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Microcap & Penny Stocks : Standard Energy (STDE)
STDE 0.000001000-99.0%Jul 17 3:34 PM EDT

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To: Jim Johnson who wrote (2)2/17/1998 11:34:00 AM
From: Kathy Lane  Read Replies (1) of 15
 
Jim--This is a note I posted on AOL after someone there posted a copy of your note--- I'd be interested in your comments. Kathy

<< As I mentioned in the original note, the celmat or cellulosic material that would be used as feedstock for the ethanol plant is waste paper, yard clippings, wood waste, etc. The similarity is that all are from recently living sources--usually trees--commonly called "live biomass." During the initial stages of the process, the lignin-cellulose bond would be broken, and the resulting simple sugars would be substituted for the sugars obtained from corn used in present ethanol manufacturing methods. This process definitely produces ethanol not methanol.
Methanol is produced from "dead biomass" sources such as coal, which were living millions of years ago. Examples are natural gas, coalbed methane gas and waste gas from the refining of petroleum products. These sources help explain why oil companies have preferred to use MTBE (methanol based) instead of ETBE (ethanol based) as an oxygenate additive for gasoline--they can produce it as a by-product of the gasoline refining process.
In the note Jim posted on SI he mentioned making ethanol from potatoes. When Standard Energy had its test unit operating, it tested many different types of feedstock--from rice hulls to sawdust to eucalyptus trees to trash. While the eucalyptus actually proved the best, nothing could compare to municipal solid waste (MSW) in terms of providing a constantly renewable, readily available feedstock. By using MSW, the Company would receive a significant income stream from the disposal or "tip" fee, which is currently collected by the landfill operator. This is what makes the Company's process so economically attractive--it would essentially be paid for using MSW while traditional ethanol manufacturers must purchase their feedstock.
FYI, cellulose to ethanol conversion information is available from the Department of Energy in Washington. Also. the Department of Wood and Paper Science at North Carolina State University in Raleigh, NC has published information on the manufacture of ethanol from biomass.
As always, this information is based on my research. I am not a chemical engineer, and do not pretend to have a complete understanding of the chemical processes involved here. I have a large position in the stock. Everyone should do his/her own due diligence before making any investment decisions.>>>
Kathy
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