News and Events

On Thursday, January 26, 2012, Jeff Borling represented the region at the 2012 Minnesota Green Chemistry Conference, delivering a presentation highlighting the many opportunities available in northeast Minnesota and northwest Wisconsin for chemical and fuel companies utilizing renewable wood resources to produce value-added goods. Borling noted the closure of the three Ainsworth wallboard factories in northern Minnesota as a clear opportunity for these growing companies, both in the advantage of leveraging existing assets at the plant sites themselves, and in the advantage of recapturing the un- or under-utilized timber resources no longer being harvested for these production facilities. 

 

An overview of the progress made by APEX and the Itasca Economic Development Corporation (IEDC) in redeveloping one of these plants as the Itasca Eco Industrial Park was also provided, with high-level information regarding the integrated development concept IEDC and APEX are leveraging to promote the growth of synergistic wood products companies at this location. As talks progress with a potential anchor tenant at the site, this site could offer significant competitive advantages to co-located companies seeking to produce green chemicals and other value-added goods from wood, or from the byproducts generated by the anchor tenant. 

 

Aditional speakers at the conference included representatives from Dow Chemical Company, SC Johnson, Ecolab, Segetis, Reluceo, the Minnesota Dept. of Employment & Economic Development (DEED), and the BioBusiness Alliance of Minnesota, among others.  These and many other well known companies are in the process of developing and/or bringing to market exciting new products that could very well be made from wood feedstocks in the near future. 

 

These products include plastics, reinforced composites, pigments and inks, paint additives, adhesives - even compostable baby diapers - all of which would be a welcome addition in helping to diversify the forest products industries of Minnesota and Wisconsin and all of which would be welcome additions as manufacturing processes housed at the Itasca Eco Industrial Park.

 

To learn more about Minnesota's Green Chemistry activities or the opportunities available for your business at the Itasca Eco Industrial Park, please contact Jeff Borling: 218-326-9411 x.23

 

Over the past several weeks, Per Carlsson, owner of ABioNova, a Swedish biomass boiler manufacturer, has been on site at the Wolf Ridge Environmental Learning Station in Finland, Minnesota, overseeing the installation of his BioMax Commercial Boiler system, which were introduced into the U.S. market in early 2010. APEX has worked together with the BioBusiness Alliance of Minnesota to assist ABioNova in all aspects of its U.S. expansion strategy, from identifying potential customers and market opportunities to establishing contract agreements with local companies capable of providing manufacturing support, sales and distribution strategies, installation and service agreements, and more. 

 

In partnership with Italian designer D’Alessandro Thermomeccanica Company of Miglianico, Italy, ABioNova has developed a biomass boiler system that ranges in size from 440,000 to 6,800,000 btu/hour output capacity.  These unique systems use the latest in computer-controlled technology to maintain the highest possible efficiency, no matter what type of biomass fuel is burned - woodchips, wood pellets, etc. To bring these systems to the U.S. market, ABioNova brought on WoodMaster out of Red Lake Falls, MN as its sales and distribution partner and set up a contract with Superior Steel in the Twin Ports to provide manufacturing support.

 

Although the team has already installed several boilers in the northeastern U.S., the installation in Finland, Minnesota represents the first project in the APEX service territory. This installation involved two boilers, which allows for greater handling of peak and off-peak loads. The smaller boiler offers a capacity of 1.2 million BTU/hr and the larger about 2.2 million BTU/hr. Although these systems can burn wood chips, this installation is set up to burn wood pellets, with a 20-ton pellet silo on site. 

 

In the coldest part of the year, 20 ons of wood pellets would provide about 10 or so days of heating for this customer. The pellets are being supplied by Great Lakes Renewable Energy of Hayward, Wisconsin and estimates suggest that these pellets will offer a 50% cost savings over propane per million BTU. ABE Systems of Duluth was the prime contractor on the install and may provide similar support for additional installations being considered in this region.

 

This project tells a great story about the ability of biomass and wood pellet fuels to allow regional economies to capture as much energy spending within their local communities as possible. Instead of paying twice as much for propane and seeing almost all of those dollars flow immediately out of the region, Wolf Ridge will spend less for fuel harvested and produced in northern Wisconsin, they will feed that fuel into boilers manufactured in Superior, and the boilers were installed and will be serviced by Minnesota companies. All of this leads to new economic activity and jobs in our region.

 

On December 16, 2012, Joe Broking, President & CEO of Itasca Economic Development Corporation (IEDC), met with Rob West, President & CEO of APEX to discuss the results of the two organizations’ collaborative efforts over the past two years and to renew the contract which defines the agreement. Under the terms of this arrangement, APEX provides a fulltime staff person to serve as a member of the IEDC team in Grand Rapids, with an objective of driving new economic activity and job growth in and around Itasca County.

The contract with APEX, initiated in February, 2010, came on the heels of the IEDC’s decision to purchase the former Ainsworth oriented strand board manufacturing facility in Grand Rapids and has provided a necessary level of support as IEDC completed a period of management transition and worked to redevelop the former board plant for future use. As such, much of the team’s work over the past two years has been focused on redeveloping the site as the Itasca Eco Industrial Park (IEIP), a premiere location for world-class manufacturing operations in the heart of North America.

In marketing this property to new and expanding businesses, the APEX/IEDC team sought to attract companies which would leverage the region’s extensive timber resources, so as to regain not just the production jobs lost through the closure of the Ainsworth operation, but also the logging and supplier jobs associated with the timber demand of the former OSB mill.

Given the sustained downturn in the nation’s housing market and flat growth reported in the region’s paper/pulp mills, the team quickly set its sights on the advanced biofuels, biochemical and biopharmaceutical industries, as among the few areas of notable growth in the nation’s forest products sector. An extensive marketing plan was developed to penetrate these industries and today, the team is pleased to report that a memo of understanding has been executed with one of the world’s leading advanced biofuels producers. Formal agreements are expected to be secured sometime in 2012.

Today, as the APEX/IEDC team looks to renew its contract for the next two years, the 2012-2013 marketing plan has been expanded to focus on a number of other opportunities in and around Itasca County, beyond the work which continues to progress at the IEIP. The APEX/IEDC team will continue its efforts to close the deal with the potential anchor tenant and to market the remaining land parcels to other synergistic businesses, but 2012 will also see the rise of new initiatives aimed at supporting the large mining-related projects in Itasca County and expanding the IT/Computer Sciences sector in the Grand Rapids area.

If you would like to learn more about APEX’s work in Itasca County and across Minnesota’s Iron Range communities, please contact Jeff Borling at: (218) 326-9411, ext. 23

On Thursday, September 29th, 2011, Elissa Hansen, APEX Director of Business Development attended and exhibited at the Arrowhead Manufacturers & Fabricators Association (AMFA) Energy Conservation for Industry & Tabletop Trade Show. This one-day conference was held at the Holiday Inn in Duluth and provided tips and advice on how to conserve energy in lighting, motors/drive, compressed air, boilers and more. Industry-leading experts advised the group on strategies for getting an energy conservation project approved and how to realize a meaningful return on investment in conserving energy costs. The Tabletop Trade Show, which typically was held in Alexandria, MN was well attended and displayed an array of products and services available through AMFA members across northeast Minnesota and northwest Wisconsin. To learn more about how an AMFA membership could benefit your business, please contact Executive Director Sandy Kashmark at (877) 330-2632

 

On Tuesday, September 20, 2011, APEX President & CEO, Rob West, and Director of Itasca Business Development, Jeff Borling, participated in the 2011 Minnesota Bioscience Summit, presented by LifeScience Alley and the BioBusiness Alliance of Minnesota.  This year's event, entitled, "Three Technology Mega-Trends That Are Changing Our World," showcased major advances in Minnesota's biopharmaceutical, medical device, animal health, renewable energy and renewable materials industries. Experts in Minnesota's bioscience community described how their worlds are being shaped by: 

        • The Genomics, Proteomics and Synthetic Biology Revolution 
        • Disruptive Platform Technologies in Materials Science 
        • Bioinformatics as the Ultimate Enabling Technology

 

With a welcome address from Governor Mark Dayton and a keynote address delivered by Dale Wahlstrom, CEO of LifeScience Alley and BioBusiness Alliance of Minnesota, this year's summit attracted more than 300 members from Minnesota's bio-based scientific, engineering, and technology industries, as well as policymakers, academic leaders, economic developers, media, and investors. 

 

APEX was on hand to represent the northeast region of Minnesota and to identify key insights and opportunities to be factored into regional business expansion and attraction efforts. With several renewable energy and materials projects in various stages of development throughout the region, not to mention a small group of quietly-emerging medical device companies, Minnesota's fast-changing biosciences industries continue to grow in importance to the Northland economy. 

 

For additonal information about the 2011 Minnesota Bioscience Summit, or to learn more about APEX's activities in this arena, please contact Jeff Borling at: (218) 326-9411

 

From July 25-27, 2011, Jeff Borling, APEX Director of Itasca Business Development, represented the region at the 9th annual Biomass '11: Renewable Power, Fuels and Chemicals Conference in Grand Forks, North Dakota. This year's event attracted 262 registrants from 28 states and four Canadian provinces, representing 156 organizations, with the majority of attendees from private industry. 

 

Designed to maximize interaction on all topics concerning biomass, the Biomass '11 Conference featured a keynote address from North Dakota Governor Jack Dalrymple and presentations from several notable experts in biomass-related industries. Among these speakers were two representatives from APEX member organizations: Mike Polzin, Minnesota Power and Bruce Browers, Barr Engineering. 

 

Although the conference was heavily focused on agricultural feedstock applications, there were a number of speakers and companies in attendance with interests in wood-based technologies, including both established and emerging technologies. As has been the case in similar events this year, it was clear that liquid fuels and chemical production processes are gaining the greatest momentum in the woody biomass sphere, and states like North Dakota are vying with Minnesota and Wisconsin for an audience with these companies. 

 

APEX has developed a strong contact list from the conference and follow-up activities are currently underway.  If you would like to learn more about this event or APEX's strategy for developing an advanced biofuels industry cluster in northeast Minnesota, please contact Jeff Borling at: 218-326-9411

 

 

During the week of May 22, 2011, Elissa Hansen, APEX Director of Business Development, represented the region at the American Wind Energy Association's 2011 WINDPOWER Conference & Exhibition. This event, designed to provide a venue for the wind industry to network, do business and solve problems, has been recognized as one of the fastest-growing trade shows in the U.S. with 1,400 exhibiting companies and thousands of qualified wind energy professionals in attendance.

This event provided ample opportunity for APEX to connect with new and existing business attraction prospects, in an ongoing effort to market the region to manufacturers of large-scale wind energy equipment. In addition to several new contacts established at the conference, Hansen met privately with representatives from several companies APEX has communicated with in the past, including Fuhrländer, the German manufacturer that has considered production facilities in Minnesota and Montana.

Regardless of who was involved, many of the conversations at the 2011 WINDPOWER event revolved around the same topic: Stalled growth and an uncertain future for the U.S. wind energy industry. Hansen's conference report showed clear evidence that until certain challenges are addressed, a lack of growth in North American wind farm development will continue to push the establishment of new production facilities overseas.

Challenges for Wind Energy Industry Growth, Regionally and Nationwide
• Inconsistent or nonexistent Federal energy policies
• Declining natural gas prices
• Limited transmission infrastructure  
• Decrease in purchase power agreements (PPAs)
• Potential for legislation to repeal state-level renewable energy portfolio standards
• Expiration of attractive financing or incentive opportunities (i.e. production tax credits
  and the MN 1603 Grant Program)
• Excess capacity within most major nacelle or blade manufacturing plants

What would move projects forward and increase demand?
• Increased economic activity, resulting in increased demand for power and an
  increase in PPAs
• Congressional action at the Federal level, on par with similar actions worldwide
• State-level legislation to increase RPS or otherwise encourage wind energy adoption
• Attractive and stable financing programs, such as: 
    - Feed In Tariffs (FITS are responsible for 45% of worldwide wind deployments
      through 2009; currently unavailable in Minnesota) 
    - Production Tax and Renewable Energy Credit Programs 
    - MN 1603 Grant Program extension

For more information on APEX's Wind Energy Manufacturing strategy or the 2011 AWEA WINDPOWER event, please contact Elissa Hansen at: (218) 740-3667

On April 27, 2011, APEX Director of Business Development, Elissa Hansen, traveled to Moorhead, Minnesota to represent the region at the first annual Renewable Materials Summit: Emerging Markets in the Upper Midwest. The summit was organized by the BioBusiness Alliance of Minnesota, in an ongoing effort to highlight and explore the developing and established markets for renewable materials, with a particular focus on plastics, adhesives, chemicals and other widely-used products currently derrived from fossil fuels.

In leveraging Minnesota's vast, underutilized resource of woody biomass and agricultural waste materials, speakers at the summit outlined clear opportunities for renewable materials to stimulate new economic growth across the Midwest, from the agriculture and forestry communities to our existing manufacturing and retail base. 

We know it's possible: Researchers have been using lignin and other natural materials found in woody biomass and ag-waste to make plastics and other products for decades. But is it profitable? Not yet, but we're getting close. R&D groups in the public and private sector the world over are driving new growth in these industries on a daily basis and the emerging demand for advanced biofuels provides complimentary technology that will ensure for continued development in years to come. As demand grows, the cost of production continues to shrink.

Even the U.S. Department of Energy is getting on board, with its recent announcement of the Biomass 2011 conference, entitled, "Replace the Whole Barrel, Supply the Whole Market: The New Horizons of Bioenergy." Scheduled to take place in Maryland July 26–27, 2011, the conference will focus on topics surrounding the use of biomass as a replacement for petroleum in all markets - energy, products, and power.

As new breakthroughs make it possible to produce stronger, cheaper and more bio-degradable materials using woody biomass, the region of northeast Minnesota and northwest Wisconsin is ready to tap into countless new business opportunities in its traditional timber industries. APEX and its partners will continue to track these industries into the commercialization phase and will work to position the region effectively, as we strive to manage these opportunity for growth in the most efficient, sustainable manner possible.

For more information about the Renewable Materials Summit, please contact Elissa Hansen at (218) 740-3667

For more information about current developments in the renewable materials and advanced biofuels sectors, please contact Jeff Borling at (218) 326-9411

The Advanced Biofuels Leadership Conference,held in Washington, D.C. from April 19-21, 2011, drew record attendance and attracted the top executives in the industry, along with strong representation from the U.S. Department of Energy, the Department of Agriculture, the Department of Defense, and other critical stakeholders and end-users. With numerous C-level executive speakers and additional panels stacked with leading experts in their fields, topics of discussion ranged from "Government Programs and the Military Market for Advanced Biofuels," to "Constructing Pathways to Commercialization."

These discussions demonstrated clear growth - both current and projected - in the production capacities and anticipated market demand for advanced biofuels, including cellulosic ethanol, biodiesel, jet fuels, drop-in gasoline replacements, and more. Of particular note were the significant advancements made in the U.S. Military's use of advanced biofuels. Similar to the advancement of coal, then oil, and later nuclear energy, the U.S. Navy, Air Force and Army have all set ambitious targets for their adoption of renewable, domestically-produced biofuels. Representatives from the Navy outlined plans to launch "the Great Green Fleet," a fighting force of ships, submarines and planes powered entirely by biofuels, with plans calling for testing to begin in 2012 and for the fleet to be operational by 2016. 

Jeff Borling, APEX Director of Itasca Business Development, represented the region at the conference, along with Roger Hoyum, Principal of JDI Contracts, the firm providing technical support and project management for Itasca Economic Development Corporation, as the team works with APEX to develop the Itasca Eco Industrial Park in Grand Rapids. Together, Borling and Hoyum met with several strategic contacts during structured networking sessions, formal dinner engagements and informal interactions.

Of particular interest were several companies seeking to produce advanced biofuels and other value-added products from woody biomass feedstocks compatible to those found in northern Minnesota and Wisconsin. Although most woody biomass-based technologies are still in the demonstration phase, other companies, such as Mascoma Corporation out of Rome, NY have secured equity partners and Department of Energy loans, and will be breaking ground this summer on their first commercial-scale cellulosic ethanol production facilities. 

 

Although companies like Mascoma are reportedly pursuing a strategy of "Fuels First," others are developing new technologies that will unlock an array of value-added products outside of biofuels, made from lignin and other feedstocks derived from wood. Spurred on by the Department of Energy's push to "replace the whole barrel," new innovations are seeking to replace oil as the source of many products we use daily, such as chemicals, adhesives, plastics, carbon fiber, pharmaceuticals - even cosmetics.

Given the downturn in the region's logging industry over the past decade, APEX and IEDC will continue to monitor the development of these industries and will work diligently to position northeast Minnesota and northwest Wisconsin as the most competitive location for the timber industries of tomorrow. For more information on this or other initiatives APEX is engaged with, please contact Jeff Borling at (218) 326-9411 or jborling@apexgetsbusiness.com.

Steering committee members pictured left to right: Brian Brashaw, UMD-NRRI; Alan Doering, AURI; Mike Curci, Indeck Energy; Gregg Mast, BioBusiness Alliance of Minnesota; Chris Wiberg, Twin Ports Testing; and T.J. Morice, Marth Wood Fiber

On February 9th, 2011, an initial summit meeting for a Midwest initiative called “Heating the Midwest with Renewable Biomass” was conducted at the Fond Du Lac Band of Chippewa’s Black Bear Casino & Hotel in Carlton, MN. There were 53 individuals in attendance representing 43 organizations with influence in the biomass thermal heating sectors of Michigan, Minnesota and Wisconsin. The intent of the summit was to present an idea to the Midwestern states similar in concept to an initiative introduced one year ago in Manchester, NH called “Heating the Northeast with Renewable Biomass.”

At the Northeast event, program coordinators released “A Bold Vision for 2025” in which seven Northeast states had banded together to proclaim their intention to provide 25% of all thermal energy from renewable sources by 2025, most of which would come through sustainably harvested biomass. The supporting documentation of the vision outlined how 19 million green tons of sustainable biomass would be made available annually from forest and farm sources, the intent to convert 1.38 million households in the Northeast to biomass for thermal needs, as well as significant regional benefits including the reduction of 1.14 billion gallons of heating oil annually, reinvesting $4.5 billion dollars in resulting economic wealth into local economies, and the creation of 140,200 jobs.

Similar to the New England states, the Midwest states of Minnesota, Wisconsin and Michigan have significant heating needs that are often satisfied by burning costly fossil fuels that carry little economic benefit in the way of job creation for the consuming states. Drawing upon the "Heating the Northeast" model, the "Heating the Midwest" group intends to raise awareness around these issues and the related opportunities, urging policy makers and the general public to make a concerted effort to use more woody biomass and agricultural residues as fuel for thermal energy production. Several APEX members are helping to lead this effort, including Brian Brashaw from the UMD Natural Resources Research Institute and Chris Wiberg from Twin Ports Testing.

Over the past several years, APEX has conducted extensive research into the benefits of utilizing wood fuels as a source of renewable energy, as part of our over-arching strategy to expand the economic impact of Minnesota's timber industry. Although thermal energy derived from wood pellets or chips is currently the most commercially viable application of woody biomass feedstocks, a lack of awareness and support has limited the growth of the bio-thermal industry throughout most of the region.  With plans for a full conference in January of 2012, the group organizing "Heating the Midwest with Renewable Biomass" hopes to reverse that trend.