Sapp Bros. opens new biodiesel blending facility in Sioux City

By MEG Corp. | June 11, 2019

Sapp Bros. is celebrating the opening of its newest biodiesel blending terminal located in Sioux City, Iowa, with an open house June 13 from 11:30 am to 1:30 pm Central time at 4800 Frelon Drive. Media representatives are invited to the open house to learn more about the new blending infrastructure and the benefits this brings to the state’s economy, energy security and environment.

Representatives from Sapp Bros., Renewable Energy Group Inc., Ag Processing Inc. and MEG Corp. will be on hand to answer questions about the new facility and biodiesel. Lunch will be provided by the Iowa Soybean Association, Iowa Biodiesel Board, REG and AGP.

The new blending terminal is located approximately one mile from the Magellan Sioux City terminal. Fuel suppliers can load diesel on their transport at the terminal, then load biodiesel at the Sapp Bros. terminal to the desired blend level. Fuel suppliers will have 24/7 access and loading upon approval.

Biodiesel has many beneficial properties, including increased lubricity, high cetane, reduced emissions and compatibility with diesel engines and equipment. The biodiesel offered at Sapp Bros. new blending terminal in Sioux City will be sourced from BQ-9000-certified plants, assuring high-quality biodiesel.

More than 50 percent of biodiesel produced in the U.S. is made from soybean oil, making this new blending infrastructure a benefit to area soybean farmers. Iowa ranks first in the nation for biodiesel production with the capacity to produce almost 400 million gallons per year and ranks second for soybean production, harvesting nearly 565 million bushels in 2018.

An ABF Economics study of biodiesel production levels shows Iowa biodiesel supported approximately 4,700 full-time equivalent jobs in the state in 2018. The same study shows the Iowa biodiesel industry adds $568 million of gross domestic product annually. According to a recent report by the Iowa Department of Revenue, more than half of the reported diesel gallons sold in Iowa in 2018 contained a biodiesel blend. The state provides tax incentives that help increase the availability of these blends.

Sapp Bros. opened its first travel plaza in Omaha, Nebraska, in 1971 and has grown to 17 travel plazas and more than 30 wholesale locations in nine states. Sapp Bros. is a supporter of biodiesel, first offering the renewable fuel at its Peru, Illinois, location in 2004. Today, Sapp Bros. distributes and sells biodiesel throughout its wholesale and travel center network.


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