Jon Hall
Salem, IA (USA)
Role(s):
Founder/Owner/Principal
Bio-NRG, LLC
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Startup
Location:
Salem
Industry:
Bio-Technology
Year Founded:
2007
Number Employees:
10-50 people
Description:
Bio-NRG, LLC will found its core business in the areas of soybean processing, to include refining and marketing of co-products and the subsequent production of bio-diesel fuel and the development of future integrated bio-diesel production facilities in the United States.
On November 29th, 2007, Bio-NRG became an Iowa Limited Liability Company as registered in due form with the Secretary of the State of Iowa. Currently, Bio-NRG is considered a "shell company" as defined by the Securities and Exchange Commission, as its business activities are primarily focused on raising additional financing and the pursuit of strategic transactions.
The primary goal of the Company is in the creation of an 800 ton per day integrated soybean crush, refinery, and bio-diesel production facility to be located in Henry County, Iowa which uses renewable agricultural-based feedstock (primarily soybean oil) to produce bio-diesel. This facility will find itself situated on an approximate 80 - 100 acre site, with access to major highways and rail service in support of its transportation infrastructure.
Initial construction of the Henry County facility is yet to be determined but is anticipated to start in the spring of 2009, and is initially estimated to be capable of producing ten million gallons of bio-diesel per year and 640 tons of high protein soybean meal per day.
The Company's primary source of revenue will be the sale of Soybean Meal, RBD (refined, bleached and deodorized) Soybean Oil, Bio-diesel Fuel, both in blended and unblended forms with petroleum-based diesel fuel, and the sale of Technical Grade Glycerine. The Company's sales will be dependent upon the volume and the price of meal, bio-diesel fuel, and other products that it sells. The selling prices the Company may realize for its bio-diesel is closely linked to the prices of petroleum based diesel fuel and the supply and demand for bio-diesel, as well as the tax incentives offered by federal and state governments for the production and blending of alternative fuels.
The Company's gross margin is driven by the costs of feedstock’s (primarily soybeans) and other chemical inputs used in our production of meal and bio-diesel fuel. The Company intends to purchase feedstock and other inputs both on the spot market and pursuant to fixed, short-term supply agreements. The Company's profit margins and financial condition will be significantly affected by its cost and supply of soybean feedstock and other inputs in the commodity markets.
The Company is currently in its "seed" phase and is preparing its offering for an initial investment total of $500,000. The total cost of this project is expected to be around $45-$50 million dollars.
The Iowa Soybean Association has approved and offered a matching $5,000 grant in the preparation of a formal feasibility study.
The address of the Company's executive offices is 3174 Misty Meadows Drive, Salem, Iowa 52649, and the Company's telephone number is [<a href="(URL removed)">send me a message</a>].