FCEC moves closer to beginning plant
By BRENDA SOMMER bsommer@leader-news.com

The Farmers Co-op of El Campo's plans to build a biodiesel plant in Hillje moved one step closer to realization when county commissioners approved the plat for the plant.

Approval of that plat, which denotes the 3 acres next to the co-op's Hillje cotton gin that will be set aside for the new facility, is one of the final steps needed for financing to move forward.

"Yes, we had to survey the land out to get the paperwork together for the bank," said Jimmy Roppolo, FCEC general manager.

County commissioners, who must approve land being subdivided, gave their approval Monday.

The co-op is building the plant as a cost-effective way to help the U.S. end its dependence on foreign oil, and to diversify the markets available to its producers.

"We're still waiting on the appraisal from the bank," Roppolo said. "I got a note from the bank (Thursday) saying they're real close to finishing it."

FCEC and its new partner, GeoGreen Fuels, joined to become Coastal Fuels and are poised to build a 5-million-gallon per year biodiesel plant in Hillje. As well, Lone Star Ethanol announced in January its plans to build a 100-million-gallon per year ethanol production facility on land adjacent to FCEC's grain handling facility at the Port of Victoria. FCEC will supply that plant with grain and sell its by-products, and possibly have an ownership stake in the plant.

Estimated U.S. production of the biodiesel leapt from 25 million gallons per year to 75 million in 2005. Production of ethanol doubled globally between 2000 and 2005, with biodiesel output quadrupling.

In the past year, Texas also became the number one biodiesel-producing state in the nation, increasing production capacity from 120 million gallons to 280 million gallons annually. Analysts estimate the biodiesel industry will add $24 billion to U.S. economy by 2015.