Posts Tagged ‘Sapphire Energy’

Article courtesy of the Las Cruces Bulletin

By Gabriel Vasquez

Momentous scientific and manufacturing advances have marked the trail blazed by American innovation over the last 200 years.

That innovation continues in the arid desert of southern New Mexico, where private and public research firms are investing their expertise and money into developing green crude from algal fuel.

Photo courtesy of Sapphire Energy

“There is a biofuels revolution in New Mexico,” said U.S. Rep. Harry Teague during a biofuels roundtable discussion Monday, Oct. 11, at the Dona Ana Community College Workforce Center. “It is an industry that has tremendous potential to grow and expand.”

At the roundtable, representatives from Sapphire Energy, the Center of Excellence for Hazardous Material Management, New Mexico State University, the state’s Economic Development Department and the Southwestern Biofuels Association discussed both economic and social implications of developing large-scale biofuel production facilities in southern New Mexico.

“We need to be making energy in America and making jobs in America,” Teague said. “The biofuels industry will help us make it in America.”

The business model for the large-scale production of algae-based biofuel is in its early stages. Already, Sapphire Energy, a San Diego-based company backed by two of the biggest venture capitalists in the world – Bill Gates and the Rockefeller family – has set up a 100 acre test-and-demonstration facility near Las Cruces in preparation for a much larger biofuel production facility.

The company plans to break ground on the 300-acre biofuel refinery in Luna County, near Columbus, early next year.

“We have a very unique technology in that it uses a combination of CO2, algae and non-potable water that delivers a drop-in replacement for transportation fuel,” said Tim Zenk, Sapphire’s vice president of corporate affairs. “We’re talking about algae oil that can be converted and refined to gasoline, diesel and jetfuel.”

Similarly, Massachusetts company Joule Unlimited Inc. is looking at New Mexico to build its first biofuel production facility. Joule President Bill Sims said the state is at the top of his company’s list. The Joule plant, at an estimated 5,000 acres, would create up to 1,500 jobs in the state, he said.

Bringing more energy jobs to New Mexico is also the focus of the Southwestern Biofuels Association, said SWBA spokesperson Maria Zannes. “We’re here about jobs,” she said. “It’s what we focused on when the SWBA first started to develop its statewide plan.”

The SWBA is working with private industry, in conjunction with academia and the state government, to develop a biofuel business model that pays off and creates jobs for New Mexico.

Meghan Starbuck, an NMSU associate professor of economics, has been part of SWBA’s primary counsel in developing that model.

“I’ve been working in biofuels for several years now, and I agree that biofuels is an important and exciting sector,” she said. “As a state and a country, it’s really vital for us moving forward and fixing the economic harm and damage of the last few years.” Starbuck calls the biofuels industry a “combination of high-tech science and agriculture,” the perfect fit for southern New Mexico.

By 2022, the biofuel industry will have to produce 21 billion gallons of transportation fuel to meet national energy standards, Starbuck said. “It will have to come from somewhere, and New Mexico is the place to start,” she said.

A “small” algal biofuel production facility that produces 100 million gallons of biofuel per year, such as the one Sapphire plans for Luna County, would generate about 454 direct and indirect jobs, Starbuck said. The value added to the state’s economy for such a facility would be about $28 million, with $8 million going directly into the state’s tax coffers, she said. Eventually, with several facilities around the state, the industry’s tax revenue could help offset the tax revenue received by the state’s oil and gas industry, which tends to fluctuate unpredictably from year to year. “If we are able to capture 25 to 30 percent of that market it has a large impact on the state,” she said.

The technology is proven, Zenk said – it’s just a matter of making it commercially viable. Already, Zenk’s company has outfitted a car with algal derived fuel that drove cross-country with no problems, and it continues to test other fuels successfully in big rigs and jet planes. “We made molecularly identical jet fuel as the kind you would normally see in a jet,” he said. “In fact, it had a 4 percent higher energy density, which means the plane can fly farther, and because it has a much lower freezing point, fly higher.”

Luz-Elena Mimbela, a researcher at New Mexico State University, said the science behind the algal oil extraction process is well-suited for this area. “You add nutrients such as CO2, nitrogen, phosphorous and trace metals,” she said. “You gently mix the (ponding solution) to keep algae in suspension to maximize its exposure to light. Photosynthesis does the rest.” The harvesting and concentration process is where it gets complicated, she said. “But the technology exists and is available.”

Zenk added that algal biofuel is a “scalable business, cost-competitive with oil, is fungible, has a low-carbon footprint based on its lifecycle and doesn’t compete with other agriculture products.”

Mimbela disagreed; saying that biofuel from algae is still too expensive to compete with petroleum based fuels.

Doug Lynn of the Center of Excellence for Hazardous Materials Management in Carlsbad, which is conducting its own algal biofuel research in conjunction with NMSU, said he’s convinced “algae is going to work.”

“When I first saw this myself, it was inconceivable that we could walk away from this project considering its potential,” he said. “We have to be good farmers. We must learn how to best grow it, manipulate it and make oil.”

To learn more about algal biofuels or the SWBA, visit www.swbiofuels.org.

Article courtesy to the Las Cruces Bulletin

By Gabriel Vasquez

Not many people know about the West Mesa Industrial Park, a 1,820-acre development located on Interstate 10, eight miles west of Las Cruces. It is home to several companies specializing in light and general manufacturing, and more are coming.

Most recently, Alaska Structures (AKS), a company in Las Cruces for more than 10 years, has expanded from its South Main Street facility into the 180,000-square-foot West Mesa building previously occupied by Rea Magnet Wire.

“I can confirm they are now occupying the old Rea building, and have taken over part of the Parkview site as well,” said Davin Lopez, president and CEO of the Mesilla Valley Economic Development Alliance.

The Parkview Metals site, vacant since 2007, stands at 100,000 square feet. AKS leased all but the office space in the building as it continues to consolidate its El Paso operations into Las Cruces.

“(AKS) will need more employees, but I do not know if they are hiring right now,” said Christine Logan, administrator for the city’s Economic Development Department. AKS designs, engineers and manufactures fabric-building systems for extreme environments for both military and commercial use. It recently was awarded a large contract that called for the expansion. Expected employment for the Rea site is 75 to90 employees, city officials said, with a possible expansion of up to 170 employees once the Parkview site is fully operational.

“It’s safe to say, that any local company that expands at this rate can only be a great opportunity for us,” Lopez said.

Although industrial buildings are still available for lease, space on the West Mesa is becoming more of a hot commodity.

“Don Billings has a 6,000-square-foot spec building available on Trigg Loop and NAI 1st Valley is marketing a 23,000-squarefoot facility on Crawford Boulevard,” Logan said. “Although there are not many buildings available, there are several development ready land parcels available through private land owners and the city.”

Current West Mesa tenants include Samson Equipment, which continues to do well and is looking to acquire additional land for expansion. F&A Dairy Products has completed a significant expansion and has recently upped its employment number to 93.

The Sapphire Energy research and development site continues to grow and now employs 24 full-time and has added several interns from New Mexico State University.

Onion producers Barker Produce have a new facility under construction on the West Mesa and Premier Distributing opened a facility there in February and employs 63 people in the park.

For more information on the West Mesa Industrial Park, a city-owned light manufacturing and industry development, call (575) 541-2286.

Sponsored by:

Arrowhead Center

Dona Ana Community College Small Business Development Center

New Mexico Procurement and Technical Assistance Program

On behalf of all of the sponsors of the 2010 Business Owners and Entrepreneurs Symposium, you are invited to attend this year’s conference!  The Symposium will be held on Friday, August 13, 2010 at the NM Farm and Ranch Heritage Museum.  This will be a half day event, beginning at 7:30am and ending at 2:00pm.

Master of Ceremonies – Dr. Margie Huerta, President, Dona Ana Community College (DACC)

AGENDA:

7:30 a.m. – 8:00 a.m. Registration and Breakfast Networking Opportunity

8:15 a.m. Opening Remarks by Dr. Margie Huerta, President, Dona Ana Community College (DACC)

8:15 a.m. – 9:15 a.m. “The State of the New Mexico Economy: A Small Business Perspective”

Panel Moderator: Mr. William Hett-Dobricky, Procurement Advisor, NM-PTAP

Panel Members:

• Dr. Christopher Erickson, Professor of Economics, New Mexico State University
• Dr. Ken Martin, Professor of Finance, New Mexico State University
• Dr. James Peach, Regents Professor of Economics, New Mexico State University

9:15 a.m. – 9:45 a.m. “Commercial and Residential Real Estate Markets: A Local Perspective”

• Ms. Connie Hettinga, President, Realtor’s Association of New Mexico
• Mr. John Hummer, President, Steinborn & Associates Real Estate

9:45 a.m. – 10:00 a.m. Break

10:00 a.m. – 11:00 a.m. “Business Owners Panel: Issues and Best Practices in Small Business”

Panel Moderator: Dr. Kevin Boberg, CEO, Arrowhead Center

Panel Members:

• Mr. Bryn Davis, Sapphire Energy
• Mr. Mike Beckett, Owner, Coas Bookstore
• Ms. Dana Kyle, Attorney at Law
• Danny Osborn, Vice President of Operations, BroCon, Inc.

11:00 a.m. – 11:30 a.m. “SBA Recovery Act and Lending Programs”

• Mr. John Woosley, District Director, U.S. Small Business Administration, NM District Office

11:30 a.m. – 12:30 p.m. “Healthcare Reform: How it affects New Mexico’s Small Businesses”

• Dr. Beverlee McClure, President & CEO, New Mexico Association of Commerce and Industry

12:30 p.m. – 12:45 p.m. Buffet Lunch Serve

12:45 p.m. – 1:45p.m. Luncheon and Keynote Address

Introduction of Speaker: Jim Berry, President, Greater Las Cruces Chamber of Commerce

Keynote Speaker: Dr. Bill Gilmer, Vice President, El Paso Branch, Federal Reserve Bank of Dallas

1:45 p.m. – 2:00p.m. Closing Remarks Speaker: Dr. Garrey Carruthers, President, Arrowhead Center

Event registration is $49.00 per person. You may register on-line by clicking the icon below. For more information please contact the DACC Small Business Development Center (575-527-7676).

Article courtesy of the Las Cruces Bulletin

By Gabriel Vasquez

A spark of genius is returning to Las Cruces. The second annual Re-Energize America conference, slated for Thursday and Friday, June 3 and 4, will corral a group of national experts in the energy field to speak on various topics related to short-term planning for long-term energy independence. U.S. Representative Harry Teague is once again the program’s honorary chair.

“Developing a comprehensive energy plan that incorporates both traditional and renewable energy resources is critical in cementing southern New Mexico as a leader in the energy industry,” Teague said, announcing the event.

The two-day conference, to be held at the New Mexico Farm & Ranch Heritage Museum, 4100 Dripping Springs Road, will offer attendees the opportunity to discuss domestic solutions to energy problems with leaders in government, industry and academia.  Job creation will be a focus of the conference.

“This has been one of my top priorities while in Congress, working with great organizations like NMSU to develop research and production programs that take advantage of our state’s unique resources,” Teague said.

According to the program’s agenda, the conference will go “beyond policy discussions,” with a distinct focus on how participants can help develop a short-term plan for long-term sustainability. Participants will listen to panelists speak about creating new energy jobs, jobs through investments in energy efficiency, the technology behind energy independence, new energy jobs for New Mexico, creating new energy entrepreneurs, new jobs in nuclear energy and the role of oil and gas during the transition. Active discussions will be held during panel sessions.

“Energy is one of the most important issues we’re faced with in this country,” said Abbas Ghassemi, director of NMSU’s Institute for Energy and the Environment, announcing the conference. “Energy availability, sustainability, delivery and impact on natural resources like water and reliable and dependable sources of energy are so significant to the sustenance of the way of life that we have.”

NMSU’s Institute for Energy & the Environment is sponsoring the conference with support from the Arrowhead Center’s PROSPER Project, International Relations Institute, Water Resources Research Institute and the College of Arts and Sciences.

At last year’s conference, the event featured an impressive lineup of speakers that included Steven Chu, U.S. secretary of energy; Dick Williams, president of Shell Wind; Diane Denish, lieutenant governor; Jeff Trucksess, president of Green Earth Fuels; Bob Gallagher, president of the New Mexico Oil & Gas Association; Paul Foster, CEO of Western Refining; and Tom Bowles, science advisor to Governor Bill Richardson.

“At Shell, we operate on three hard truths,” Williams said during last year’s conference. “One, our source of energy is going to die. Second, the easy-to-get stuff is gone. Third, anything we do has an environmental stress.”

Panelists and speakers this year include Barbara Couture, president of NMSU; Jim Ford, vice president of federal government affairs for ConocoPhillips; Jason Pyle, CEO of Sapphire Energy; Steve Fischmann, state senator; Russell Schmitt, president of CleanSwitch; Jon Goldstein, secretary of the New Mexico Energy, Minerals and Natural Resources Department; Jeff Bingaman, U.S. senator; Margie Tatro, director of Fuel and Water Systems for Sandia National Laboratories; and Arun Bose, program manager for the National Energy Technology Laboratory. Several other speakers from various sectors related to the energy industry are also slated to make an appearance.

The conference is free and open to the public, but registration is required and is limited to 400 participants. At last year’s conference, more than 400 showed up for the two-day event.

“We hope participants and audience members alike will participate in coming up with solutions,” Ghassemi said. “Solutions to these problems are very complex in nature. It is not as simple as coming up with a technology … to solve all the problems.

“(Attendees) will be able to participate in developing a plan on how to go about achieving energy independence. We cannot come up with a solution that is forced down; it really needs to be a grassroots, working up as well as the highest level of our local, state and federal governmental policies that meet each other halfway.”

Other conference sponsors include ConocoPhillips, Lockheed Martin, Los Alamos National Laboratory, Sandia National Laboratories, Sapphire Energy and the Carlsbad, N.M., Department of Development.

“We have not come close to reaching the limits of renewable energy technologies and now is the time to collaborate our efforts and resources,” Teague said. “Building off the success of last year’s conference, this year’s Re-Energize America will once again bring together policy, industry and academic experts and help move New Mexico’s energy future forward.”

For more information on the conference and to register, visit energize.nmsu.edu or call Karen Mikel at 646-2162 or Aggie Saltman at 646-9323.

Article courtesy of Las Cruces Sun-News

By Brook Stockberger

As you travel on Interstate 10 south of Las Cruces near Mesquite, the discernible aroma of cow is often in the air. Now that smell could be a multimillion dollar business that helps the environment as well.

R-Qubed Energy, a New Mexico-registered company operated by a group of El Paso business folks, hopes to break ground this summer on a $74 million, 11-acre plant that will employ 80 to 90 full-time workers and turn methane from cow manure into energy.

And, oh yeah, the process could cut down on the odor in the area by collecting up the manure. Sound too good to be true? Michael Weatherly, who owns Buena Vista farm in Mesquite, believes in the process. He is selling land to R-Qubed to build the facility. “You have the cows and they produce manure (and) people have complained about the odor of the dairies,” Weatherly said. “This is kind of a win-win for everybody. It takes our dairy waste and converts it into energy. It’s just better for the communities and the neighbors.”

The company already has a deal to sell gas to PNM, the utility company that provides electricity to much of the state, although not Dona Ana County.

Lori Hughes, manager director with R-Qubed, said that the company researched a variety of places, but that the location of multiple dairy farms near Mesquite made the most sense. “Within about 16 miles, you have between 40 and 50,000 cows,” she said. “And of course you’ve got the waste stream here 24/7, it just doesn’t stop.”

John Davis with the company said that, as green source of energy, this will be one of the most consistent. “Wind will produce as long as wind blows and sun as long as the sun shines but biogas is a very stable, 24/7 product,” Davis said.

The plant will be built by Austrian-based company Entec Biogas GMBH. It will be constructed in four quadrants, with the first scheduled to break ground in June or July.

Manure will be captured and piped to the plant, into what is called a digester. There, it will spend about 30 days in a one of several, 60-foot tanks, where it will be constantly stirred and kept at a temperature of about 100 degrees. The methane released will be routed through a pipe in the top of the tank, go through a scrubbing process and sent on its way to a PNM transmission pipe.

“It’s like a continuation of a cow’s stomach,” Davis said. “It works on the microbes that are already in the manure, so putting it in digester is just continuing the process.”

After 30 days, much of the manure will have been degraded, or converted to methane, and what Hughes called the “slurry” left behind will then be pumped into a centrifuge to separate liquid from solid. The solid will be collected for compost and the liquid will either be used for fertilizer or pumped to a water treatment facility there. In fact, the composting and water treatment process are every bit as important to the company as the methane collection.

“It is not economically viable as a commercial operation based on energy alone,” Hughes said. “There had to be other revenue streams that were developed; that brings in the composting and water side of that.”

In addition, carbon dioxide is also produced during the process, and that gas can be sold as well, for use in oil wells to help push oil out of the ground or even to Sapphire Energy, which is producing algae in Las Cruces in hopes of extracting oil from the plant-like organism. In return, Keith Hughes with the company said that algae left over by the process can be composted at the plant.

R-Qubed is not the only group in the area working on the manure-to-energy angle. New Mexico State University researchers Zohrab Samani and Adrian Hanson have developed a digester system as well.

The school reports that it received a $321,000 grant that will enable the researchers to build a full-scale digester system to test their process. The model digester will be built in La Mesa, where a local grower will use this electricity to heat greenhouses and will use a byproduct compost to help grow plants.

Hughes said that the idea, which has been in use in Europe for years, is catching on in the area, although the understanding of the process is still in its infancy. The point was driven home when the company made a presentation to government officials in Santa Fe. “We did a presentation up at the Roundhouse and one of the comments made was, ‘This better not be a scam,’” he said.

If R-Qubed vision comes true, one day when you flip your light switch, you could just have Bessy to thank.