Metal recycler and fabricator Metalico has announced that its biofuel affiliate, Beacon Energy, has entered into an agreement to purchase substantially all of the operating assets of renewable energy firm Smithfield BioEnergy, an affiliate of Smithfield Foods, for an undisclosed price.
Metalico owns approximately 47% of Beacon’s outstanding stock with the remaining shares of Beacon held by private investors. Beacon was formerly known as AgriFuel Company.
The Smithfield BioEnergy assets principally consist of an operating biodiesel plant with a production capacity of 12 million gallons per year located in Cleburne, Texas, and associated equipment.
According to Metalico, the plant utilizes unique proprietary technology and specializes in the processing of animal fats and other secondary feedstocks. Beacon intends to retain all Smithfield BioEnergy personnel currently associated with the plant’s operations and business.
Carlos Aguero, chairman of both Beacon and Metalico, said: With the signing of this acquisition, we take a further step in Beacon’s development. We continue to explore a number of additional opportunities to invest in or outright acquire already constructed and operating biodiesel production facilities that meet our strategic objectives.