Houston-based energy company Kinder Morgan says it will spend $100 million to expand its biodiesel terminals in Houston, New Orleans, and New York City. According to a press release posted on the Kinder Morgan web site, Green Earth Fuels will build biodiesel production facilities at several Kinder Morgan terminals and already has underway an 86 million gallon facility in Houston expected to open this summer.
“Expanding our facilities to store and transfer biodiesel will benefit producers and help meet the country’s growing demand for additional energy resources,” said KMP Terminals President Jeff Armstrong. Upon completion, these expansions are expected to be immediately accretive to distribution available to KMP unitholders.
The facilities will be integrated into the petroleum infrastructure already in those areas.
KMP is already a major player in the ethanol market handling about 1.5 billion gallons of ethanol… or about 30% of U.S. market… each year.