MixAlco® – The Economics

Lower Capital and Conversion Costs

The economics of MixAlco® require lower capital and conversion costs for both large and smaller-scale applications. The MixAlco® conversion technology does not require the addition of expensive enzymes, sterile process equipment and does not employ energy-intensive distillation or high heat and pressures resulting in lower capital and conversion costs.

Lignocellulosic biomass, such as municipal solid waste, sewage sludge, crop residues, energy crops, and manure, is an inexpensive feedstock for making biofuels. Many biomass sources are free or command a low disposal fee. Agriculture and logistics for production of energy crops, such as sweet sorghum and energy cane, are under development and in the near future they are expected to demand a price for about $40/ton, which is equivalent to oil at $15/bbl on an energy basis.

Because of the non-sterile nature of Terrabon's conversion process, the capital cost for a plant using 1000 dry tons per day is between $6.00 and $8.00 per annual gallon. On an ethanol equivalency basis, that's about $4.00 to $5.33 per annual gallon. Operating costs for a plant that size are approximately $1.00 per gallon, or about $0.67 per gallon on an ethanol equivalency basis. A 1000 dry ton per day plant can produce approximately 25 million gallons of gasoline per year.

MixAlco® – The Economics

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