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For use as solvent, I suspect it's going to
have to be of higher purity, to avoid possible contamination - that will drive
up the price right there. If the plant works out, that will
help bring the price down of even solvent grade.
Greg H.
----- Original Message -----
Sent: Thursday, December 15, 2005
12:02
Subject: Re: [Biofuel] BioButanol
replaces gasoline
>From the first URL:
"Butanol currently sells for about $3.70 per gallon in
bulk (barge) and $6.80 in 55 gallon drums."
and
"Our preliminary
cost estimates suggest that we can produce butanol from corn for about $1.20
per gallon, not including a credit for the hydrogen produced. This compares
with ethanol production costs of about $1.28 per gallon. Taking into account
the higher Btu content of butanol, this translates to 105,000 Btu per dollar
for butanol and 84,000 Btu per dollar for ethanol with corn at $2.50 per
bushel. As a further point of reference, butanol produced from petroleum costs
about $1.35 per gallon to manufacture."
With US wholesale
gasoline (ie barge) at ~$1.65 (Source: NYMEX for January delivery), $1.20 per
gallon production sounds great, especially against $1.35 per gallon from
petrochem. But if the (bio)Butanol would be worth $3.70 as a solvent,
would the price as a fuel be low enough to replace gasoline? I think
only if the supply outstripped demand to a large degree. No rational
capitalist would sell a product worth $3.70 for $1.65. Did I miss
something?
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