Alabama Will Have Two New Biodiesel Plants

October 11, 2006

Alabama Governor Bob Riley announced on October 10 that a new $15 million biodiesel refinery will be built in Claiborne. The Independence Renewable Energy Corporation will use state-of-the-art technology to produce up to 40 million gallons of biodiesel annually. In Athens, Melvin and Beverly Kilgore plan to break ground on a $9 million biodiesel company that can produce 4 million gallons of biodiesel per year.

The biodiesel from both plants will be sold to local distributors and mixed with petroleum diesel to make different fuel grades. These refineries will join Alabama Biodiesel Corporation in Moundville, which last year became Alabama's first biodiesel plant.

Alabama Governor Bob Riley said, "We’re working to make Alabama a national leader in alternative fuels. Alternative fuels hold the promise of a cleaner environment, a stronger economy, … and a way to reduce America’s dependence on foreign energy sources."

Alabama recently received a $312,000 federal grant to install biodiesel and ethanol-blended fuel pumps along Interstate 65.

For more information, read the governor's October 10 press release.