Progressing to Market. Track 4 Expediting Bioproduct Commercialization Via Public Private Partnerships

Transcription

1 Progressing to Market Track 4 Expediting Bioproduct Commercialization Via Public Private Partnerships

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4 * Global Used Oil Material Balance, 2011 Kline and Company billion gallons of lubricants sold worldwide

5 Triglyceride Fatty Acid Estolide Ester

6 Motor Oil

7 BUILD A BETTER MOUSETRAP AND THE WORLD WILL BEAT A PATH TO YOUR DOOR Ralph Waldo Emerson Right?

8 Commercial Success Technical Performance Health Safety Environment Competitive Pricing

9 Technical Performance

10 Technical Performance

11 Environmental Performance (HSE) United States Environmental Protection Agency Office of Wastewater Management EPA 800-R November 2011 Environmentally Acceptable Lubricants Biodegradable Non-toxic Non-bioaccumulative

12 80 Biodegradability of Biosynthetic SE7B Compared to PAO Biodegradation (%) PAO-7 cst SE7B-7 cst Time (days)

13 80 Biodegredation of Motor Oil Formulations Biodegredation (%) Biosynthetic Motor Oil (Fresh) Biosynthetic Motor Oil (Used) Group II Motor Oil (Fresh) Group II Motor Oil (Used) Time (days)

14 Aquatic Toxicity Classification Scale LC50 (mg/l or ppm) Motor Oil New Oil Used Oil Estolide Based Motor Oil >10,000 mg/l 9,375 mg/l Group II Based Motor Oil >10,000 mg/l 7,500 mg/l Classification US Fish and Wildlife US EPA Super Toxic > Extremely Toxic > <0.1 Highly Toxic > Moderately Toxic > > Slightly Toxic > > Practically Nontoxic > >100 Relatively Harmless >1000 -

15 Per the EPA, a material with a log Pow <3 or >7 is Not BIOACCUMULATIVE

16 PAO Estolides up to 79% lower

17 Engine Crankcase Oils: Minimum 25% Bio-content

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19 Competitive Pricing Purchase Price: Re-refined Group II Conventional Oil $2.50 Wholesale per quart Extended Performance Full Synthetic $5.59 Retail per quart

20 Re-refined Group II Conventional Oil 5,000 Mile Interval Oil Change $7.50 Extended Performance Full Synthetic 15,000 Mile Interval Guaranteed $5.59

21 25% Reduction over 15,000 miles

22 PRICE vs. VALUE

23 Significant Savings 2/3 less used oil to be regulated & disposed of 2/3 reduction in labor costs to change the oil Vehicles are out of service 1/3 of the time Improved engine protection and life Reduced environmental impact Improved fuel economy of 2-5%

24 WHY ISN T EVERYBODY USING IT?

25 Obstacles Outdate Regulations Outdated Procurement Standards & Specifications Entrenched Industries

26 Environmental benefits are seldom optimized by market forces. Remember the days before Unleaded Gas?

27 Oil and Lead Industry No need to remove the lead Removing lead would ruin engines Lead in gasoline causes no health effects Regulation would cause prices to skyrocket

28 Senate Bill 916

29 American Petroleum Institute (API) Lubricants Group Stifle Innovation Western States Petroleum Association No Meaningful Real World Environmental Benefits

30 Solutions Awareness is key As in the case of Lead in gasoline the facts are on our side

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32 Total oil spills worldwide since 1901 estimated 2.7 BILLION GALLONS

33 But that number excludes SILENT OIL SPILLS

34 What used to take 100 Years Now only takes 100 Days 2.7 BILLION GALLONS lost worldwide every 100 Days

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36 * State of California, Department of Health Services, Toxic Substances Control Program. The No Waste Anthology. Department of Health Services, Office of Public Government Liaison Education and Information Unit, 400 P Street, P.O. Box , Sacramento, CA % of Pollution in America s waterways is from used motor oil

37 The potential zinc, cadmium, copper and lead emissions from used oil-derived fuels from California are on the order of emissions from all of California s major stationary sources combined. Extending oil change intervals from 4,500 to 9,000 miles would halve the total emissions. Environmental Assessment of Used Oil Management Methods, Vol. 38 No. 2, 2004 / Environmental Science & Technology

38 Role of Public Policy

39 Continuing Progress. USDA s BioPreferred Program Continued funding and expansion EPA s Vessel General Permit (2013)

40 363 million gallons worldwide This is like the big Gulf Coast spill Twice a year

41 Partnering Better Performing Products Better Value than Competitors Obvious Environmental Advantages A Head Start on Regulatory Compliance

42 Gregory D. Blake Director of Public & Government Relations Biosynthetic Technologies 2 Park Plaza, Suite 200 Irvine, CA Office