Blue Sun to offer biodiesel at Knoxville, Tenn., terminal
Photo: Cummins Terminal
December 1, 2011
BY Bryan Sims
Denver-based biodiesel producer, marketer and distributor Blue Sun Biodiesel announced that it plans to deliver mechanically blended biodiesel to the Cummins Terminal located in Knoxville, Tenn., from a heated 546,000-gallon biodiesel tank through three of the six lanes at the terminal’s state-of-the-art truck loading rack.
According to Steve Bond, business manager for Blue Sun Biodiesel, construction and modifications are currently underway. When complete, anticipated to be sometime early next year, the terminal will allow customers to select desired blend levels at the rack, from B1 to B100.
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“The biodiesel for the terminal will be sourced from multiple locations depending on pricing and quality,” Bond told Biodiesel Magazine. “What we want to do is try to get our customers the best deal possible while meeting the quality specifications that we think are appropriate for that area.”
The company touts that current economics allow blends of B2 and B5 to be sold at prices below regular No. 2 on-road diesel. With higher blends such as B10 or B20, the discount to diesel could be even greater.
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“I think most of the buyers will want RINs with the product so [the discount of biodiesel] will be, at the end-user level, cheaper than diesel contingent on RIN values at the time,” Bond said.
Blue Sun Biodiesel is asking interested distributors and resellers to contact them.
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