Biodiesel hits another pay date without check in mail
By BRENDA SOMMER bsommer@leader-news.com

Texas Biodiesel Corp. once again says it plans to pay a court judgment against it over a $215,000 loan, but the company's president said it will take a bit more time.

On Sept. 22, an e-mail from Texas Biodiesel President John Autrey was sent to city and City Development Corp. of El Campo Attorney Ronny Collins and the El Campo Leader-News, stating Texas Biodiesel would repay the loan with interest in 45 days.

Friday was the 45th business day since the e-mail was sent.

Texas Biodiesel President John Autrey said by phone interview he'd probably need an additional 30 business days to repay the debt, beyond the 45 days just elapsed.

"Things are looking up," he said. "We

"Things are looking up," he said. "We may have a major oil company partner. We'll be satisfying the debt and we're very happy to be able to do that, and very happy to be able to move forward with so many of our initiatives."

The oft-delayed multi-milliondollar Texas Biodiesel project, which first came before the CDC in August 2003, was granted a $165,000 forgivable CDC loan. The El Campo Economic Development Corp. - a privately funded, local business advocacy group - kicked in an additional $50,000.

The terms of the loan were that if ground had not been broken by the Sept. 1, 2006 deadline, the company would have to repay it, but CDC directors granted the company a six-month extension. Autrey asked for a second extension in March 2007, but the board denied it and instead asked for repayment of the loan, which Autrey said was forthcoming.

Having received no repayment, in April 2007 the CDC board voted to sue the company for the debt, and in late November of that year, 23rd District Judge Ben Hardin ruled in favor of the CDC.

In the district court ruling, Hardin ordered Texas Biodiesel; John Autrey, company president; and Lori Lato, a Texas Biodiesel vice president to repay the entire loan plus $15,000 in attorney's fees and $585 in court costs. He added interest of 7.75 percent per year until the total is paid, and included attorney's fees' provisions in case Texas Biodiesel appeals the case.

Autrey said once his deal with the unnamed partner is concluded, he still hopes to carry out some projects in Texas.

"With this partner, some of the (planned) jobs and activities we'll be able to bring to fruition. We had grown very attached to the community (in Wharton County) and are happy to be put in a position to carry out some plans in that area," Autrey said. "We had spent almost $300,000 on feasibility studies on the area and it's nice to be able to take the data that produced and be able to use it. And for sure we know the jobs are still greatly needed in these hard times."

CDC attorney Collins could not be reached for comment by presstime Friday.