MEDINA, Ohio , August 26, 2003 (PRIMEZONE) -- Liquid Resources of Ohio, LLC today announced it has been selected to receive a $500,000 grant from the United States Department of Agriculture. This grant was awarded as a part of a $21.2 million federal program to support investment in projects that promote energy efficiency and use of renewable energy resources.
Tim Curtiss, CEO and co-founder of Liquid Resources, stated, "We are grateful for the strong support we have received from the USDA, and we congratulate the other recipients of these grants. This program demonstrates the federal government's commitment to expanding usage of alternative energy sources such as ethanol. Ethanol reduces our national dependence on imported oil and contributes to improving air quality in highly populated areas."
Liquid Resources is developing a facility in Medina, Ohio that will produce ethanol, an environmentally friendly fuel additive that reduces air pollution from automobiles. At this facility, the company will collect waste liquids for conversion into ethanol from suppliers in a variety of industries, eliminating the need for treatment of these liquids in landfills around the country. In July 2003, Liquid Resources announced that it had executed a distribution contract with Cargill, Inc. Under this agreement, Cargill will distribute all of Liquid Resources' ethanol output. Cargill, the largest privately owned company in the United States, is a major supplier of ethanol to the oil refining industry.
Liquid Resources' founders launched the company in 2002 to enter two complementary markets: producing ethanol and providing destruction services for waste liquids from beverage and other manufacturers. At Liquid Resources' Medina facility, the company will receive shipments of waste liquids as case goods or in bulk. The production process will convert these liquids into fuel-grade ethanol. Byproducts of this process, which include aluminum, glass and plastic from bottles and cans, will be recycled, avoiding disposal in landfills.
Demand for ethanol in the United States has grown steadily over the last 20 years. Following passage of the Clean Air Act of 1990, the EPA mandated use of ethanol or MTBE (methyl tertiary butyl ether) in gasoline blends sold in high population density regions as a way to reduce air pollution. However, it has become known that MTBE is non-biodegradable and a suspected carcinogen that has contaminated a number of water supplies, including Lake Tahoe. Nineteen states have passed legislation prohibiting usage of MTBE, including California, New York and Connecticut, whose bans take effect at the end of 2003. A number of forecasters expect these three states' transitions to increase U.S. demand for ethanol by up to 60 percent over the next several years.
Mr. Curtiss added, "We were privileged to work with several dedicated public servants in the process of applying for this grant. In particular, we thank Senator George Voinovich and his staff for their support. James Cogan, of the USDA Columbus office, brought this program to our attention and has provided valuable assistance since we founded our company. Liquid Resources is a model for successful partnership between government and private enterprise that fosters economic development and job creation."
About Liquid Resources
Founded in 2002, Liquid Resources is addressing two national priorities: reducing oil imports and improving the environment. Liquid Resources will provide destruction services to consumer product and industrial companies, processing packaged and bulk liquids and recycling solid wastes such as aluminum, glass and plastic. By diverting these waste streams from disposal in landfills, we will provide important cost savings to our customers and contribute to extending the useful lives of landfills. Using proven technology, we will convert the liquids into ethanol, which is sold nationwide as a high-octane fuel that delivers improved vehicle performance while reducing particulate emissions and improving air quality. The market for ethanol is expanding rapidly, as 19 states have passed legislation banning the use of MTBE. Blending ethanol with gasoline reduces our national requirement for imported energy, as each gallon of ethanol displaces a gallon of gasoline refined from crude oil.
About Cargill
Cargill, Incorporated is an international marketer, processor and distributor of agricultural, food, financial and industrial products and services with 97,000 employees in 59 countries. The company provides distinctive customer solutions in supply chain management, food applications, and health and nutrition.