Great River Energy biomass plant to power up in 2010; need $25 carbon, seeking steam offtake partner

In North Dakota, the Great River Energy power plant at the Spiritwood complex is expected to commence operation in 2010,  according to management, but feasibility is still an issue as plant managers focus on biomass feedstock costs. The plant is expected to attract 480,000 tons of crop residues, of which one-third will be pelletized for power generation and the remainder used to produce ethanol, methanol, renewable chemicals, and C5 molasses that would be used as a feed supplement.

The plant is expecting to receive $45 per ton in Biomass Crop Assistance Program payments, for up to two years, if the facility is approved for BCAP payments — offsetting an expected biomass cost of $40 to $80 per dry ton. Plant management say that they will need carbon costs to reach $25 per ton to make the plant economically effective, and said that they are seeking an advanced biofuels partner as a steam offtake partner.

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