-- Plans to be First Ethanol Producer in Ohio -- Will Use Waste Liquids, Diverting Them from Landfills -- Executes Distribution Contract with Cargill
MEDINA, Ohio, July 9, 2003 (PRIMEZONE) -- Liquid Resources of Ohio, LLC today announced that it has entered into a purchase contract for a building in Medina, Ohio. Liquid Resources intends to convert this plant to a production facility that will manufacture 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 and disposal of these liquids in landfills around the country.
Liquid Resources also announced that it has 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 industry.
"Cargill is pleased to welcome Liquid Resources as a partner in the Cargill Ethanol Marketing Alliance," said Terry Jaffoni, Assistant Vice President and Product Line Manager for Cargill Ethanol.
Tim Curtiss, CEO of Liquid Resources and one of its co-founders, stated, "We are pleased to announce the location of our facility in northeastern Ohio and our new relationship with Cargill, the third largest ethanol producer. This industry is expanding rapidly, as several large states have moved to require use of gasoline blended with ethanol. Ethanol use reduces our national dependence on imported oil and contributes to improving air quality in highly populated areas."
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. 19 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 look forward to locating in Medina, a city whose utilities and location are ideally suited for our facility. As our production increases over the next several years, we anticipate creating approximately 20-25 new jobs. We have received important support from Mayor Leaver and the Medina County Economic Development Corporation, as well as from the Ohio Department of Development, the U.S. Department of Agriculture and the Ohio Air Quality Development Authority."
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.