GreenHunter Energy subsidiary GreenHunter Biofuels has announced that it has registered and been approved by the U.S. Environmental Protection Agency to sell GreenHunter Biodiesel to the onroad market in the United States. GreenHunter says this approval significantly improves its biodiesel distribution capabilities in the United States, and further augments its strategy of diversifying risk by distributing its products in multiple markets.
Previously, as a part of its vertical integration strategy in the biodiesel business, GreenHunter announced a distribution strategy that included selling biodiesel in overseas markets as well as owning distribution assets in the marine market in the Gulf of Mexico. The company plans to service those markets with biodiesel produced from its 105 million-gallon-per-year biodiesel refinery in Houston. Gaining access to the onroad market as a necessary part of the registration process, GreenHunter recently elected to acquire emissions and health effects test data originated from a third-party industry participant.
“According to the Energy Information Administration, diesel consumption last year in the U.S. was 4.20 million barrels per day, the highest ever,” says Gary C. Evans, chairman, president and chief executive officer of Grapevine, Texas-based GreenHunter Energy. “Even taking into consideration a modest decline in diesel consumption this year, demand for diesel fuel is historically very high. Further, whether it is due to renewable fuel consumption mandates, environmental awareness by consumers, or the drive for energy independence in the United States, the demand for biodiesel will continue to grow at double-digit rates.”
Evzans says GreenHunter is positioning itself to serve markets that are demanding a steady supply of high-quality biodiesel: marine traffic in the Gulf of Mexico, onroad and offroad traffic in the United States, and “overseas markets that may from time-to-time pay a premium for our quality products.”
