January 23, 2004 [SolarAccess.com] Green Star Products, announced that American Biofuels (ABF), a biodiesel production company that is 35% owned by GSPI, has acquired 100% ownership of the Bakersfield Biodiesel Plant (before acquisition, GSPI stockholders owned 17.5% of the Bakersfield Plant and after acquisition they own a full 35% of the plant). In January 2003, ABF signed a 50/50 Joint Venture contract with Hondo Chemical, Inc. to build and operate one of the largest biodiesel production facilities in the United States on the Hondo Chemical Site. The Hondo site has extensive infrastructure including multiple rail car sidings, industrial building, utilities and other amenities on the 35-acre industrial property. Hondo Chemical presently produces specialized organic fertilizers and soil amendments for many of the largest farms in California. After a number of meetings, management teams from ABF and Hondo agreed that it would be mutually beneficial for both companies to concentrate on their individual core businesses. Present production capacity of the Bakersfield Plant is 5-million gallons per year and the existing infrastructure can quickly accommodate an expansion to 35-million gallons per year.
