Arkansas biodiesel plant increasing production

| 9/12/2006

Approximately $36 million in new contracts will help a biodiesel plant in Arkansas increase its production by more than four times.

Greenline Industries of San Rafael, CA, and Agri Process Innovations of Stuttgart, AR, have partnered to form Greenline Fabrications to increase biodiesel production at Patriot Bio-Fuels from 3 million gallons per year to 13 million gallons per year, the Arkansas Democrat Gazette reported.

Greenline contracted with truck stops, trucking companies, agricultural interests, petroleum refiners and dealers to take advantage of a federal tax credit of $1 per gallon for biodiesel blends.

Arkansas has two biodiesel plants. The other is Eastman Chemical Co. in Batesville, with a production of 6 million gallons per year and a contract to increase that number to 12 million.

The National Biodiesel Board reported that the U.S. has at least 65 commercial biodiesel plants in 30 states – with more on the way – producing 395 million gallons per year of biodiesel.