1 / 13

Gary Haer Vice President Sales and Marketing Renewable Energy Group

Ninth Annual Farmer Cooperatives Conference Bioenergy: Opportunities for Cooperatives in Marketing Ethanol, Biodiesel, and Byproducts. Gary Haer Vice President Sales and Marketing Renewable Energy Group. Welcome to Renewable Energy Group, Inc. . Biodiesel history

rowdy
Download Presentation

Gary Haer Vice President Sales and Marketing Renewable Energy Group

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Ninth Annual Farmer Cooperatives ConferenceBioenergy: Opportunities for Cooperatives in Marketing Ethanol, Biodiesel, and Byproducts Gary Haer Vice President Sales and Marketing Renewable Energy Group

  2. Welcome to Renewable Energy Group, Inc. • Biodiesel history • Farmers cooperative began in early 1900s to add value to farmers grain • Soybeans crushed for patented soybean meal; SoyPLUS • Methyl ester production as a way to add value to soybean oil • West Central began producing and marketing biodiesel in 1996 • Began designing and building plants for others • West Central invested biodiesel into Renewable Energy Group, Inc. in 2006 • Renewable Energy Group, Inc. is only full-service biodiesel company • Construction • Production • Management/Marketing

  3. U.S. Industry Biodiesel Sales Gallons

  4. Assessing the Market • Considerations • What feedstocks are to be used and where is supply • Proximity to other biodiesel producers • Where will biodiesel be marketed • What transportation systems are available

  5. Transportation/Logistics Mix • What percentage of plant production will be shipped by truck? • By rail? • Barge?

  6. Rail car numbers • External rail factors • Current rail situation • Improvements needed • Tank car suppliers • Lead time required for acquisition of railcars • Lease terms • Internal factors • How many cars will be used based on production • Percentage of product being shipped by rail

  7. Trucking • External considerations • Local highway systems • Weight restrictions on that system • Local ordinances on traffic • Will road improvements be required? Who will pay for those? • Internal Considerations • Ease of backing, moving semis on the premises • Load-out schedule • Tank truck cleaning

  8. Freight costs • Procurement of feedstocks accounts for more than 80% of cost of biodiesel production • How much does it cost to move from production plant to the targeted markets?  • Who is responsible for the payment of freight bills

  9. REG biodiesel supply chain overview

  10. Sales & Marketing REG Has Built A National Distribution System

  11. Maintaining quality through the structure • BQ-9000 Accreditation • Heat tracing • Certified Marketer

More Related