Friday Edition

01.30.09

NORTH AMERICA

Crude oil rose in New York, Friday, after a government report showed the US economy contracted less than forecast in the fourth quarter, signaling stronger fuel demand. Oil has fallen 71% from a July 11th.

On Wednesday, the five Disneyland Railroad trains that circle a one-mile perimeter of the park began running on biodiesel made with used cooking oil from the resort’s restaurants and hotels.

In Keene, NH, the Monadnock Biodiesel Collaborative, including Batchelder Biodiesel Refineries LLC, Keene State College and the city of Keene, will construct a biodiesel plant and college-run labs. The biodiesel will be used for college and city transportation and for local home heating.

According to the Oregon Department of Agriculture and Oregon Department of Energy the 2% renewable fuel standard for biodiesel could take effect by September 2009 when in-state biodiesel production reaches five million gallons per year.

Panama City, FL will soon process used cooking oil for biodiesel to fuel the city’s fleet of vehicles. The Panama City Recycling and Green initiative will provide collection containers and drop off points where residents can take there used cooking oil.

US Air Force officials are planning to acquire more than 300,000 gallons of biofuels under an effort to certify the fuel for use in a 50-50 mix with jet kerosene by 2013.

In Alberta, Canada, the City of Calgary's entire fleet of trucks and buses may soon be fueled by biodiesel produced from Alberta beef tallow.

SOUTH AMERICA

Corn and soybeans headed for a weekly loss amid speculation that rain will revive crops hurt by dry weather in Argentina and Brazil. Some Argentine fields may get as much as one inch of rain from two storms in the next week, Bloomberg reports.

EUROPE

In a statement made on Wednesday, the UK government lowered the obligation level for its RTFO for 2009/10 to 3.25% down from the original 3.75% target.

ASIA / PACIFIC

Indonesia's government is planning to pay a subsidy to biofuel producers starting this year to encourage them to remain in the business and promote widespread use of the alternative energy source, Reuters reports.

Mumbai-based Mission Biofuel India Ltd. has proposed the first biodiesel plant in Orissa in a presentation to the government on Thursday. The company plans to use jatropha as feedstock for the plant.

On Friday, Japan Airlines conducted a successful demonstration flight using a blend of 50% biofuel and 50% traditional jet fuel in one engine.

Palm oil futures posted a third weekly decline on concern the global economic recession will reduce demand and purchases may slow after the Chinese Lunar New Year holidays, Bloomberg reports.

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