Ontario Biodiesel Plant to go to Highest Bidder

John Davis

glb-logoA Southern Ontario biodiesel plant is going on the auction block. This article from Canada’s Sun News says the $50-million Great Lakes Biodiesel (GLB) plant went receivership and will be sold to the highest bidder.

It’s the latest chapter in the rocky history of Great Lakes Biodiesel, which opened the production facility in Welland at the end of 2012 to convert canola and soybean oil into biodiesel.

Luxembourg-based investment company Heridge SARL launched the court case because it says it was only repaid half of a $20-million loan used to get GLB’s Welland plant off the ground.

Heridge has now submitted a bid to purchase all assets of GLB, including the Welland plant, which isn’t in operation but still employs 16 people.

The plant is being maintained so it can immediately go back into production once there’s a new owner.
“The plant itself, according to the folks I’ve spoken to across the industry, is state-of-the-art and is a very valuable asset,” Welland MP Malcolm Allen said.

Government officials say GLB was relying relying government money too much to make its business model work.

The article adds that Heridge could take over ownership and would plan to keep the plant running.

Biodiesel, International