Renewable Energy Group announces New Jersey terminal agreement

Source: ICIS News


MEDELLIN, Colombia (ICIS)--Biodiesel producer and marketer "">Renewable Energy Group (REG) announced on Tuesday that it has entered into an agreement with Dutch Hill Terminals, a heating oil terminal in New Jersey, to market biodiesel and biodiesel-blended heating oil at its Clifton, New Jersey location.

"This terminal position will give us additional capacity to serve the existing markets in the northeast, and prepare for potential growth moving into 2014," said Gary Haer, REG vice president, sales and marketing. "As the region increases its consumption of biodiesel in transportation fuel and Bioheat, REG will continue to provide a reliable source of high quality, clean burning, advanced biofuel."

The New Jersey state legislature is currently considering legislation that would require heating oil to contain a 3% biodiesel blend (B3), then increasing to 5% (B5).

New York City has already implemented a city-wide requirement of B2 in heating oil. The New York state legislature passed a bill that would phase in a B2 requirement state wide over two years beginning with the 2014-2015 heating oil season.

REG will offer other biodiesel blends for transportation fuel during seasonal periods from the Clifton terminal as well, the company said.

REG has five other terminal locations in the US northeast, including Whippany and Bayonne in New Jersey, as well as New York locations in New Hyde Park, Port Chester, and Brookhaven.

"REG Clifton is a great addition to our biodiesel sales and distribution capabilities in the Northeast market," said Dave Elsenbast, REG vice president, supply chain management.

Biodiesel is an alternative fuel, produced from renewable resources. The most commonly used feedstocks are rapeseed, soy and palm oil.