GreenHunter gives biodiesel plant to debt holders

In Texas, GreenHunter Energy contributed its ownership in the nation’s largest biodiesel refinery to a trust for debt-holders. The company had previously defaulted on the notes, which were collateralized by the refinery, and had been in danger of a potential delisting from the New York Stock Exchange. According to reports, the shift of refinery asset to the trust would increase the company’s shareholder equity to more than the minimum threshold of $6 million required by the NYSE, as well as satisfy the bond default. The refinery has not fully reopened in full production since damaged by Hurricane Ike, as well as being affected by the loss of the biodiesel tax credit and loss of its European markets.

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