Information | Glycerin Market

CRUDE OIL
Bunker Fuel is a type of liquid fuel, which is fractionally distilled from crude oil. In comparison with other petroleum products, bunker fuel is extremely crude and highly polluting. The hydrocarbon chains in bunker fuel are very long, and this fuel is highly vicious as a result. Bunker fuel, is also heavily contaminated with various substances, which cannot be removed, so when it is burned, it pollutes heavily. Ships have enough space to heat bunker fuel before feeding it into their engines, and their extremely sophisticated engines are capable of burning a wide range of fuels, including low quality bunker fuel. Because bunker fuel also carries a range of contaminants, it can represent a serious environmental hazard when it spills. Bunker Fuel is also, extremely cheap, and many shipping companies would lobby against any proposed ban out of concern for a sudden price increase.

CRUDE GLYCERIN
Crude Glycerin is the primary co-product of the transecterification process that produces biodiesel and equals approximately 10% of the quantity of biodiesel produced. Glycerin is referred to as a “high-value” co-product from biodiesel and is a very common industrial chemical with a multitude of uses.

Glycerin burns with less omissions and greenhouse gases than other hydrocarbon fuels and has 95% of BTU’s per gallon as number 2 diesel. The United States Renewable Fuel Standard (RFS2) mandate calls for 1.115 Billion gallons of biodiesel to be blended in 2009 and 2010. The RFS2 also mandates 1 billion gallons of biodiesel to be blended in the 2012 calendar year. This will produce in excess of 100 million gallons of glycerin in 2012.

The U.S. Manufacturing industry has recently been under careful examination due to the growing number of manufacturing operations transferred to foreign countries, as well as automation. Maximizing operational efficiency by lowering costs is the main reason manufacturing employment has gradually diminished.

The U.S government has recently put stress on manufacturers to comply with industry standards producing environmentally friendly, non-hazardous products. Since society has become more environmentally conscious regarding the release of greenhouse gases and other pollutants, the government has taken steps to reduce carbon emissions and ensure the safety and health of the public. The trend of environmentally friendly products used throughout the manufacturing processes may have an impact on industry growth.

GLYCERIN BUNKER FUEL MARKET
All engines, motors, and boiler operations that are currently using number 6 diesel or any sludge fuel can burn our Glycerin Fuel.

Examples:
Paper Mills
All Large Boiler Operations
Maritime Industry
Coal Plants, same cost per BTU but less greenhouse gas emissions
Asphalt Plants

The plant will be receiving and processing 10,000,000 gallons a year (27,400 gallons per day) of glycerin from U.S. and Canadian biodiesel plants and refining those gallons into a consistent spec grade bunker fuel. The products removed in the refining process, Methanol, feedstock oils and MONG will be resold into the market place. The remaining extracted product green water will be disposed of.

The Glycerin being produced at the biodiesel plants have a wide range of other products in its contents including Methanol, oils, MONG, and water due to the different process’ used to make biodiesel.

Glycerin:
Co-product of biodiesel production
In excess of 100,000 BTU’s per gallon
We will be able to vary purity and flash point

Additional Income from the Selling of refined co-products
As we refine the impurities out of the glycerin stream we will capture, save, and remarket these products. Volume of the co-products will vary depending on the makeup of glycerin coming into our plant. The co-products we save and market are:

1.) Methanol - Market value $1.25/gal
2.) Feedstock Oils - Value will start at $1.75.
3.) MONG (Material Organic Non Glycerin) - $0.05/lb.