TORONTO: W2 Energy has signed a letter of intent to purchase 60% of biodiesel producer Agri-Green Biodiesel Inc. (AGB) in Sparwood, BC for 3,000,000 restricted shares.
W2 Energy, a clean tech company based in Carson City Nev., designs mass-to-energy plants that convert biofeedstock into syngas using its patented low temperature non-thermal plasma-based reactor technology.
W2 Energy says AGB’s three divisions, which generated sales of $655,000 in 2009, match with its development strategy: collecting feedstocks, such as waste vegetable oil, converting it into biodiesel and selling it through wholesale and retail outlets.
The current AGB facility has an annual capacity of 1-million gallons per year and W2 will use its NT Plasmatron technology to convert waste from the biodiesel production (glycerin) into methanol and electricity.
W2 Energy says the purchase of methanol is one of the main costs of creating biodiesel. Its NT Plasmatron will reduce biodiesel production costs at the Sparwood plant.