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Economy turning green — low-carbon fuel markets expanding in energy industry

Low-carbon fuel markets expanding in energy industry

Photo by Fritz Busch During a Tuesday media tour at the Highwater Ethanol plant, CEO Brian Kletscher stands in front of a display of the plant while unveiling the Summit Carbon Solutions project to build a carbon pipeline and storage operation.

LAMBERTON — Summit Carbon Solutions, the Iowa-based company partnering with 32 facilities in the upper Midwest in a $4.5 billion carbon capture and storage project, says low-carbon fuel markets are expanding.

The firm said California, the largest ethanol consuming state, and Canada, the largest U.S. ethanol export partner, have both adopted low-carbon fuel standards that pay more for lower-carbon fuels.

In addition, SCS ethanol plant partners will sell products at a premium in low-carbon fuel standard markets, which will bring money back to local communities and shareholders.

Summit Carbon reports its carbon dioxide pipeline is planned to be built beginning in August 2023, will be overbuilt beyond federal specifications, at a minimum four-foot depth. A three-foot depth is required.

Other federal requirements are a 50-foot setback from all dwellings. Summit says the pipeline’s design far exceeds 50 feet.

Photo by Fritz Busch Highwater Ethanol CEO Brian Kletscher stands in front of a complex of grain elevators at the Lamberton plant Tuesday as he led a media tour of the plant. The facility is one of the partners in a $4.5 billion project with Summit Carbon Solutions to build a carbon pipeline and storage operation.

Any new pipe must be at least 12 feet away from other underground pipe or structures. Summit Carbon Solutions’ best practice is 24 feet.

A computer-based leak detection system will continuously monitor pipeline operation from a manned control center. Data will be continuously collected from pressure sensors, flow meters, and temperature sensors that identify abnormal operating conditions.

In case of a leak, the system will locate the leak, isolate the pipeline segment and reduce its risk.

Ellingson, the primary drain tile vendor, and SCS will be responsible for any and all drain tile repairs resulting from construction through entire project life. Each landowner is welcome to choose their own drain tile vendor.

According to SCS, easements do not transfer ownership of a landowner’s property. After SCS has fairly compensated a landowner, the landowner continues to own the land and grant the company temporary access to construct, operate and maintain the project as defined by terms and condition in a mutual agreement upon easement.

Land could continue to be used for the same purpose as before, such as growing corn, soybeans, or anything else. Restrictions include not building a permanent structure on the right-of-way or planting new trees.

(Fritz Busch can be emailed at fbusch@nujournal.com.)

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