Gulf Hydrocarbon previously offered biodiesel out of the Hartford location, but shut down operations at the end of 2012 due to tough economic conditions.

“The blend economics inverted at the end of 2012, providing little incentive for our customers to integrate biodiesel in their distribution streams,” said Gulf Hydrocarbon President Jess Hewitt. “With the reinstatement of the [$1/gal biodiesel] tax credit, blend margins have improved dramatically, and we now feel there is a viable opportunity to offer biodiesel for blending,” he said.

“The biodiesel tanks at Hartford are heated and insulated and the loading system is automatic, allowing buyers to self-load and splash biodiesel over diesel fuel,” Hewitt continued. “Illinois offers a tax exemption for blends B11 and higher, and Gulf offers biodiesel at a far better price than pre-blended fuel available in the same area,” he added.

As Justin Heller, president of Akash Energy noted, “What we are offering the customer is flexibility to take biodiesel neat or in any blend of diesel fuel,  whether that is B11, B20 or higher. We can customize the supply contract to meet the customer’s needs. By offering the flexibility of providing fuel with or without RINs, we simplify the process of integrating biodiesel for non-obligated parties. Customers who choose to take RINs can use the gallons towards their RFS obligation, while improving margins on wet gallons,” he added.

Meanwhile, Targray Industries will be the exclusive supplier of biodiesel to the Gulf Hydrocarbon-Akash joint venture at Hartford.