Minnesota iron ore processor to switch to Renewafuels

In Minnesota, Cleveland-Cliffs said that it would invest $104 million at its United Taconite plant, which processes iron ore, in plant upgrades that would permit a 50 percent conversion from natural gas, oil, coke and Eastern coal to Renewafuels, a maker of dense fuel cubes made from corn stalks, switchgrass, soybean hulls, wood byproducts and other renewable material. The company said that the switch to Renewafuel, another subsidiary of Cleveland-Cliffs, would reduce sulfur dioxide emissions by 90 percent, particulate matter emissions by 35 percent, and acid gases by 30 percent, compared to coal. Renewafuel cubes emit 40 times the energy required in their production and shipping.

Minnesota background

A study by the state’s Center for Transportation Studies has proposed a series of measures to ensure compliance with a new state law that wilol reduce carbon emissions 15 percent by 2015 and 80 percent by 2050.

The report outlines proposals for fuel economy, increased availability of public transportation and the deployment of low-emission fuels. It calls for fees imposed on low fuel economy vehicles and rebates for high-efficiency vehicles. The report also calls for more emphasis on cellulosic ethanol and electricity generated from biomass, instead of coal, to power hybrids. The report can be downloaded here.

In related news, the Star Tribune reported on a growing number of Minnesotans who are blending ethanol above 10 percent in non-flex fuel cars, to save money or support US energy independence. The US EPA reinforced that this is a violation of Clean Air Laws because of harm to the emission systems of older cars, and vehicle manufacturers warned against engine damage and corrossion.

In May, Governor Tim Pawlenty signed a biofuels bill increasing the state’s biodiesel mandate to 20 percent by 2015. Under the new law, B5 biodiesel will be mandated in May 2009, increasing to B10 in May 2012 and B20 in May 2015.

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