This is an excerpt from EERE Network News, a weekly electronic newsletter.

April 12, 2006

Biodiesel Distribution Expands via Blending at Fuel Terminals

Pre-blended biodiesel is becoming more widely available to distributors and retailers of biodiesel, according to the National Biodiesel Board (NBB). On April 4th, Distribution Drive, a subsidiary of Earth Biofuels Inc., announced that Motiva Enterprises' fuel terminal in Dallas, Texas, is now offering biodiesel at any blend level. To support the fuel terminal, Earth Biofuels opened a biodiesel production facility in Durant, Oklahoma, that will produce 10 million gallons of biodiesel per year. Earth Biofuels sells its biodiesel under the "BioWillie" brand name, named for musician Willie Nelson, who is a member of the company's board of directors. Earth Biofuels recently celebrated the debut of BioWillie B20 at fuel stations in San Diego, California, and Glendale, Mississippi. See the NBB press release and the Earth Biofuels press releases on the terminal, production plant, and biodiesel pumps in California and Mississippi.

The NBB also noted that fuel terminals in Michigan and New York are now offering pre-blended biodiesel. RKA Petroleum Companies added biodiesel to its fuel terminal in Romulus, Michigan, in March, making it the first fuel terminal in the state to offer pre-blended biodiesel. On March 30th, Sprague Energy opened a facility in Albany, New York, that stores approximately 40,000 gallons of pure biodiesel. The biodiesel is blended with diesel fuel at the facility as distribution fuel trucks are filled, eliminating the cost and inconvenience of making separate stops to obtain biodiesel and petroleum diesel. Sprague Energy's facility will supply pre-blended biodiesel to home heating and biodiesel retailers throughout upstate New York, Vermont, and western Massachusetts. See the Sprague Energy press release.

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