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What will my cost be per gallon to produce Biodiesel?

The cost analysis of reacting Biodiesel is dependent not only on costs and efficiencies of the technology and the operator but also on the cost of feedstock (whether grown by the end user or purchased on the open market), the cost of methanol, the cost of the catalyst, and the energy costs associated with production. There are simply too many factors to consider giving a blanket per gallon cost.

The simple, although general, economic truth about energy is that if someone else is in control of the process it will cost you more money than if you were in control of the process yourself. More people involved in the process results in paying more people which raises the cost of the Biodiesel sold on the open market. Making your own fuel will eliminate many of the profit takers from your fuel costs.

It is important to note that it is very unlikely that diesel fuel will ever return to a price of $2.00 per gallon. Biodiesel and its production are here to stay.

Even though the actual cost is variable, we give the following as an example of the general assessment of the savings that may be gained through your own fuel production. The following is an example based on the market pricing of December 15, 2008.

Taking into account the prices, methods and assumptions below, the following is a cost estimate of a price per gallon reacted in our BD76™.

500 gallons of Yellow Grease at $0.93/gal$465
120 gallons of methanol at $1.05/gal$126
KOH at $15.00 per batch$15
PD206® at $20.00$20
Power to run a batch$50
5 Man hours to run a batch @ $15.00$75
TOTAL Run Cost $751
Run Cost PER GALLON ($751/500gal) $1.50


Additionally, under current farm and energy statutes the federal government now allows for a $1.00/gal tax credit for all biofuel produced. Exact savings with this tax credit would be dependent upon each individual situation.



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How many gallons of oil feedstock can I get from an acre of farmland?

We cannot say definitively what kind of yield can be expected from a given crop due to the wide variability in farming conditions. The table below provides estimates for generally accepted yields by crop.

Yields by crop in gallons/acre:

Corn18
Cotton35
Soy45
Pumpkin Seed    55
Mustard Seed60
Sunflower100
Rapeseed125
Jatropha200
Palm635



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How do I get oil from seeds?

At Independence Energy we provide our customers with a program that addresses the issue of pressing oil. By teaming up with AgOilPress, we are able to offer a program that includes the finest oil press system in the world. True independence means that you will be in total control of your fuel production.


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Where can I get my oil feedstock if I don’t grow my own?

Oil feedstock is simply oil. If you don’t grow your own feedstock there are markets that sell all varieties. Seed oils, Yellow Grease, Waste Vegetable Oil (WVO) and animal renderings may be purchased at market rates.

Independence Energy’s president, Phil Machen, has been in the biofuel world for over seven years and in the chemical business for over twenty-five years. He has trained our personnel to aid and assist our end users in the acquisition of the most cost-effective sources of biofeedstock.

We strive to provide the marketplace with the most accessible Biodiesel process available. That includes customer support in all areas including the sourcing of biofeedstock.



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How do I set up my unit?

Independence Energy makes a processing unit that is unparalleled in the industry for its ease in installation and operation. The BD76™, in all of its configurations, is a skid-mounted, plug-and-play unit. The installation requires Liquid Propane (LP) for the heat source and simple wiring by your local certified electrician to your single phase panel. Before your BD76™ arrives you should contact a local chemical supplier for delivery of your methanol and catalyst (our sales staff will assist you in making that contact). As soon as your electrician drives away turn on your BD76™ and declare your independence from foreign oil, big oil and all the profit takers in between.


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How long and complicated is it to generate a batch?

Generating a batch is simple and takes only 24 hours. One of our goals is to make the BD76™ user-friendly, and we believe we have met that goal. Our instruction book is neither complex nor long; it doesn’t have to be either one. If the operator follows a few simple instructions laid out in our straightforward manual, he or she can be driving down the open highway the next morning burning their own road ready fuel.


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What is Independence Energy’s equipment warranty?

With our all stainless steel construction and quality assembly we are pleased to include in our program a major parts and service warranty of three years. Our prediction is that three years is the maximum expected return on investment (ROI) period.


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How will running Biodiesel affect my other warranties?

It shouldn’t if you properly use the IEC Shine 1000™ together with the PUROLITE® PD206®.

*Any warranty representations made about regulatory specifications will be made by PUROLITE®. As PD206® is a proprietary product made by PUROLITE®, IEC is prohibited from granting any warranties or guarantees as to PD206® or any issues regarding regulatory compliance.



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What modifications do I need to make to my equipment?

Biodiesel is cleaner than petroleum diesel. Biodiesel will clean all the carbon from your bulk storage tanks and equipment as well as cleaning it from your vehicle's fuel tanks and lines. You will have to change your fuel filters when the excess carbon travels down the fuel line.

Biodiesel is an effective solvent; that is why it cleans. If your fuel lines are not metal they will need to be replaced. The benefit, however, is that your Biodiesel will clean everything it touches. For example, you can expect cleaner fuel injectors.



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How do I know if I ran the batch properly?

If you have followed our simple and plain instructions you have run your batch properly. Unlike any of the other systems available on the market, Independence Energy's system includes a hand-held test unit that gives you the numerical data necessary to indicate your successful run. More importantly, the hand-held unit will also allow you to predict the outcome of your next run based on the strength of your PD206®.


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What by-products are generated and what do I do with them?

The only by-product generated by a batch run is glycerin and disposal is simple. Glycerin is a sugar that can be sent straight into any waste-water treatment facility. It feeds the microbes (the bugs) that consume effluent (the junk). You should give your waste-water authority a courtesy call about your glycerin disposal just so they know what you’re handing off to them.

You may consider spreading the glycerin in your fields if you choose not to send it to a waste-water treatment facility. You may also consider distilling the methanol from the glycerin to make it suitable for sale into the open market.

It is important to note that methanol is NOT a by-product. We mention this because methanol is a chemical that the regulatory authorities take very seriously, as should you. The BD76™ system, given every consideration to the safety issue, is a closed system relative to the methanol. The BD76™ also has a methanol recovery system that efficiently and easily removes the excess methanol from your batch reaction.



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What about regulatory compliance?

Independence Energy's technological development and formulation of its programs keep at the forefront the safety of both you and the environment. The BD76™ is the only Biodiesel processing that we know of, for instance, that has a NEMA 7 (explosion resistant) panel. All of the component parts that need to be explosion resistant are NEMA 7. The closed excess methanol recovery system means you will have no waste disposal issue and no regulatory compliance issue. It also means that you will be making a fuel with a lower carbon footprint than petroleum diesel and will not be contributing to a waste problem.


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Does Independence Energy make finance arrangements?

Currently Independence Energy does not offer a financing program. We will, however, refer you to one of the various lending institutions that have indicated their confidence in our technology and our approach to the industry.


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What make Independence Energy’s program different from the rest of the marketplace?

1Safety
2Durability
3Accessiblity
4Cost-Efficiency


These principles are the cornerstones of our business. Safety, for example, is seen readily in our NEMA 7 components. Our complete stainless steel constructtion speaks of our commitment to durability and our simple design makes our technology readily accessible. Independence Energy has the most reasonably priced 500 gallon production unit available anywhere. You will not find a more cost-efficient program anywhere, nor will you find one of higher quality.



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