An Economic Study of the Quick-germ Technology for the Dry-grind Process of Corn Ethanol Production and Its Effects Upon the Corn Oil Market
Author: Edward Duane Yoder
Publisher:
Published: 2006
Total Pages: 120
ISBN-13:
DOWNLOAD EBOOKThis study is an economic analysis of the Quick-Germ technology when adapted to a medium sized (32.8 million gallons per year) dry-grind ethanol facility. Quick-Germ combines wet-mill steeping for germ separation for corn oil production in the dry-grind ethanol process in order to lower net feedstock costs. Previously published economic analysis budgets of a dry-grind ethanol facility and a proposed similarly adapted Quick-Germ adapted facility were used to create a model to determine the break-even production price of ethanol. Then, it was determined how much corn oil could be produced before the additional supply would lower the price enough to prevent market profitability. It was calculated that the Quick-Germ technology could potentially lower the break-even price of ethanol production by $0.054 per gallon. Also, approximately ten Quick-Germ converted dry-grind ethanol facilities producing approximately 197 million pounds of corn oil a year prevents additional profitable entry into the corn oil market.