Renewable Energy Group Inc. announced it has launched a new division that will sell petroleum-based heating oil and diesel fuel, and enable the company to offer more biofuel blends.

REG Energy Services LLC will sell heating oil and ultra-low sulfur diesel (ULSD) at seven terminals throughout the northeastern U.S. as well as biodiesel-blended heating oil at an existing REG terminal location.

“REG Energy Services complements our advanced biofuel business as we optimize and grow our fully integrated biodiesel business across North America,” said REG president and CEO, Daniel J. Oh. “It allows us to offer more products to our customers, including more biofuel blends, while also expanding our customer base.”

The new company will be regionally headquartered in Portsmouth, N.H., and led by Barry Knox, a long-time downstream petroleum distribution specialist. Before joining REG, Knox served the past 14 years as chief operating officer at Total Energy Solutions LLC. Knox just completed his term as a board member of the New England Fuel Institute, and the Massachusetts Energy Marketers Association, and was also a board member of the National Oilheat Research Alliance.

REG Energy Services is now marketing heating oil and ULSD at Citgo terminals in Albany, N.Y. (Citgo/Glenmont), South Portland, Maine, and Braintree, Mass.; at Motiva terminals in Providence, R.I., New Haven, Conn., and Newark, N.J., as well as the Sun Logistics terminal in Newark, N.J. BioHeat blends up to B20 are also available from REG’s location at the Clifton, N.J., Dutch Hill terminal.

“REG Energy Services expands our fuel portfolio in the New England market where we can now offer heating oil, ULSD, and biodiesel fuel blends in addition to REG-9000 biodiesel,” said Gary Haer, REG vice president of sales and marketing. “This will further enhance REG's ability to meet customer needs for biodiesel-blended fuel.”

The offices of REG Energy Services are located at 15 Rye Street, Suite 312, Portsmouth, N.H.