REG buys Tellurian to enhance access to used oil

U.S.’ largest biodiesel producer Renewable Energy Group (REG) said it is acquiring Tellurian Biodiesel Inc. and American BDF to augment access to used cooking oil supply for its production facilities. The Iowa-based biodiesel manufacturer and marketer own five biodiesel plants with a combined annual production capacity of 182 million gallons. American BDF is a joint venture between tellurian and California-based Golden State Foods and Minnesota-based Restaurant Technologies Inc., which previously focused on building a national array of smaller plants to convert, used cooking oil into biodiesel, REG said in a press statement. “Just by gaining access to this nationwide system of used cooking oil collection depots, REG has the potential, over time, to replace more than a half million barrels of imported crude oil with sustainable, domestically produced biodiesel,” said Dave Elsenbast, REG vice president for supply chain management. (July 22, 2010)