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Circular biofuel solution aims to fuel cost savings for farmers

A Queensland startup is developing a technology that enables oilseed growers to turn their own crops into fuel.

It’s an innovative concept that would see oilseed collected from growers and then extracted, cleaned and processed into biodiesel, and later returned to the grower for use in their agricultural equipment. The protein-rich byproduct, oilseed meal, could then be on-sold as a food source for livestock producers on a grower’s behalf.

The project is currently being fast-tracked through the 2024 GRDC GroundUp program, which aims to accelerate solutions for Australia’s grains sector.

Seed 2 Diesel Founder and Director Johnny Wapstra, a control systems engineer and robotics expert, said the project would produce biofuel as a service to farmers and offer production consistency.

“As part of a regular crop rotation, a farmer may grow an oilseed like canola, sunflower, safflower, soybeans, peanuts, flax, mustard, hemp or cotton,” he said.

“The business model for a grower today is to sell the harvest, pay tax on the profit, and buy fuel for the next year’s operations. Seed 2 Diesel aims to make farmers self-sufficient for fuel by processing the oilseeds they already grow, which will result in substantial cost savings.”

Seed 2 Diesel plans to establish processing co-operatives to service oilseed growers within a 150-kilometre radius. These would collect the oilseed, extract and clean the oil, process it into biodiesel that meets legislated standards, and return it to the grower for use in agricultural equipment. And the protein rich oilseed meal would be either on-sold to livestock producers on the growers’ behalf, creating a new revenue stream, or returned to the grower to feed their own livestock.

“The solution our project presents for growers is the establishment of a floor price on oilseed crop harvests that usually hit the market during periods of glut. We hope to increase the dollar per hectare generated by the grower and get them to be fuel self-sufficient,” Mr Wapstra said.

Seed 2 Diesel’s oil extraction and processing equipment is designed to be oilseed agnostic, and any seed may be used as long as it holds at least 20 per cent oil.

Mr Wapstra said as a minimum, Seed 2 Deisel planned to process enough oilseeds to produce 1000 litres of diesel for a customer.

Its aim is to build a demonstration facility that can produce 360,000 litres of biodiesel per year in the Darling Downs.

Seed 2 Diesel joined the GroundUp program to help advance the project and unlock opportunities for funding and investment.

Supported by the Grains Research and Development Corporation (GRDC), GroundUp is a 12-week accelerator program run by the Agtech and Logistics Hub, which is powered by AgriBusiness Connect.

It was launched to drive innovation in the Australian grains sector, with a grower-led focus to find real solutions to improve productivity.

AgriBusiness Connect CEO Thomas Hall said the innovators selected for this year’s GroundUp program presented an array of intelligent solutions.

“The 10 innovators in this year’s cohort were selected from many strong applicants from across Australia and overseas. We are excited by the variety of creative solutions presented,” he said.

“Seed 2 Diesel’s concept presents a sustainable and circular solution that reduces waste, generates biofuel and produces a food source from the byproduct.

“We hope to see them further progress their solution throughout the program.”

Seed 2 Diesel will be among the participants who will showcase their solution to potential investors and end-users at the 2024 GRDC GroundUp Showcase Day on August 29.

Held at the Agtech and Logistics Hub, the event will also feature other exhibitors with technologies to complement the Australian grains sector.