PetroSun BioFuels, a wholly owned subsidiary of PetroSun, has announced the formation of a joint venture entity with Optimum Biofuels to construct and operate a biodiesel refinery near Coolidge, Arizona, US. The new operation is named Coolidge Biorefinery. Both companies plan to participate in the construction and operation of the plant.
According to PetroSun, the biorefinery is sited next to a rail line that will give the company easy and affordable access to the rail system. Management has initiated the process of obtaining the authorizations required to install a private rail siding on the property, the company said.
The joint venture is currently awaiting a zoning use permit to be issued by the Pinal County Zoning Board. Engineering and building plans are underway with permitting and pre-construction operations to begin in March 2008.
The plant is engineered for an annual production rate of 30 million gallons. PetroSun said that the joint venture has configured the facility to produce double that capacity when the market demands such an expansion. PetroSun BioFuels will provide algal oil as the feedstock for the biorefinery.