OAK RIDGE NORTH, Texas -- Biofuels Power Corp. has begun producing and selling electricity into the ERCOT Power Grid from its biodiesel-powered generating plant in Oak Ridge North, Texas.

The Oak Ridge North facility is the first power plant in the country to run entirely on biodiesel, a renewable carbon neutral fuel produced from vegetable oil and animal fat. Biofuels Power plans to build a series of biodiesel powered electric generating plants to serve residential and industrial customers in the Houston Metropolitan area.

The Oak Ridge North facility has a capacity of up to 5 Megawatts and uses three diesel powered Caterpillar generators that run exclusively on biodiesel fuel produced by the Safe Renewables refinery located within two miles of the power plant.

Safe Renewables Corp. is emerging as one of the leading biodiesel producers and marketers in North America. Currently supplying biodiesel fuel to meet power generation and transportation requirements, SRC produces biodiesel from renewable sources including soy, cottonseed, canola oil and animal fats.

Ken Crimmins, COO of Biofuels Power, said, "We believe the new Oak Ridge North plant will be a showcase installation for environmentally conscious companies that want to reduce their air pollution footprint by satisfying their electricity needs with carbon neutral and 100-percent renewable fuels. We are proud that the Oak Ridge North facility is one of the cleanest generating facilities in the country. We also believe this first important step in urban renewable power can reduce America's dependence on foreign oil while significantly benefiting our domestic agricultural economy."

Jeffrey Kissell, Safe Renewables' president and CEO, said, "We are very pleased to have the opportunity to provide biodiesel fuel for this landmark power generation project - a first for Texas and a first for the nation. We commend all the participants for their forward-looking alternative energy leadership."

Texoga BioFuels Ltd., a partnership financed through M1 Energy of Chicago, provided funding for the Oak Ridge North project. The principal investors are active commodity traders with the Chicago Board of Trade.

Jay Pierce, president of M1, said, "Those of us trading in the nation's largest commodities market are conscious of the need for renewable fuels derived from agricultural products. We are pleased to be at the forefront of this new industry. It's the right thing to do."

Biofuels Power is now constructing a larger turbine-based biodiesel power plant at the Safe Renewables' refinery site. The second facility is expected to deliver over 10 Megawatts into the Entergy power grid that delivers electricity to customers in East Texas and Louisiana. Renewable power projects such as these can ultimately provide "islands of power," protecting areas from blackouts.

The City of Oak Ridge North is located about twenty miles north of Houston, Texas, and has been encouraging the development of renewable energy. Mayor Fred O'Connor commented, "This biodiesel project will provide a stable, low emissions power source for up to eighty percent of the homes in our city. This becomes a model for the United States to encourage renewable energy one town at a time."

SOURCE: Biofuels Power Corporation via Business Wire.