Web exclusive posted Nov. 5, 2008 at 9:53 a.m. CST

Renew Energy Resources Inc. announced Oct. 29 that its wholly owned subsidiary, Legacy Oil, Florida, has signed a long-term feedstock supply agreement for recycled waste vegetable oil with EnerSight Fuels Inc., an Alabama-based biodiesel producer.

The agreement will allow the Renew Energy management team to start the development process for a 2.5 MMgy biodiesel plant knowing that a large majority of the feedstock is guaranteed and the pricing of the material is predictable.

"Our partnership with Renew's subsidiary, Legacy Oil, Florida, provides EnerSight with a strong partner in Florida that has a long successful history in the alternative energy industry," said Mark P. Petroff, EnerSight Fuels' chief executive officer. "We are excited to be associated with Legacy Oil, Florida and believe that their location, technical team, management capabilities, and production experience will create a synergistic long-term relationship. This partnership, in conjunction to our recent joint venture in eastern Tennessee, completes EnerSight's southeastern US regional business strategy."
According to Renew Energy, it has selected a location for the project and is beginning final due diligence on the process technology. The two companies anticipate commencing operations during the second quarter of 2009.

In September, Renew Energy announced Legacy Oil plans to build a 5 MMgy facility in New York City. The Doe Fund, a New York-based nonprofit, will collect and deliver waste cooking coil and trap grease to the New York production facility.