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Agriculture Secretary Vilsack Announces Support for Producers to Grow Renewable Feedstocks for Advanced Biofuels

Part of the Administration's 'All of the Above' Energy Strategy

WASHINGTON, July 27, 2012 — Agriculture Secretary Tom Vilsack today announced payments for 125 advanced Biofuel producers across the country to support the production and expansion of advanced biofuels from a wide variety of non-food sources, including waste products.

"Advanced biofuels are a key component of President Obama's 'all-of-the-above' energy strategy to reduce the Nation's reliance on foreign oil and take control of America's energy future," said Vilsack. "These payments represent help spur an alternative fuels industry using renewable feedstocks grown in America, broadening the range of feedstock options available to biofuels producers, helping to create an economy built to last."

The funding is being provided through USDA's Bioenergy Program for Advanced Biofuels, which was established in the 2008 Farm Bill. Under this program, payments are made to eligible producers based on the amount of biofuels a recipient produces from renewable biomass, other than corn kernel starch. Examples of eligible feedstocks include but are not limited to: crop residue; animal, food and yard waste material; vegetable oil; and animal fat. Through this and other programs, USDA is working to support the research, investment and infrastructure necessary to build a biofuels industry that creates jobs and broadens the range of feedstocks used to produce renewable fuel.

For example, in Somerset, Ky., Somerset Hardwood Flooring will receive a $7,040 payment for producing wood pellets from residual sawdust from its hardwood flooring manufacturing process. The company produces about 40 tons of wood pellets annually. FPE Renewables, LLC, based in Lyden, Wash., generates nearly two million kilowatt hours of electricity annually. The firm will receive a payment of $9,612 for producing biogas primarily from dairy waste, which is converted to electricity. In West Point, Va., Virginia Biodiesel Refinery, LLC, will receive a payment of $7,900 for making biodiesel from recycled cooking oil and soybean oil.

Increased biofuel production plays a relatively minor role in retail food price changes because the growing diversity of feedstock used to produce biodiesel allows for flexibility and helps relieve market pressures. Biodiesel is made from an increasingly diverse mix of non-food feedstocks, including recycled cooking oil, agricultural oils and animal fats, allowing most biodiesel producers to select from a choice of feedstocks if prices rise or supplies are limited. Therefore, the industry's impact in commodity markets is significantly reduced. As the market expands for home-grown renewable energy, American farmers and producers will create even more good-paying jobs that can't be exported. The biofuels industry in the U.S. currently employs about 400,000 people and is expected to employ around a million people in the U.S. by 2022.

USDA today is announcing $19.4 million in payments to 125 local producers and business-owners. Below is a complete list of the 111 producers (by state) receiving payments of more than $500 for production of advanced biofuels. (Producers receiving payments in the amount of $500 or less are not included in the list.)

Arkansas

  • Delta American Fuel, LLC: $10,556 for biodiesel transesterification
  • Futurefuel Chemical Company: $256,440 for biodiesel transesterification

Arizona

  • Pinal Energy, LLC: $35,355 for ethanol production

California

  • American Biodiesel, Inc: $426,878 for biodiesel transesterification
  • Fiscalini Properties, LP: $541 for energy from an anaerobic digester
  • Gallo Cattle Company, LP: $1,283 for energy from an anaerobic digester
  • High Mountain Fuels, LLC: $17,155 for landfill gas
  • Imperial Western Products, Inc.: $710,618 for biodiesel transesterification
  • New Leaf Biofuel, LLC: $217,467 for biodiesel transesterification
  • Promethean Biofuels Cooperative Corp.: $2,377 for biodiesel transesterification

Connecticut

  • Biodiesel One, Ltd: $2,981 for biofuel from waste products
  • Biopur, Inc.: $2,409 for biofuel from waste products

Florida

  • Genuine Bio-Fuel, Inc.: $504,938 for biodiesel transesterification

Georgia

  • Down To Earth Energy, LLC: $602 for biodiesel transesterification
  • Nittany Biodiesel: $29,548 for biodiesel transesterification
  • U.S. Biofuels, Inc.: $13,740 for biodiesel transesterification

Hawaii

  • Pacific Biodiesel, Inc.: $28,646.80 for biofuel from waste products

Iowa

  • Clinton County Bio Energy, LLC: $64,382 for biofuel from waste products
  • Iowa Renewable Energy, LLC: $135,510 for biofuel from waste products
  • Renewable Energy Group, Inc.: $873,622 for biodiesel transesterification
  • Western Dubuque Biodiesel, LLC: $287,034 for biodiesel transesterification
  • Western Iowa Energy: $250,277 for biofuel from waste products

Idaho

  • DF-AP#1, LLC: $1,587 for energy from an anaerobic digester

Illinois

  • Archer Daniels Midland Company: $596,279 for biodiesel transesterification
  • Incobrasa Industries, Ltd.: $305,038 for biodiesel transesterification
  • Midwest Biodiesel Product, LLC: $640,572 for biodiesel transesterification

Indiana

  • Integrity Biofuels, LLC: $26,004 for biodiesel transesterification
  • Louis Dreyfus Agricultural Industries: $613,428 for biofuel from waste products
  • Union County Biodiesel Company: $149,465 for biofuel from waste products

Kansas

  • Arkalon Ethanol, LLC: $1,868,965 for ethanol production
  • Bonanza Bioenergy: LLC: $121,500 for ethanol production
  • Emergent Green Energy, Inc.: $11,039 for biodiesel mechanical
  • Kansas Ethanol, LLC: $168,168 for ethanol production
  • Nesika Energy, LLC: $46,822 for ethanol production
  • Prairie Horizon Agri-Energy, LLC: $98,791 for ethanol production
  • R-3 Energy, LLC: $4,292 for biofuel from waste products
  • Reeve Agri Energy, Inc.: $221,752 for ethanol production
  • Western Plains Energy, LLC: $3,130,184 for ethanol production

Kentucky

  • Griffin Industries, Inc: $13,060 for biofuel from waste products
  • Owensboro Grain Company, LLC: $394,025 for biodiesel transesterification
  • Somerset Hardwood Flooring: $7,040 for pellets
  • Southern Kentucky Pellet Mill, Inc.: $817 for pellets

Maine

  • Geneva Wood Fuels, LLC: $2,236 for pellets
  • Maine Woods Pellets Company, LLC: $6,277 for pellets
  • Northeast Pellets LLC: $624 for pellets

Massachusetts

  • Fuels of The Future, LLC: $1,249 for biofuel from waste products

Michigan

  • Scenic View Dairy, LLC: $27,856 for energy from an anaerobic digester

Minnesota

  • Cargill, Inc.: $350,769 for energy from an anaerobic digester / biodiesel transesterification
  • District 45 Dairy, LLP: $2,065 for energy from an anaerobic digester
  • Ever Cat Fuels, LLC: $146,077 for biodiesel transesterification
  • MN Soybean Processors: $309,311 for biodiesel transesterification
  • Riverview, LLP: $2,232 for energy from an anaerobic digester
  • West River Dairy, LLP: $1,584 for energy from an anaerobic digester

Missouri

  • Abengoa Bioenergy Corporation: $367,490 for ethanol production
  • Deerfield Energy, LLC: $159,221 for biodiesel transesterification
  • ME Bio Energy, LLC: $27,875 for biodiesel transesterification
  • Mid-America Biofuels, LLC: $294,369 for biodiesel transesterification
  • Natural Biodiesel Plant, LLC: $45,293 for biodiesel transesterification
  • Paseo Cargill Energy, LLC: $323,064 for biodiesel transesterification

Mississippi

  • Enviva, LP: $15,931.32 for Pellets
  • Ethos Alternative Energy Mississippi, LLC: $11,446 for biofuel from waste products
  • Scott Petroleum Corporation: $57,294 for biofuel from waste products

Nebraska

  • Ag Processing, Inc.: $313,119 for biodiesel transesterification

Nevada

  • Bently Biofuels Company: $3,479 for biofuel from waste products

New Hampshire

  • American Energy Independence Company, LLC: $1,805 for biofuel from waste products
  • New England Wood Pellet, LLC: $22,781 for pellets
  • Smartfuel America, LLC: $5,468 for biofuel from waste products

New Mexico

  • Mt. Taylor Machine, LLC: $532 for pellets
  • Rio Valley Biofuels, LLC: $4,154 for biofuel from waste products

New York

  • Aurora Ridge Dairy, LLC: $863 for energy from an anaerobic digester

North Carolina

  • Blue Ridge Biofuels, LLC: $27,837 for biofuel from waste products
  • North American Bio-Energies: $4,931 for biodiesel mechanical
  • Piedmont Biofuels Industrial, LLC: $1,072 for biodiesel mechanical

Ohio

  • Center Alternative Energy Company II: $31,791 for biodiesel transesterification

Oklahoma

  • High Plains Bioenergy: LLC: $1,628,461for biodiesel transesterification

Oregon

  • Sequential-Pacific Biodiesel: $125,799 for biodiesel transesterification
  • Stahlbush Island Farms, Inc.: $18,852 for energy from an anaerobic digester

Pennsylvania

  • Lake Erie Biofuels, LLC: $993,122 for biodiesel transesterification

Rhode Island

  • Newport Biodiesel, LLC: $5,354 for biofuel from waste products

South Carolina

  • Evergreen Biodiesel Production Facility: $37,419 for biofuel from waste products

Tennessee

  • Bioenergy Development Group, LLC: $645 for biodiesel transesterification
  • Hassell & Hughes: $1,223 for pellets

Texas

  • Agribiofuels, LLC: $17,139 for biodiesel transesterification
  • Element Markets, LLC: $1,199 for energy from an anaerobic digester
  • Green Earth Fuels of Houston, LLC: $369,467 for biodiesel transesterification
  • White Energy, Inc.: $743,124 for ethanol production

Virginia

  • Potomac Supply Corporation: $8,228 for pellets
  • Reco Biodiesel, LLC: $42,799 for biodiesel transesterification
  • Virginia Biodiesel Refinery, LLC: $7,900 for biodiesel transesterification

Vermont

  • VT Wood Pellet Co., LLC: $1,713 for pellets

Washington

  • Farm Power Lynden, LLC: $793 for energy from an anaerobic digester
  • Farm Power Rexville, LLC: $965 for energy from an anaerobic digester
  • FPE Renewables, LLC, Lynden, Washington: $9,611 for energy from an anaerobic digester
  • GDR Power, LLC: $1,054 for energy from an anaerobic digester
  • General Biodiesel, Inc.: $4,976 for biodiesel transesterification
  • Imperium Grays Harbor, LLC: $418,115 for biodiesel transesterification
  • Qualco Energy: $715 for energy from an anaerobic digester

Wisconsin

  • Bio Blend Fuels: $958 for biodiesel transesterification
  • Buckeye Ridge Renewable Power, LLC: $3,995 for energy from an anaerobic digester
  • Green Valley Dairy, LLC: $880 for energy from an anaerobic digester
  • Grotegut Dairy Farm, Inc.: $6,836 for energy from an anaerobic digester
  • Holsum Dairies, LLC: $1,913 for energy from an anaerobic digester
  • Marth Peshtigo Pellet Company, LLC: $786 for pellets
  • Marth Wood Shaving Supply, Inc.: $2,432 for pellets
  • Norswiss Digester, LLC: $3,918 for energy from an anaerobic digester
  • Quantum Dairy, LLC: $1,045 for energy from an anaerobic digester
  • Stargest Power, LLC: $3,598 for energy from an anaerobic digester
  • Statz Brothers, Inc.: $2,481 for energy from an anaerobic digester
  • Sun Power Biodiesel, LLC: $8,502 for biodiesel transesterification
  • Walsh Bio Fuels, LLC: $65,036 for biodiesel transesterification

West Virginia

  • Hamer Pellet Fuel: $8,086 for pellets

The Obama administration, with Agriculture Secretary Vilsack's leadership, has worked tirelessly to strengthen rural America, maintain a strong farm safety net, and create opportunities for America's farmers and ranchers. U.S. agriculture is currently experiencing one of its most productive periods in American history thanks to the productivity, resiliency, and resourcefulness of our producers.

To most assist farmers and ranchers impacted by the most wide-spread drought in seven decades, USDA agencies have been working for weeks with state and local officials, as well as individuals, businesses, farmers and ranchers, as they begin the process of helping to get people back on their feet. USDA offers a variety of resources for states and individuals affected by the recent disasters. For additional information and updates about USDA's efforts, please visit www.usda.gov/drought.

Creating new markets for the nation's agricultural products through biobased manufacturing is one of the many steps the Administration has taken over the past three years to strengthen the rural economy. Since August 2011, the White House Rural Council has supported a broad spectrum of rural initiatives including a Presidential Memorandum to create jobs in rural America through biobased and sustainable product procurement, a $350 million commitment in SBA funding to rural small businesses over the next 5 years, launching a series of conferences to connect investors with rural start-ups, creating capital marketing teams to pitch federal funding opportunities to private investors interested in making rural and making job search information available at 2,800 local USDA offices nationwide.

Since taking office, President Obama's Administration has taken historic steps to improve the lives of rural Americans, put people back to work and build thriving economies in rural communities. From proposing the American Jobs Act to establishing the first-ever White House Rural Council - chaired by Agriculture Secretary Tom Vilsack - the President is committed to a smarter use of existing Federal resources to foster sustainable economic prosperity and ensure the government is a strong partner for businesses, entrepreneurs and working families in rural communities.

USDA, through its Rural Development mission area, has an active portfolio of more than $170 billion in loans and loan guarantees. These programs are designed to improve the economic stability of rural communities, businesses, residents, farmers and ranchers and improve the quality of life in rural America.

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