Tuesday, February 14, 2012

NS taps two for clean renewable diesel supply

Written by 

Norfolk Southern said Tuesday that two fuel suppliers, Dynamic Fuels, LLC and Mansfield Oil Co., have signed an agreement to supply renewable diesel to the Class I railroad.

NS said it has "primarily been using a 100% pure Dynamic Fuels renewable diesel at its Meridian, Miss., rail yard since early January." Dynamic Fuels, a 50/50 venture owned by Tyson Foods, Inc. and Syntroleum Corp., recently signed commercial off-take and strategic alliance agreements with Mansfield to market renewable diesel to fleet customers.

Dynamic Fuels produces next-generation renewable and synthetic fuels from animal fats and greases. The company's Geismar, La., plant produces renewable diesel as "drop in" fuel designed to replace up to 100% of petroleum diesel in a diesel engine without engine modification.

"Norfolk Southern is pleased to be the first fleet user of renewable diesel in the United States," said Gerhard Thelen, vice president operations planning and support. "Our locomotive engines are completely compatible with the pure renewable diesel provided by Dynamic Fuels and Mansfield. Together, they have provided seamless integration of renewable diesel supply into our Meridian, Miss., yard."

"This effort exemplifies Norfolk Southern's commitment to reducing carbon and other emissions, while further integrating sustainability throughout the operations of the company," Thelen added.

Said Ron Stinebaugh, senior vice president of Syntroleum Corp., "We look forward to working with Norfolk Southern to lower their emissions and increase the renewable content of the fuel they burn. Renewable diesel is a sustainable, ultra clean burning, high cetane fuel that reduces carbon emissions and significantly reduces particulates and NOx when combusted in existing diesel engines. Supplying a prestigious company like Norfolk Southern validates our belief that customers are looking for renewable options that increase sustainability and lower emissions without sacrificing fuel quality."

Added Doug Haugh, president of Mansfield Oil Co., "Mansfield and Norfolk Southern have had a strong relationship on the refined products side and we're excited to supply them with a next-generation fuel like renewable diesel. We believe Dynamic Fuels is a leader in renewable diesel production and our partnership affords us the opportunity to further diversify our portfolio of transportation fuels for our customers."