Tyson Foods enters renewable energy joint venture
June 25, 2007
by Keith Nunes
SPRINGDALE, ARK. — Tyson Foods, Inc. and Syntroleum Corp., Tulsa, Okla., a company that manufactures synthetic fuels, have formed Dynamic Fuels L.L.C., a joint venture to produce synthetic fuels targeting the renewable diesel, jet and military fuel markets.
Dynamic Fuels announced plans to build and operate multiple facilities capable of producing renewable synthetic fuels using Syntroleum’s Biofining process using animal fats, greases and vegetable oils supplied by Tyson Foods. Although a site has yet to be determined, the first facility built by the joint venture will produce about 75 million gallons of synthetic fuel annually. Construction is expected to start in 2008.
"Tyson’s venture with Syntroleum presents another significant step forward in our strategy of leveraging Tyson’s access to animal byproducts, our trading skills, and industry relationships to become a premier player in renewable energy," said Richard Bond, president and chief executive officer for Tyson Foods. "We believe this venture will add value to our business, give animal agriculture another opportunity to participate in the production of renewable fuels and is also an environmentally sound way to contribute to America’s energy security."
The joint venture is Tyson Foods’ second effort in the renewable fuels arena. In April, the company announced it had entered into an agreement with Houston-based ConocoPhillips to produce and sell renewable diesel using the company’s supply of byproduct fat as a raw material. The effort is expected to result in the production of 175 million gallons of renewable diesel fuel per year by 2009.