Fuels

Mansfield's C&N Signs Marketing Deal With Permeate Refining

Also launches Mansfield Renewable Energy for ethanol wholesaling

ATLANTA -- Mansfield Oil Co. has added Permeate Refining Inc., Hopkinton, Iowa, to its C&N Cos. existing portfolio of ethanol marketing partnerships. Permeate Refining is an advanced biofuel producer that processes waste byproducts, primarily de-lactose permeate. The company is expanding its capabilities to process waste streams from the citrus, sweetened beverage and beet pulp industries.

Its proprietary technology develops the unique yeast strains needed to ferment a wide variety of waste stream feedstock. Currently producing fuel grade ethanol from lactose waste [image-nocss] streams, the process was developed in conjunction with Permeate's engineering partner, Advanced Process Solutions Inc., Richmond, Va.

"This is our first relationship with an advanced biofuel plant that produces fuel ethanol from nonfood feedstock, which also meets the new categories defined in the RFS2 guidelines. We believe a growing number of plants will be developed that can produce increasing quantities of biofuels from the widely distributed range of non-food feedstock. These facilities will be required to meet advanced biofuels and low carbon fuel standards," said Douglas Haugh, executive vice president of Mansfield Oil.

"We are excited about Permeate's current production capabilities, as well as their plans to expand their technology to plants nationwide that leverage local access to a wide range of feedstock," he added.

Randy Less, general manager for Permeate Refining, said C&N's "transparent approach gives us the ability to manage and forecast our costs and margins and their access to a nationwide market consists of refiners and blenders in every region of the country. This gives us great confidence in their ability to secure the best customers for our products and ensure our access to nationwide markets as we continue to expand our network of production facilities."

Jon Bjornstad, who founded C&N in 2000 with the goal of providing the top ethanol marketing program for independent and farmer-owned ethanol refiners added, "I'm excited about the technology approach proven by Permeate's current production and believe that their success is a testament to the progress being made today by the ethanol industry to produce greater volumes of the advanced biofuels required under RFS2."

C&N, Bloomington, Minn., has grown to represent more than 500 million U.S. gallons of ethanol production, along with 150 million gallons of biodiesel. This production comes from 11 different plants, from Indiana to Mexico. C&N is focused exclusively on the sales, logistics and regulatory reporting of renewable fuels across North America.

Permeate Refining's current plant produces three million gallons of ethanol annually, which will be marketed both locally and nationally as a clean-burning, high-octane fuel additive.

Advanced Process Solutions is a leading engineering and technology provider with extensive experience in the process development of second-generation ethanol producing technology including enzymatic cellulose conversion.

Mansfield Oil has also announced the launch of Mansfield Renewable Energy in Charlottesville, Va. The office will lead Mansfield's ethanol wholesaling efforts across the United States.

"The unique logistical and supply challenges faced by ethanol blenders in many markets are best served by a team who specialize in overcoming these challenges to provide the most efficient and cost effective supply of renewable fuels for each region," said Michael Mansfield, CEO.

Dave Cady, formerly with TransMontaigne and Louis Dreyfus Energy, who brings extensive trading, supply and risk management expertise to Mansfield, will lead the division from the Charlottesville office. Cady was the senior vice president of the North American Oilseeds and Products group for Louis Dreyfus and later served as the president and CEO of Louis Dreyfus Energy Atlanta. For the past several years Cady has been an investor, teacher, business manager and farmer while working on several biodiesel and wood to waste ethanol projects.

"As head of Mansfield Renewable Energy I can combine my past experience as a trader and marketer in both agricultural and petroleum markets. Our focus is on continuing the creation of a coast-to-coast wholesale ethanol marketing effort. Mansfield Oil Co.'s refined products footprint and resources will be invaluable in reaching that goal. I am also especially pleased to be working for J. Alexander, president of Mansfield Oil Co. and my trusted collaborator at Louis Dreyfus Energy," added Cady.

Atlanta-based Mansfield Oil "defines the next generation of downstream oil company," delivering a disciplined approach to fuel services across all 50 states from more than 900 supply points. It focuses on optimizing and controlling fuel-related costs with local service nationwide.

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