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August 24, 2005

Shell buys minority stake in Choren

This is interesting financially and probably good for Choren: Green Car Congress: Shell Takes Minority Stake in Biomass-to-Liquids Producer CHOREN But BTL has a long way to go before it can be approved as an alternative fuel in AMerica. Diesel produced this way is NOT yet approved by the DOE as an alternative fuel. Here is the DOE study. Here is the money quote: "After collecting and evaluating pertinent data and conducting a workshop, DOE is unable to make a finding at this time that FTD (Fisher Tropsch Diesel) yields "substantial environmental benefits" within the meaning of section 301(2) of EPAct. A finding that a candidate fuel offers "substantial environmental benefits" is a necessary finding to designate a fuel as an "alternative fuel" under section 301(2). DOE will evaluate the data periodically to make future decisions with regard to FTD designation as an "alternative fuel."

So pretty much no fleet will use it since they don't get credit under EPAct. Since fleet mandates are the #1 driver of biodiesel in the US today, I would say FTD diesel is far off as an option in America.

Posted by Martin at August 24, 2005 10:24 AM

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