Energy Roundup: Mr. Ethanol Goes to Washington, Carbon Dioxide-Sucking Rocks, and More

(MoneyWatch)  Ethanol producers hit Capitol in bid to increase blend -- U.S. ethanol producers pressed the Obama administration to raise the limit on ethanol in fuel to 15 percent, a move they said would create as many as 136,000 new jobs and reduce imports. Growth Energy, an ethanol trade group, submitted a request to the Environmental Protection Agency on Friday to boost the blend rate. [Source: Washington Post, Reuters]

Carbon dioxide-sucking rocks among latest research developments -- All sorts of interesting research was released this week about developments in solar power, batteries and even carbon dioxide-sucking rocks. Penn State researchers have discovered a way to convert carbon dioxide into a variety of hydrocarbons through the use of solar energy. Not to be outdone, MIT's chemistry department is developing a battery that uses liquid -- not conventional metal -- electrodes that can absorb electrical currents 10 times higher than the best batteries today, which would be ideal for solar power storage. Finally, Columbia University's Earth Institute and the U.S. Geological Survey mapped large rock formations that can absorb carbon dioxide. Earth Institute scientists are experimenting with ways to speed up the natural process within the rocks called mineral carbonation. [Source: Scientific Blogging, EcoGeek, Physorg]

Exxon ups spending as rest of industry pulls back -- Exxon will increase its spending 11 percent to $29 billion this year, sticking to its plan to invest between $25 billion and $30 billion annually for the next five years. The oil giant could experience problems as its partners in shared projects cut back. News of reduced spending plans among independent oil and gas companies continued with Penn Virginia's reduction of its forecasted oil and gas production and capital expenditures for 2009. [Source: Financial Times, Platts]

Reid to package climate, energy bills -- Senate Majority Leader Harry Reid will wrap a cap-and-trade measure together with bills to create a nationwide renewable electricity standard and promotion of a modernized grid. The move to package the bills signals a change in direction for Reid, who up until last week was expected to introduce the measures separately. [Source: Climate Wire]

LA solar initiative too close to call -- The fate of an initiative that would allow Los Angeles Department of Water and Power to install up to 400 megawatts of solar on municipal rooftops by 2014 is still unclear several days after residents voted on the issue. Thousands of write-in votes and absentee ballots are still being counted and some say it could be weeks before it is decided. [Source: Solar Industry, LA Times]

Talisman profits shielded on derivatives, announces asset sale -- Derivative contracts protected Talisman Energy and directly contributed to its 83 percent rise in fourth quarter profits. The Canadian explorer, which has reserves in North America, the North Sea and Southeast Asia, also announced this week it has agreed to sell assets in Saskatchewan and Montana to TriStar Oil & Gas and Crescent Point Energy Trust for C$720 million in cash. [Source: Bloomberg]