BPI beef tallow for new biodiesel plant

4 August 2008

Natural Innovative Renewable Energy are to build a 60 million gallon/year biodiesel plant that will use beef tallow from Beef Products Inc's plant in South Sioux City, Nebraska, as one of their raw material sources. The plans call for the $100 million project to begin construction this year or early next year and begin production around 18 months later.

BPI will invest in the venture, as well as supply the tallow, BPI corporate administrator Rich Jochum told Meatingplace.com. Once at full capacity, other meatpacking plants would probably provide additional feedstocks The plant, which is expected to employ 36 workers, will occupy a 10-acre site just north of the BPI plant. Plans call for tallow to flow from the beef plant to the biodiesel plant through an above-ground pipe. The plant is also expected to produce 55 million pounds of glycerin annually. This is BPI's first direct involvement with a biodiesel venture. Jochum said while it was possible that some of the biodiesel fuel could someday be used to power BPI's beef plant, that prospect had not been factored into the development of the facility at this time.

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