Environmental Power to construct biogas facility at JBS Swift beef processing plant; saves $1.7 million in natural gas costs; Swift, EPG to pursue projects at six other facilities

Environmental Power (EPG), announced that it will construct a biogas facility at the JBS Swift meat processing facility in Grand Island, NE. The project will produce 235 MM BTUs of biogas, or the equivalent of 1.7 million gallons of heating oil.

The new facility, expected to open in the 4th quarter of 2008, will save $1.7 million in natural gas costs for JBS Swift.

“This project helps us minimize our waste while producing energy for our operations,” said Dennis Sydow, VP and GM for JBS Swift at Grand Island. “It’s a real win-win for the environment and the bottom line.”

The project, which originates with Environmental Power subsidiary Microgy, uses anaerobic digesters to generate methane-rich biogas from paunch and wastewater solids generated by the plant. The project will also reduce disposal costs for JBS Swift, which will purchase biogas from Microgy under a 15-year agreement.

The two companies have indicated that they are pursuing projects at six other JBS Swift meat processing plants in the US.

Environmental Power (EPG), a Biofuels Digest Indexâ„¢ stock, was up 16 cents to $5.13 in morning trading.

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