REG to consolidate three biodiesel plants

Iowa-based biodiesel producer Renewable Energy Group has announced it has entered into agreements to consolidate with three commercial-scale biodiesel plants.

Involved in the transaction are the trio of Western Iowa Energy, Central Iowa Energy, and Blackhawk Biofuels. The facilities owned by these companies represent an additional 105 million gallons per year of wholly-owned production capacity which would allow the combined entity to better position itself to meet anticipated demand from the petroleum industry's distillate fuel market.