Term Sheet Includes Multi-Year Feedstock Supply
Renew Energy Resources, Inc. (Pink Sheets:REER) (“RENEW”
or the “Company”),
today announced that its wholly owned subsidiary, Legacy Oil, Florida,
(Legacy) has executed a term sheet for a production partnership
including a long term feedstock supply agreement for recycled waste
vegetable oil (RWVO) with EnerSight Fuels, Inc (EnerSight). As part of
Renew’s vertical integration business model,
Renew has found a feedstock supply partners that can supply material and
bring other resources to the partnership. This agreement will allow
Renew management team to start the development process for a 2.5 million
gallon per year biodiesel plant knowing that a large majority of the
feed-stock is guaranteed and the pricing of the material is predictable.
Renew has already selected a location and will begin final due diligence
on process technology. Renew and EnerSight anticipate commencing
operation in the second quarter of 2009.
Alex H. Edwards III, Renew Energy Resources CEO stated, “As
was the case with Legacy Oil New York, a key component in successfully
building a vertically integrated Biodiesel facility is a good feedstock
partner. We believe that EnerSight can be that partner and we look
forward to working closely with their team to move Legacy Oil, Florida
ahead very aggressively.”
Mark P. Petroff, EnerSight Fuels, Inc. CEO stated, “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. 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.”
About Renew Energy Resources, Inc.
Renewable Energy Resources, Inc (“RENEW”
or “the Company”)
is an alternative energy development company focused on converting non
food based feed stocks into renewable energy. Non food based feed stocks
include waste vegetable oil, corn oil, brown grease, animal fats,
recycled plastics, and discarded tires. Renew is focusing on plants that
are both origination and destination based. “Origination”
plants are built near the feed stock source whereas “destination”
plants are built near the point of use.
