Cellulosic Ethanol output could EXPLODE...
...and Raven Biofuels (RVBF) plans on being a major part of this potential run.
You see, automobiles aren't exactly going away anytime soon. And neither are the engines they run on. And that's why we need an alternative.
Advanced biofuels are those that do not rely on the corn kernel starch. Cellulosic Ethanol - a key next-generation biofuel - can be made from switch grass, corn stover, forest waste, fast-growing trees, wood chips and other plant material.
And production could "explode" by 2012 if a commercialized facility to produce the second generation of biofuels is successful, U.S. Agriculture Secretary Ed Schafer said earlier this year.
"If this first-commercialized production capacity works then I think it will explode the opportunities in second-generation biofuels," Mr. Schafer mentioned.
TVA Pilot Plant where base technology underwent
extensive testing
During the first quarter of 2009, estimates say large-scale production of second-generation biofuels were five or six years away. Corn is the feedstock for almost all U.S. ethanol now.
Now, considering the fact that Raven Biofuels (OTCPK: RVBF) has an extensively tested pilot plant operating since 1997 with advanced engineering in process at the Tennessee Valley Authority (TVA)...there's a real possibility that RVBF could be at the forefront of this emerging segment of the alternative energy sector.
Let's face it. Companies that are first-to-market often capture the lion's share of the business they operate within. And if RVBF is everything my research suggests it is, then shareholders could be in for a nice ride.
Something else to consider is that these companies could get significant help from the U.S. government. The 2008 farm law allows USDA to issue loan guarantees of up to $250 million per project to develop, build or retro-fit a commercial-size plant for production of biomass fuels.
Advanced biofuels are those that do not rely on the corn kernel starch. Cellulosic ethanol, a key next-generation biofuel, can be made from switch grass, corn stover, forest waste, fast-growing trees, wood chips and other plant material.
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Top 8 Reasons Investors Are Accumulating RVBF
1. Timing
Ideal timing for 2nd generation cellulosic biofuels. With ethanol firmly established in the global energy equation and backlash against corn or commodity based production, biofuels 2.0 (cellulosic) is in high demand.
2. Energy Security
Cellulosic ethanol could play a large role in lessening America’s dependence on foreign oil. America’s mandate is to replace 36 Billion Gallons per year with with ethanol by 2022. Approximately 20 billion gallons will be made from made from waste or biomass.
3. Multi-Billion Dollar Market
America consumes 150 billion gallons of gasoline per year that over time could be replaced with 30 billion+ gallons of ethanol. Ethanol sells for $2.26 (Dec 15/09) today = $60 billion+ emerging market for Raven.
4. Proprietary Commercial Stage Technology
Extensively tested at the Tennessee Valley Authority (TVA) pilot plant since 1997. Advanced Engineering in progress.
6. Profit
Raven is projecting a cost of producing ethanol at under $1.00 per gallon. There are currently $1.01 per gallon of credits available that could further benefit Raven = high profit potential.
7. Food vs. Fuel
Raven does not use corn or any feedstock that competes with the production of food. Raven uses wood waste and agricultural waste.
8. Global Warming & Environment
Experts say that cellulosic biofuels can cut CO2 emissions by over 80% and have a Fossil Energy Ratio (FER) up to 1000% better than gasoline and 700% better than corn.
