Biodeisel, jet fuel plant headed to La.
November 15, 2007: 01:35 PM EST
money.cnn.com
Nov. 15, 2007 (Thomson Financial delivered by Newstex) --
BATON ROUGE, La. (AP) - An Ascension Parish refinery will be the site for a new $126 million plant that will turn animal fat and other agriculture waste into biodiesel and jet fuel, company officials said.
Dynamic Fuels LLC has chosen Lion Copolymer's plant in Geismer for the site of its new venture, according to a news release from the state Department of Economic Development.
Gov. Kathleen Blanco said in the release that the plant will have a staff of 45 people and a payroll of about $4 million.
'This decision will allow even more Louisiana agricultural byproducts to be converted into premium value-added products,' Blanco said.
Dynamic Fuels is a joint venture between Tyson Foods (NYSE:TSN) and Syntroleum Corporation (NASDAQ:SYNMZ) (NASDAQ:SYNM) LLC.
Tyson will supply animal fat and other agricultural byproducts to produce renewable fuels, a cleaner technology than fossil-based fuels while Syntroleum will contribute proprietary technology and experience, the companies said in the release.
'The site provides excellent people, infrastructure and utilities with an outstanding safety and environmental record,' said Jeff Bigger, senior vice president of Syntroleum Corporation. 'We look forward to working with Lion and expect that installing our plant within the existing complex will minimize cost while keeping Dynamic Fuels on schedule for production in 2010.'
The companies had said in September that the Greater Baton Rouge area was a frontrunner for the proposed plant.
Tyson Foods, a global processor of poultry and beef, has headquarters in Springdale, Ark. Syntroleum is a technology commercialization company based in Tulsa, Okla.
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Newstex ID: AFX-0013-21019407
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Louisiana site gains fat-to-fuel venture
By Paul Monies
Business Writer
newsok.com
Tulsa's struggling Syntroleum Corp. and chicken processor Tyson Foods Inc. have chosen a Louisiana refinery for their plan to turn chicken fat into fuel.
The companies' 50-50 joint venture, Dynamic Fuels LLC, will spend $135 million in Geismar, La., to turn chicken fat into renewable diesel and jet fuel.
Dynamic Fuels will refit Lion Copolymer's Geismar plant, which will have annual capacity of 75 million gallons. It will use Syntroleum's Biofining technology in the processing.
Geismar is about 25 miles south of Baton Rouge, La. Louisiana officials said the refinery will employ about 45 people and have an annual payroll of about $4 million.
Jeff Bigger, Syntroleum's senior vice president, said the company expects to start production in 2010.
Syntroleum and Tyson announced their partnership in June, but had not picked a location at that time.
"This marks another important milestone in the execution of our strategy of leveraging access to animal by-products, our trading skills and industry relationships to become a premier player in renewable energy,” said Jeff Webster, senior vice president of Tyson's renewable products division.
Syntroleum is a leader in the renewable fuels industry, but it has struggled to make money with its technology. Investors have battered the company's stock, taking it down to $1.13 from a $10 high in early 2006. |
