Responsible + Renewable + Resources = R3
This is the basis of both our business plan and business philosophy. The ability to effectively and responsibly convert the natural waste of dairy herds into renewable resources in the form of organic products of methane ("green") biogas; liquid fertilizer (with a stronger soil replenishment factor); and treated water used in the dairy process for re-use in irrigation applications. Each of these products has a demand and a revenue stream that is identifiable and projectable. The revenue generated from these sources is sufficiently unique and diverse to reflect an effective business model for the applications related to the biogas digester plant, which is the heart of the natural waste conversion to organic and commercially viable products.
With the associated waste water treatment plant, the water re-use extends an existing water application to an even greater water re-application. This integrated plant process is the essence of environmental responsibility with sustainable revenue streams that yield a viable business operation. In today's environmentally focused market, this is both an opportunity and a positive consequence.
The technology at the base of R3 Energy's digester plant is a proven technology. With partners such as Reynolds, Inc. and Entec Biogas USA, the translation of the experience and knowledge applied in Europe can now be pursued in the United States. The Southern Dona Ana County, New Mexico, corridor of over a dozen dairy farms is not only unique in its placement, but ideal in its alignment for a full scale commercial application of a digester plant operation, which will provide high volume products for commercial - industrial applications and uses.
The availability of methane gas to regional utilities such as Public Service Company of New Mexico (PNM), presents a diversified form of natural gas of a "green" nature that will assist PNM in its portfolio of renewable energy resources in line with both the utility's resource goals and assuring compliance with the directives from the Public Regulatory Commission (PRC) of the State of New Mexico.
The ongoing demands of the dairy and cattle industry in the Southwest United States, but particularly in New Mexico, provide market corridors for the application of liquid fertilizer and treated waste water that only enhances and affirms the continued viability of the dairy industry in the State of New Mexico. R3 Energy's digester plant represents a needed solution to an environmental challenge being faced by the New Mexico dairy industry, and one that can actually improve the operations of the dairy industry and the quality of life of the communities that support the dairy industry. The Dona Ana County, New Mexico, biogas project will, through the construction of the biogas digester plant, assure the removal of 1.5 million tons of cow manure produced on an annual basis.
The project will be constructed in 4 distinct modules (referred to as "quads"). The first quad is expected to be built by the 3rd Quarter of 2010, with construction anticipated to begin by the end of the 2nd Quarter of 2009. Total jobs created by the Dona Ana Project are projected at 15-22 individuals per quad. (excluding construction employment).
The principals of R3 Energy, Inc. are from the region and understand the significance of the dairy corridor to the economy of New Mexico. They bring a varied experience from each of their backgrounds that will be applied in the initiation and completion of the project and, thereafter, its management and strategic evolution.
The firms of Reynolds, Inc. and Entec Biogas USA are national and international in their scope with deep knowledge of the bases and models of digester and water treatment plants.
The concepts associated with the digester plant are direct and scientifically based; an organic process for breaking down solid waste from the cow and converting that waste to useful applications in the forms of methane gas and liquid fertilizer. In the process, the carbon emissions and the need to remove the manure produced by the cows is resolved in a manner that avoids threatening the sustainability of the dairy herd and their milk production. These efforts align with existing public policy that seeks to attain applications of this type to resolve the environmental impact of dairy operations.
Carbon credits that will be generated through this process will eventually present another form of revenue as the cap and trade system of carbon credits is established. This is a source of added revenue outside of our basic product development.
The end line result is a reduction of environmental problems for dairies and an enhancement of their business income. Additionally, the creation of a commercial biogas plant will not only produce revenues to sustain the plant, but will add a new source of jobs to the local employment base. This is both an attractive dimension to investors and a significant step in furthering public policy goals.
The time has come for a commercial application of the digester biogas process. Dona Ana County, New Mexico, is an ideal location for this application. Public awareness and policy in this realm which generally supports concepts such as R3 Energy's proposed biogas digester plant, is an added dimension to the viability of this business model.
For more information please call Keith Hughes at +1-915-269-7717.