Optimizing Ethanol Production in North Dakota

A spatial equilibrium model based on a non-linear mathematical programming algorithm was developed to determine the optimal number, location, and size of cellulose ethanol plants for North Dakota. The objective function of the model is to minimize processing cost of biomass for ethanol and the transportation cost of shipping biomass to processing plants and ethanol to blending facilities. A heuristic approach, combined with a spatial equilibrium model, was used to determine the optimal number, location and size of biomass processing plants.