Frequently Asked Questions

Ethanol-blended gasoline powers cars and trucks hundreds of thousands of miles across the United States each and every year. In fact, it has powered vehicles through more than 2 trillion miles in the past 25 years. It is proven to decrease air pollution, enhance engine performance and boost local, regional and national economies. Every major automaker approves and warrantees its use. Even so, there's a lot of misinformation and misunderstanding out there. The truth is ethanol is economical, efficient and earth-friendly, and in North Dakota, it's good for all of us.

Red Trail Energy, LLC

What is Red Trail Energy, LLC?

Red Trail Energy is a group formed in to build an investor base for the purposes of constructing an ethanol plant near Richardton, N.D.

How will the Richardton plant benefit area cattle producers?

Red Trail Energy will produce 162,000 tons of DDGS (dried distillers grain) or 402,000 tons of wetcake, enough feed to support 220,000 head of feeder cattle. A North Dakota State University study found that as much as $25 million could be added to southwest North Dakota’s economy by backgrounding calves.

How much ethanol will this plant produce each year?

Red Trail Energy will produce 50 million gallons of ethanol annually. This amount is guaranteed by the builder.

How much ethanol will this plant generate per bushel of corn?

The Richardton plant will generate 2.8 gallons of ethanol from every bushel of corn. This amount is guaranteed by the builder.

How much corn will the plant use?

The Richardton plant will consume 18-20 million bushels of corn annually.

Ethanol, the Environment and the Economy

What is ethanol?

Ethanol (ethyl alcohol, grain alcohol) is an alcohol-based alternative fuel. It is a clear, colorless liquid made up of a group of chemical compounds whose molecules contain a hydroxyl group, -OH, bonded to a carbon atom.

Ethanol (CH3CH2OH) can be produced from any biological feedstocks (starch crops) that contain appreciable amounts of sugar or materials that can be converted into sugar, such as starch or cellulose. Examples of feedstocks that contain sugar are sugar beets and sugar cane. Corn contains starch that can be converted into sugar relatively easily, so it is the most commonly used crop. However, ethanol can also be made from barley and wheat.

A number of cellulosic biomass materials, such as trees and grasses, are made up of cellulose which also can be converted to sugar, although with more difficulty than is required to convert starch. Ethanol made from cellulosic biomass materials instead of traditional feedstocks is called bioethanol.

Most ethanol is produced in the grain-growing states of the Midwest. It is commonly used to increase octane and improve the emissions quality of gasoline. Ethanol can be blended with gasoline to form an E10 blend (10 percent ethanol and 90 percent gasoline, or an E85 blend (85 percent ethanol and 15 percent gasoline).

The Clean Air Act Amendments of 1990 mandated the sale of oxygenated fuels in areas with unhealthy levels of carbon monoxide. Since that time, there has been strong demand for ethanol as an oxygenate blended with gasoline. In the United States each year, approximately 2 billion gallons are added to gasoline to increase octane and improve the emissions quality of gasoline.

Blends of at least 85 percent ethanol are considered alternative fuels under the Energy Policy Act of 1992 (EPAct). E85 is used in flexible fuel vehicles (FFVs) that are currently offered by most major auto manufacturers. FFVs can run on gasoline, E85, or any combination of the two and qualify as alternative fuel vehicles under EPAct regulations.

What are the byproducts of ethanol production?

Ethanol byproducts (co-products) include distillers dried grains (DDGs), corn bran, corn gluten feed, corn gluten meal, corn germ meal and condensed fermented corn extractives. Every bushel of corn made into ethanol yields 18 pounds of DDGs, which are used as livestock and poultry feed. Nearly 3.8 million tons of DDGs are created in domestic dry grind ethanol production.

I’ve heard that ethanol use only benefits farmers. Is that true?

No. Consider these facts:

The increase in net farm income from ethanol production results in a boost in the agricultural sector that cuts farm program costs and taxpayer outlays.
Ethanol production has been responsible for more than 40,000 jobs in the United States, or more than $1.3 billion in household income.
Ethanol production directly and indirectly adds more than $6 billion to the American economy each year by boosting surrounding economies.
The co-products of ethanol production – such as corn gluten, distillers dried grains (DDGS), corn oil and carbon dioxide – are exported. According to the Corn Refiners Association, more than $200 million of that is attributable to ethanol production.

How much ethanol is produced from one bushel of corn?

2.8 gallons

How is ethanol made?

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The ethanol production process starts by grinding up the feedstock so it is more easily and quickly processed. Once it is ground, the sugar is either dissolved out of the material or the starch or cellulose is converted into sugar. The sugar is then fed to microbes that use it for food, producing ethanol and carbon dioxide in the process. A final step purifies the ethanol to the desired concentration. Ethanol also can be made from a wet-milling process. Many larger ethanol producers use this process, which also yields products such as high-fructose corn sweetener.

Learn more about how ethanol is made from Denco, LLC.

How does ethanol use affect the price of gasoline?

According to a May 2003 study, increasing the amount of ethanol to our gasoline pool could reduce the cost of fuel to consumers by as much as 6.6 cents per gallon. The American Petroleum Institute has estimated that the presence of ethanol causes gasoline prices to be 27 percent lower compared to regular unleaded. The total cost savings to consumers is approximately $270 million per year (U.S. Dept. of Energy).

How are the byproducts of ethanol production used?

Ethanol co-products can be sold as livestock and poultry feed. Corn-derived feed ingredients are one of our leading agricultural exports. The United States exports more than $600 million of corn gluten feed and corn gluten meal each year, strengthening our balance of trade.

Does it take more energy to produce ethanol than it contributes?

No. Corn plants efficiently collect and store energy, so for every 100 BTUs of energy used to produce ethanol, 135 BTUs of ethanol are produced. In addition, ethanol facilities are extremely energy efficient.

Does ethanol use increase air pollution?

No. In fact, there can be no increase in emission from ethanol-blended fuels; it’s the law. Due to its high oxygen content, ethanol burns more completely than ordinary unleaded gasoline and reduces harmful emissions. Consider these facts:

Ethanol contains 35 percent more oxygen than regular unleaded, so it burns cleaner, reduces the potency of toxic additives and reduces harmful tailpipe emissions.
Ethanol reduces tailpipe carbon monoxide emissions by as much as 30 percent.
Ethanol reduces exhaust VOC (volatile organic compounds) emissions by 12 percent.
Ethanol reduces particulate matter emissions by more than 25 percent. Particulate matter has been found to penetrate deeply into human lungs.
Using E-85 can curb the net emission of greenhouse gasses by as much as 39 percent to 46 percent.
The Argonne National Laboratory has demonstrated that using ethanol produces 32 percent fewer emissions of greenhouse gases than gasoline for the same distance traveled.

Does ethanol use contribute to global warming?

No. The energy balance for ethanol is positive, 1.35 to 1, so the greenhouse gas benefits of ethanol are also positive. Fact is, using ethanol produces 32 percent fewer emissions of greenhouse gases than gasoline for the same distance traveled.

Does ethanol use benefit farmers?

Yes. Consider these facts:

Ethanol production is the third largest market for corn grown in the United States.
Demand for grain from ethanol production increases net farm income more than $1.2 billion a year. The resulting boost in the agricultural economy cuts farm program costs and taxpayer outlays.
Ethanol production adds $4.5 billion to U.S. farm income annually.
Studies have shown that corn prices in markets near ethanol plants will increase between 5 cents and 8 cents per bushel.
Ethanol production accounts for a portion of the overall corn supply and helps improve corn prices nationwide.

Does ethanol use benefit America’s economy?

Yes. Consider these facts:

According to the U.S. Department of Agriculture, ethanol production adds 30 cents to the value of a bushel of corn.
According to the Renewable Fuels Association, ethanol production adds $4.5 billion to U.S. farm income annually.
Demand for grain from ethanol production increases net farm income more than $1.2 billion a year. The resulting boost in the agricultural economy cuts farm program costs and taxpayer outlays.
Ethanol production has been responsible for more than 40,000 jobs in the United States, or more than $1.3 billion in household income.
Ethanol production directly and indirectly adds more than $6 billion to the American economy each year by boosting surrounding economies.
The co-products of ethanol production – such as corn gluten, distillers dried grains (DDGS), corn oil and carbon dioxide – are exported. According to the Corn Refiners Association, more than $200 million of that is attributable to ethanol production.

Does ethanol use affect our country’s trade balance?

Yes, in positive ways. Consider these facts:

Ethanol reduces our reliance on foreign oil. If everyone in America used a 10 percent ethanol blend (E-10) in their vehicles, it would reduce our dependence on foreign oil by more than 300 million barrels each year. This is oil that costs us over $5 billion.
According to a 1997 study by the Kellogg School of Management, ethanol production improved the U.S. trade balance by approximately $2 billion that year alone.
Domestic ethanol production was expected to reach 3 billion gallons by the end of 2003. If we increased that to 5 billion gallons by 2012, we would displace more than 1.6 billion barrels of imported oil, or 5 percent of our imports, during that period.

Does ethanol production waste corn that could have been used for food?

No. In 2001, U.S. farmers produced 9.5 billion bushels of corn and only 600 million bushels are currently used in ethanol production. There’s no shortage of corn, and the ethanol market could expand significantly without negatively impacting its availability. Besides, ethanol production uses field corn, most of which is fed to livestock, not humans. Only the starch portion of the corn kernel is used to produce ethanol. The vitamins, minerals, proteins and fiber are converted to other products such as sweeteners, corn oil and high-value livestock feed, which helps livestock producers add to the overall food supply.

Can ethanol be transported economically to the U.S. coasts?

Yes. The ethanol industry has already demonstrated this. For example, refiners in New York have been blending ethanol with gasoline for 12 years and have been competitive. Eighty percent of California’s fuel supply is blended with ethanol on a competitive price basis.

Ethanol and North Dakota

How does ethanol use benefit North Dakota farmers?

According to the North Dakota Corn Growers Association, ethanol production typically raises the market price for corn by 5-10 cents per bushel in the surrounding area. Keeping an acre of North Dakota-grown corn in the state and processing it in ethanol plants here triples its economic return.

Does ethanol production in North Dakota improve the state’s economy?

Yes. Consider these facts:

Keeping an acre of North Dakota-grown corn in the state and processing it in ethanol plants here triples its economic return.
Ethanol production creates new jobs. According to a recent study, a 40 million gallon per year (MGY) ethanol plant creates 679 jobs in direct and indirect employment.
The same study calculated the economic impact of a 40 MGY ethanol plant at $110 million in gross economic activity to the immediate area, plus $19 million in personal income and $1.2 million in tax revenue.
One new 30 million gallon ethanol plant in North Dakota would add 415 new jobs, $14 million in personal income and $44.5 million in gross business volume.

Ethanol Mythbusters

Will ethanol hurt my fuel injectors?

No. Olefins in gasoline cause deposits that can foul injectors. By comparison, ethanol burns 100 percent and leaves no residue, so it cannot contribute to the formation of deposits. Fact is, ethanol actually keeps fuel injectors cleaner and improves performance. What’s more, ethanol does not increase corrosion, and it will not harm seals or valves.

Will ethanol help clean my fuel line?

Yes. Ethanol actually keeps your fuel system cleaner than regular unleaded gasoline. In dirty fuel systems, ethanol loosens contaminants and residues and they can get caught in your fuel filter. In older cars, especially those manufactured before 1975, replacing the filter will solve the problem. And if you continue to use ethanol-blended gasoline, your filter will remain cleaner for improved engine performance.

Is it safe to use ethanol in my vehicle during the winter months?

Yes. In fact, ethanol prevents gas line freeze-up. It suspends moisture in your fuel system, so you don’t need to add expensive anti-freeze in cold weather.

Is ethanol safe for older vehicles?

Yes. Ethanol is compatible with any engine manufactured since the 1970s. Many older cars were designed to run on leaded gasoline, with the lead providing necessary octane for performance. However, even dramatic changes in gasoline formulation over the past few years have not affected older engine performance. Ethanol, a natural, renewable additive, raises octane levels by three points and works well in older engines.

How does ethanol boost the performance of my engine?

Ethanol adds two to three points of octane to ordinary unleaded gasoline.

Does ethanol make your engine run hotter?

No. There’s a reason many high-powered racing engines run on pure alcohol. It combusts at a lower temperature, keeping the engine cooler. Ethanol, a form of alcohol, in your fuel does the same for your engine. It also prevents engine valve burnout.

Does ethanol harm small engines, like those on lawn mowers, snowmobiles, personal watercraft and rec

No. Ethanol is compatible with all fuel system components that have been manufactured in the past 15 years. Small engine manufacturers have made certain that their engines perform with gasoline that contains oxygenates such as ethanol. In addition, ethanol is even more water-tolerant than ordinary gasoline. It does not affect the mixture of gasoline and two-stroke engine oil unless there is over 0.5 percent water in the fuel, compared to ordinary gasoline which can only hold 0.02 percent water. As a result, ethanol-blended fuel can be used safely in anything that runs on unleaded gasoline.

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