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Ensyn and Youngstown Thermal sign RFO biofuel supply agreement

Ensyn Fuels, a wholly owned subsidiary of Ensyn , has signed a contract with Youngstown Thermal for the supply of RFO – Ensyn's advanced cellulosic biofuel.

Ensyn Fuels is to provide Youngstown Thermal up to 2,500,000 gallons of RFO per year, with deliveries to begin as soon as the fourth quarter of 2015, in time for the 2015-2016 winter season. Youngstown Thermal will use the RFO to displace up to 50% of its fuel needs in the natural gas fuelled boiler. This five-year contract follows a series of successful RFO combustion demonstrations carried out at Youngstown Thermal in 2014.

Youngstown Thermal is the owner and operator of the steam distribution system in Youngstown, Ohio. It provides steam for heat and hot water for the central business district of the city, including the university.

Ensyn's RFO is a liquid fuel produced from non-food solid biomass including forest and mill residues. RFO, essentially 'liquid wood', displaces petroleum fuels in heating operations and is also a renewable feedstock for refineries for the production of spec petrol and diesel.

Ensyn Fuels' initial deliveries of RFO are expected to be produced at its 3 million gallon per year facility in Ontario, with eventual supply from the Ontario facility and/or one of several new projects Ensyn and its partners are developing in Eastern Canada/Eastern US.

Ensyn's Ontario facility has been qualified by the US Environmental Protection Agency (EPA) under the US Renewable Fuel Standards (RFS) programme. Ensyn expects that sales of RFO to Youngstown Thermal will qualify for Renewable Identification Numbers (RINs) under the RFS.

Ensyn Fuels will provide Youngstown Thermal with dedicated on-site storage for the RFO and an RFO delivery system, including a new burner.

The contract with Youngstown Thermal is the third long-term supply contract Ensyn has signed committing RFO from Ensyn's expanding production capacity and the first supply contract to be signed for district heating. In 2014 Ensyn Fuels signed renewable long-term contracts with Memorial Hospital and Valley Regional Hospital, both of New Hampshire, for the supply of RFO for heating purposes. Deliveries to Memorial Hospital commenced in August 2014 and continued throughout the 2014-2015 record cold winter, allowing Memorial to switch 100% of its heating needs from petroleum fuels to RFO.





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