Three Nebraska fuel producers will receive a combined total
of more than $1.4 million to support the production of advanced
Chief Ethanol Fuels in Hastings and Cornhusker Energy in Lexington each received funding for their work on sorghum-based fuel, while Omaha-based Ag Processing has been working on creating a biofuel from soybean, canola
and waste vegetable oil feedstock.
The payments from the USDA's Bioenergy Program for Advanced Biofuels are used to help offset the costs associated with producing the
advanced biofuels. The program was established in the 2008 Farm Bill.
Under the program, payments are made to eligible
producers based on the amount of advanced biofuels produced from renewable
biomass, other than corn kernel starch (ethanol). Examples of eligible feedstocks
include: crop residue; animal, food and yard waste
material; vegetable oil; and animal fat. Biofuel can be from a variety of
non-food sources, including waste products.