Renewable Energy buys second Geismar biorefinery

Renewable Energy Group will buy Tyson Foods' 50% share of Dynamic Fuels.

The Iowa-based ethanol producer will buy Dynamic Fuels' Geismar biofuels plant, which makes diesel from animal fat, in an agreement that could be worth up to $65 million (€48 million).

The Geismar facility was the first large-scale biorefinery in the US and can produce up to 75 million gallons of renewable diesel.

However, the plant has not been in operation since late 2012, when it was closed for maintenance. Syntroleum was reluctant to invest the $10 million needed to restart the facility and in January, Renewable Energy Group said it was planning to acquire Syntroleum's half of the Geismar facility, in a deal valued at $40 million.