New Generation Biofuels lands first heating customer

Web exclusive posted Oct. 16, 2008 at 3:33 p.m. CST

New Generation Biofuels Holdings Inc. has announced its first sale to an industrial heating customer. In the contract New Generation Biofuels will supply Taunton State Hospital in Taunton, Mass., 180,000 to 220,000 gallons of its renewable biofuel over 12 months.

New Generation Biofuels holds the North American, Central American and Caribbean license for a technology developed by Italian inventors Ferdinando Petrucci and Andrea Festuccia, which uses an emulsification process rather than a traditional transesterification process. Festuccia serves as chief technology officer for New Generation Biofuels. The company has patents pending on the technology, according to Phil Wallis, chief marketing officer for New Generation. The process uses water and additives that atomizes the oil feedstock and holds the fuel together in a stable emulsion. Wallis said the fuel is closer to a straight vegetable oil than to either a methyl ester or hydrogenated renewable diesel. The process is feedstock neutral.

"Sustainability is a high priority for the hospital," said Massachusetts Department of Mental Health Director of Engineering and Facilities Management Ken Lortie. "Working with New Generation Biofuels will give us the opportunity to continue to be at the forefront of technology and contribute to a healthier environment."

In July, Mass. Gov. Deval Patrick signed the Clean Energy Biofuels Act, mandating that all diesel and home heating oil sold in the state contain at least 5 percent biofuel by 2013.

"We are excited to have Taunton State Hospital on board," said David Gillespie, New Generation Biofuels chief executive officer and president. "They are environmental leaders who understand the importance of using a clean, efficient fuel. Our biofuel has demonstrated significant overall greenhouse gas emission reductions as well as local air pollution reductions including nitrogen oxide and sulfur oxide. In addition, our fuel can be used as a 100 percent fuel switch with no modification to a customer's equipment."

Sept. 15, the company announced it has secured a site at the port location of Atlantic Terminaling in Baltimore, M.D., for a 25 MMgy production plant. It expects to complete arrangements and be operational in the first quarter of 2009.