enzymes, yeast, and various chemicals are required in the ethanol process to convert the corn starch to glucose, ferment the glucose and assist the process at various stages. Enzyme and yeast costs are from an industry source. In the starch model they contribute approximately $0.045 to the cost of a gallon of fuel ethanol. The C 6 fermenting yeast is purchased for $0.01 of the per gallon production cost.
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19 VI.1.4 Utilities The ethanol dry milling process requires power, heat, and cooling to affect the conversion of corn into ethanol. Steam is required to heat the milled corn to convert the starch to sugar and then to distill the ethanol from the ethanol water produced. Natural gas is needed to dry the solid co-products of ethanol, and cooling water is needed to adjust the temperature of process streams. Well water is also used to cool the fermentation tanks. It is assumed that the well water is available at the same temperature year round. Minnesota was the assumed plant location. VI.1.5 Co-Product Costs The traditional co-product in a dry milling facility is DDG. About 6.4 pounds of DDG is produced for each gallon of fuel ethanol. At a sales price of $0.045 per pound, DDG can provide about 20% of the sales income to an ethanol facility. VI.1.6 Carbon Dioxide The fermentation of corn starch into ethanol generates CO 2 , which has a low economic value and is expensive to move. Most ethanol producers vent CO 2 to the atmosphere, although a few ethanol producers are able to sell it. No income from CO 2 sales was included in this analysis. VI.1.7 Capital Costs Capital costs by process area are listed in Table 5 for the starch process. Table 5. Capital Costs by Process Area (1999$) Feedstock Handling $2,600,000 Saccharification $2,300,000 Fermentation $4,600,000 Distillation $5,300,000 Solid/Syrup Separation/Drying $10,500,000 Storage/Load out $1,500,000 Wastewater Treatment $1,000,000 Air Compressor $100,000 Total Capital Investment $27,900,000 It should be noted that utilities such as steam, electricity, and cooling tower water are purchased in this cost model and the equipment necessary for their generation is not included in the capital cost of the facility. This makes the capital costs lower than the $1.25-$1.50 noted earlier. The total capital investment has been developed from the equipment costs through the use of equipment installation factors, and includes the supply and installation of the
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20 process equipment and all support material such as piping, electrical, instrumentation, foundations, and buildings for the process equipment. Also included in the total capital investment is the cost of the facilities design and construction management plus a contingency allowance. The total capital investment has been calculated at 2.75 times the purchased equipment costs.
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  • Spring '10
  • BLANCHE
  • The Land, ........., corn ethanol industry

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