REG Completes Acquisition of Biodiesel Plant

Renewable Energy Group (REG) has received regulatory approval to complete the previously announced acquisition of a biodiesel production facility in Houston, Texas and a liquid storage terminal in California. Construction of the biodiesel facility is complete and REG has slated biodiesel production to begin on July 7.

REG Houston will be utilized under a newly signed manufacturing agreement which will allow the 35 million-gallon-per-year facility to run at, or near, full capacity. Under the contract, REG will manage production operations and ensure the finished biodiesel exceeds ASTM quality specifications.

Soybean oil is expected to be the primary feedstock under the agreement. The facility includes an on-site laboratory, raw material and finished product storage as well as truck, rail, deepwater and pipeline access.

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