BioFuels Journal

GROWMARK, Biofuels Manufacturing Illinois Sign Marketing Agreement

Bloomington, IL -- GROWMARK, Inc. has signed an agreement to market the majority of the soy-based biodiesel to be manufactured by BioFuels Manufacturing Illinois, Inc.’s proposed Peoria, IL plant.

BioFuels Manufacturing Illinois (BMI), Inc., a minority-owned company based in Normal, IL, plans to construct a 45 million gallon per year operation using soybean oil as its primary feedstock.

Capital costs for the facility, which are projected at $35 million, will be financed through equity and debt.

Construction is scheduled to be completed in late 2007. At capacity, BMI will be using the production from nearly one million acres of Illinois soybeans annually.

“It is great to be aligned with GROWMARK and the Illinois Soybean Association,” says Sudhir Seth, president of BMI.

“This signed agreement provides BMI additional energy as we move forward with our development.”

The proposed plant will be located on a 10-acre site in an industrial park just west of Peoria. Initial plans call for the plant to expand to 120 million gallons within five years.

“Using biodiesel requires no engine modification,” says Shri Chandak, BMI executive vice chairman.

“We look forward to helping move our nation’s energy needs from the oil fields of the Mideast to the soybean fields of the Midwest.”

GROWMARK’s B100 biodiesel sales have increased from nine million gallons for fiscal year 2005 to more than 13.5 million gallons in 2006, which at a B2 equivalent represents nearly 700 million blended gallons.

“The GROWMARK System has been marketing renewable fuels for nearly thirty years, including biodiesel for the past six years,” says Shelly Kruse, GROWMARK Energy Division manager.

“This venture reaffirms our commitment to renewable fuels, and helps ensure that we will have a reliable supply of quality biodiesel for our members and partners as we collectively work to meet the growing demand in the marketplace.”

GROWMARK, is a regional cooperative providing agricultural-related products and services and grain marketing services in the Midwest.

FS brand farm supplies and related services are also marketed to farmers in the northeastern United States and Ontario, Canada through local GROWMARK member cooperatives, and by GROWMARK subsidiaries.

More information is available at www.growmark.com. or call Chris Salrin at 309-557-6300.