GAINESVILLE, GA (February 1, 2012 - PR Web)—Dynamic Fuels, LLC, operator of the first commercial advanced biofuels plant in the United States, has entered into strategic marketing alliance, commercial off-take and supply chain management agreements with Mansfield Oil Co. to distribute synthetic renewable diesel to the commercial fleet vehicle market.
Dynamic Fuels is a 50/50 venture of Tyson Foods, Inc. and Syntroleum Corp. that produces next-generation renewable and synthetic fuels from animal fats and greases. The company’s Geismar, Louisiana plant has the design capacity to produce 75 million gallons of renewable diesel, naphtha and LPG per year, of which the primary product is ASTM D975 renewable diesel. Because of its molecular properties (it’s a pure hydrocarbon), renewable diesel is a “drop in” fuel that can replace 100% of petroleum diesel in a diesel engine without engine modification.
“Renewable diesel is a sustainable, ultra clean burning, high cetane fuel that reduces carbon emissions up to 70% and significantly reduces particulates and NOx when combusted in existing diesel engines,” stated Ron Stinebaugh, senior vice president of Syntroleum Corp. "We believe our relationship with Mansfield will allow Dynamic Fuels to provide a seamless supply of renewable diesel to fleet customers at prices comparable to ultra-low sulphur diesel, as well as a petroleum diesel backstop if necessary, to ensure reliable supply.”
Under the alliance, Dynamic Fuels and Mansfield will jointly market renewable diesel. This is expected to provide Dynamic Fuels access to Mansfield’s existing commercial accounts while expanding Mansfield’s portfolio of renewable fuel products for its customers. In addition, company officials believe the commercial off-take agreement will also help ensure Dynamic Fuels has immediate access to fleet markets for its renewable diesel. The supply chain management agreement allows Dynamic Fuels to outsource supply chain services to Mansfield, including logistics management, customer service support, invoicing and billing services.
Mansfield markets and distributes over 2.5 billion gallons of fueling products per year to thousands of commercial customers across all 50 states and Canada.
"We’re impressed by Dynamic Fuels’ position as one of the leading renewable diesel producers in the United States and are confident they will remain the industry leader and a key partner for us," said Doug Haugh, president of Mansfield Oil Co,. "Through this partnership, we’re working to distribute renewable diesel directly to our fleet customers who are interested in increasing the renewable content of the fuels they consume."