Bob Lutz on GM investment in Coskata ethanol production

Coskata estimates they can produce 100 gallons of ethanol per 1 ton of feedstock.

Estimate of yearly waste in USA(year=1999)= 6 billion tons o carbonaceous waste

Very crude estimate= 100 * 6 billion = 600 billion gallons.

In a year the U.S. consumes about 146 billion gallons

Thus factoring in ethanols only having 3/4 the energy content of gasoline we can produce ALOT more driving fluid than what we need.  Ethanol is a problem that will be solved.  Its the alternative that is most like the current one we are using. Thus current infrastructure is most easily adapted to it.  Sorry hydrogen looks too space age and nat gas appears problematic in the distribution angle. Thus I must assume ethanol is the only practical short term alternative. So much for Bush being stupid.  He made the right longer than immediate short term choice. By choosing this option he’s putting in such economic incentive in the area that its only a matter of time and brain sweat until the problem is solved.   I’m betting a democrat will be in office when it all comes to fruition and they will try to claim credit.

Conclusions

1- get in on Coskata stock if it appears like its process is economically viable

2- get out of oil stocks before this comes out!  ( you’re in front of a freight train )

3- Even if Coskata does not solve the problem I’m confident someone will.  We can produce approximately 3X the amount of ethanol needed for present driving behaviors.

4- If Coskata wins the process will probably be localized and franchised.  This will reduce transportation of raw fuel stock.

5- Garbage companies will become fuel companies. – buy stocks of companies that receive large amounts of carbonaceous waste!

6- Its the technology will be ready before 10 years passes.  ( 2018).   There is too much money to be made.

Coskata Process

coskata-ethanol-process.jpg

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When Cellulosic Ethanol comes fully online corn prices will plummet » A MarketPlace of Ideas · March 5, 2008 at 10:50 am

[…] When Cellulosic Ethanol comes fully online corn prices will plummet By webmaster If you read my back of the napkin on the envelop calculation about how much cellulosic ethanol we can produce in the USA using trash then you know that number is likely substantial. […]

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