That's the case in any production of fuel. But, at 85% effeciency, it's in the right range of pumping and processing raw crude. Plus, we would be getting rid of millions of tons of waste saving us money. It's not profitable yet (no industry is at the beginning) but it has the potential of being very profitable.
This was the Achilles heel to the process, until Changing World Technologies came up with a brainstorm. Getting the water out of the material has been the most inefficient part of the process. It used to take MORE energy to dehydrate the material, than the material would produce. Here's the spin.
Heat the material to 300 F, under about 350 psi. Quickly remove the pressure, and the water/steam will immediately leave the material - reclaim the super-heated steam to pre-heat the next batch; then cool the steam and you have sterile water.
The rest of the process can now be done at much higher temperatures/pressures to do the 'cracking' process. The water is gone, and instead of burning energy to dehydrate, you used the water to efficient pre-heat the next batch. Problem solved.