Forestry Biofuel Statewide Collaboration Center (MI) April 8, 2011 Feedstock Platform Donna LaCourt, Ph.D, Michigan Economic Development Corporation David Shonnard, Ph.D., Michigan Technological University Raymond Miller, Ph.D., Michigan State University This presentation does not contain any proprietary, confidential, or otherwise restricted information

2 DOE EERE MYPP Biomass Program Strategic Goals (DOE 2010) Forestry Biofuel Statewide Collaboration Center (MI) The overall goal is to improve the forest feedstock supply infrastructure to sustainably provide woody biomass for biofuel production in Michigan over the long-term. Goal Statement

3 Quad Chart Overview February 1, 2010 January 30, % complete (as of 12/31/2010) Barriers addressed –Ft-A. Resource Availability and Cost –Ft-B. Sustainable Production –Ft-D. Sustainable Harvesting –Ft-J. Biomass Material Properties –Ft-M. Overall Integration Total project funding –$1,427,250 (DOE Funds) –$370,756 (Cost Share) All funding received in Fiscal Year 2010 Timeline Budget Barriers Michigan Economic Development Corporation (recipient) Michigan Technological University (sub- recipient) Michigan State University (sub-recipient) Steering Committee with lead PI from each partner coordinating tasks between respective organization (see appendix) Partners

Project Overview HISTORY/CONTEXT Michigan State University (MSU) and Michigan Technological University (MTU) have been engaged with the Michigan Economic Development Corporation (MEDC), a Michigan state agency, in promoting economic development in agricultural and forest-based bioeconomy areas. In November 2007, MSU and MTU developed an Agreement to Collaborate that established a forest-based Renewable Fuels Working Group with the overall goal to support development of the forest-based renewable fuels industry within the State of Michigan. In February of 2008, the Working Group organized a summit of more than 50 individuals (representing industry, local governments, state agencies, and other organizations) and identified priority research and outreach activities to advance the forest-based bioeconomy in Michigan (see report in “Other” attachments). 4

Project Overview OBJECTIVES Develop a Forest-Based Biomass Assessment for Michigan (Task A) – Define forest-based feedstock inventory, availability, and the potential of forest-based feedstock to support state and federal renewable energy goals while maintaining current uses. Improve Harvesting, Processing and Transportation Systems (Task B) – Identify and develop cost, energy, and carbon efficient harvesting, processing and transportation systems. Improve Forest Feedstock Productivity and Sustainability (Task C) – Identify and develop sustainable feedstock production systems through the establishment and monitoring of a statewide network of field trials in forests and energy plantations. Engage Stakeholders (Task D) – Increase understanding of forest biomass production systems for biofuels by a broad range of stakeholders. 5

6 1 - Approach Comprehensive forest feedstock supply chain approach at a statewide level. Builds on Michigan Center of Energy Excellence feedstock supply chain R&D for the Frontier Renewable Resources Cellulosic Ethanol Facility (Kinross, MI). Each task has sub-tasks with lead principal investigator, budget, and milestones/deliverables,/go-no-gos on a designated timeline. Lead PIs interact between sub-tasks, with the steering committee ensuring that key interactions between sub-tasks identified in the milestones are completed. Economic and technical metrics include: milestones/deliverables, established trials, completed models and issue guide, and an operational public website. Task B Harvesting, Processing and Transportation Systems Task A Biomass Assessment Task C Feedstock Productivity and Sustainability Task D Engage Stakeholders

7 2 - Technical Accomplishments/ Progress/Results (Task A) Technical accomplishments achieved (as of 12/31/2010) –Geospatial forest-based biomass Inventory model developed, Availability assessments complete Key milestones and status –Key steps in demonstrating the quantity and quality of forest- based biomass (M 5.5.5) Data and results and tie results to applications –See “Other” attachments

8 2 - Technical Accomplishments/ Progress/Results (Task B) Technical accomplishments achieved (as of 12/31/2010) –GIS layers for transportation infrastructure developed –Inventoried available transportation equipment –Developed a supply chain optimization model –Selected and Validated a Harvesting, Forwarding, Processing Model Key milestones and status –Demonstrate woody crop harvesting (M 5.2.2) and transportation (M 5.2.4) Data and results and tie results to applications –See “Other” attachments

9 2 - Technical Accomplishments/ Progress/Results (Task C) Technical accomplishments achieved (as of 12/31/2010) –Clonal trials established and measured, silver maple seed collected and sowed for progeny test, poplar yield curves developed, herbicide and spacing trials established, chemical properties of poplar and aspen publication Key milestones and status –Demonstrate quality and quantity of woody crops available(M 5.2.5) and Demonstrate sustainable woody crop agronomic practices (M 5.2.1) Data and results and tie results to applications –Plantation yield data are being included in the Sun Grant KDF

Technical Accomplishments/ Progress/Results (Task D) Technical accomplishments achieved (as of 12/31/2010) –Issue Guide developed –Public website developed and posted: Key milestones and status –Demonstrate quality and quantity of woody crops available (M.5.2.5) Data and results and tie results to applications –See “Other” attachments

Relevance DOE EERE MYPP Biomass Program Feedstocks Supply R&D Work Breakdown Structure (DOE 2010) With Forestry Biofuel Statewide Collaboration Center (MI) Sub-Task Overlay A1 A2 D3 C1 C2 C3 C4 C5 C7 B1 B2 B3 B5 C6 B2 B4 A2 A3 D1 D2 D3 B1 Future users solicited to for base research data and outreach material inputs setting the foundation to disseminate results and tools to users.

4 - Critical Success Factors Michigan’s biomass energy industry needs the FBIS Model (Task A1) of feedstock inventory and availability and the Supply Chain Model (Task B2) to forecast delivered cost, carbon and energy balance to facilitate investor decisions. All tasks support the development of these two tools. A technical barrier that must be overcome is to gain sufficient access to forest inventory assessment data from the USDA Forest Service. An administrative barrier we have overcome is the integration of 19 individual sub-tasks into a single unified project – producing valid models of Michigan’s biomass resource and its associated supply chain. Existing & Potential Feedstock (Tasks A1-4, B1, 2, &4)) Baseline For Environmental Sustainability (Tasks B5, C5, & C7) Baseline For Feedstock Productivity (Tasks A4, C1-4) Feedstock Characteristics & Composition (Task B3 & C6) Communicate Results (Tasks D1-3) 12

13 Future Work Explain what it is you plan to do through the end of the project with emphasis on the next 14 months (through September 30, 2012) –Complete all milestones/deliverables, including final reports and publications. Disseminate results and tools to users and stakeholders. Highlight upcoming key milestones –Integrated supply chain model and Forest Biomass Inventory System completion/documentation, publications, upload results to outreach website Address how you will deal with any decision points during that time and any remaining issues –The Steering Committee will continue to take a collaborative approach to decision making and coordination of resources necessary to complete the project.

14 Summary Relevance –Feedstock platform in multiple R&D activity areas –Addressing multiple feedstock platform barriers (Resource Availability and Cost, Sustainable Production, Sustainable Harvesting, Biomass Material Properties, Overall Integration) Approach –Comprehensive forest feedstock supply chain approach at a statewide level. Technical accomplishments: Success factors and challenges: –Forest Biomass Information System –Supply Chain Model –Integration between tasks and validation of outputs Technology transfer and future work –Complete all milestones/deliverables, including final reports and publications. Disseminate results and tools to users and stakeholders. –

15 Additional Slides

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17 Publications and Presentations 1.Nikiema, P., Rothstein, D. and Miller, R. Greenhouse gas emissions and N leaching associated with conversion of grassland to short-rotation woody biomass crops in northern Michigan, U.S.A., In preparation for submission to Biomass and Bioenergy. 2.Mueller, L., S. GC and K. Potter-Witter. Regional variation of Michigan’s non-industrial private forest owners. In review with the Northern Journal of Applied Forestry. 3.GC, S. and K. Potter-Witter. Status of Michigan’s forest products industry and their perception towards bioenergy. In review with the Forest Products Journal. 4.GC, S. and K. Potter-Witter “Michigan’s forest products sector: are they ready for promoting bioenergy?” Poster abstract in Proceedings of the Society of American Foresters National Convention, Albuquerque, NM October 27-30, Bethesda, MD: Society of American Foresters, CD-ROM. Also at: 5.Lee S. Mueller, Karen Potter-Witter and S. GC “Regional variation of non-Industrial private forest owners in Michigan” Poster abstract in Proceedings of the Society of American Foresters National Convention, Albuquerque, NM October 27-30, Bethesda, MD: Society of American Foresters, CD-ROM. Also at: 6.Mueller, L., S.GC and K. Potter-Witter Michigan woody biomass supply snapshot. Forestry Biofuel Statewide Collaboration Center Leefers, L., K. Potter-Witter, D. MacFarlane, and Z. Wang Michigan's wood energy biomass availability and supply. Proceedings of the Society of the American Foresters National Convention, Orlando, FL, September 29-October 2, Bethesda, MD: Society of American Foresters, CD-ROM. 8.Nikiema, P., Rothstein, D. and Miller, R. Greenhouse gas emissions and N leaching associated with conversion of grassland to short-rotation woody biomass crops in northern Michigan, U.S.A., In preparation for submission to Biomass and Bioenergy. 9.Jim, X., and Kamdem, D.P. (2009). Chemical Com[position, Crystallinity, and Crystallite Cellulose size in Poplar Hybrids and Aspen. Cellulose and Chem. Technol., 43(7-8), (2009). 10.Miller, R.O., D.W. MacFarlane, D.E. Rothstein, and Z. Wang Energy Crop Plantation System Development for Salix and Populus in Michigan, USA. IN PROCEEDINGS: 5 th International Poplar Symposium, Orvieto, Italy, September 20-25, Miller, R.O. and B.A. Bender Four Years of Herbicide Trials for Shrub Willow Biomass Production Systems in the Upper Peninsula of Michigan. IN PROCEEDINGS: 8 th Short Rotation Woody Crops Operations Working Group Conference. Syracuse, New York, October 17-19, Wright, W. and W. Eaton Michigan’s Energy Future: Is there a role for woody biomass? Issue Guide available on-line at Robert Handler, Justin Hicks, Pasi Lautala Spatially-based model to determine price-optimal log transportation by trucks and rail in the upper Midwest - development and initial outcomes Transportation Research Board Annual Meeting, Washington DC January 2011.