REG Could Be Planning Illinois Biodiesel Plant Expansion

reg-logoBiodiesel behemoth Renewable Energy Group (REG) could be looking to expand one of its Illinois biodiesel plants. This article in the Champaign (IL) News-Gazette says REG is buying up lots around its Danville biodiesel plant, as well as asking city officials to vacate alleys and portions of streets around the facility and change the local zoning from residential to industrial. The city council last night unanimously reversed the city’s planning and zoning commission’s original denial of the request back in June.

“We don’t have a project plan that’s approved, but we do have thoughts to expand in the future, and we have thoughts of what we might want to do,” said Bruce Lutes, general manager of the Danville plant at 300 Anderson St., east of the city’s downtown. An approved plan, Lutes added, would be an approved capital project through REG, which has done some expansion at other plants.

“We have an idea of what we would like to do,” he said.

But Lutes would not disclose details about the company’s ideas for future expansion or whether an expansion would include a boost in biodiesel production. REG Danville currently has the capacity to produce 45 million gallons of biodiesel per year, and Lutes said the facility is close to that.

“We have some needs for this place, for space… We are very cramped… and sitting on a small footprint,” said Lutes, who added that the space needs are for additional storage, maintenance and office space. “And there could be other things, but we’re not at the point where we have any definite plans or a project.”

REG officials had characterized the earlier denial of the zoning change as “dumb.”

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