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Originally Posted by Lazarus
Allan interesting if we can stay focused and keep the discussion on industrial hemps as an alternative fuel. What is the cost to produce a gallon of hemp oil?
Are these figures correct to produce just the oil?
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Grown for oilseed, Canadian grower's yields average 1 tonne/hectare, or about 400 lbs. per acre. Cannabis seed contains about 28% oil (112 lbs.), or about 15 gallons per acre. Production costs using these figures would be about $35 per gallon. Some varieties are reported[iv] to yield as much as 38% oil, and a record 2,000 lbs. per acre was recorded in 1999. At this rate, 760 lbs.of oil per acre would result in about 100 gallons of oil, with production costs totaling about $5.20 gallon. This oil could be used as-is in modified diesel engines, or be converted to biodiesel using a relatively simple, automated process. Several systems are under development worldwide designed to produce biodiesel on a small scale, such as on farms using "homegrown" oil crops.
Are these figures correct to produce just the oil? |
Production costs totalling $5.20/gal (And this is an old study)
Well thats about the speed of it I guess. Diesel would probably need to be near $8 for this to be profitable as that $5.20 would be around $7.00 now (note: number pulled out of my ass) given that fuel is a significant input cost in farming. Plus there would be transportation costs to market and nobody is going to touch the stuff unless there is some profit in it as well.