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February 28, 2008 | Jim Lane | Comments 0

Diamond Star Energy proposes 35 Mgy biodiesel plant near Pittsburgh

In Pennsylvania, Diamond Star Energy has proposed a 35 Mgy biodiesel plant for Neville Island, in the Ohio River north of Pittsburgh. Diamond Star and Land Gas Technologies will be a con-investor in the project, and is negotiating with Ashland Chemical for a lease of a proposed island-based site. The proposed plant, using an undisclosed feedstock, would ultimately be expanded to a capacity of 100 Mgy.

The plant qwould be the first in western Pennsylvania since Lake Erie Biofuels and Pennsylvania Bio Diesel opened last October. The 45 Mgy Lake Erie plant had received a $625,000 grant last year through the Pennsylvania Alternative Fuels Incentive Grants Program. The $15 million PBD facility was officially opened by Pennsylvania Governor Ed Rendell.
Last week, Magellan Midstream Partners and Buckeye Partners said that their proposed 1700-mile, $3 billion ethanol pipeline from the Midwest would connect Iowa with New York City, passing through terminals in Philadelphia and Pittsburgh.

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