Benzinga | Aug 27, 2021 11:02AM EDT

L.B. Foster Subsidiary Chemtec Energy Services Provides Flow Metering Solutions For New Biomass-Based Diesel Plant; Terms Not Disclosed

Chemtec Energy Services, LLC. ("Chemtec"), a wholly owned subsidiary of L.B. Foster Company ("Company") announced that it has contracted with Howard Energy Partners ("HEP") to design and build five custody transfer metering skids for the delivery of various feedstocks and the transfer of clean burning, renewable diesel once the fuel is produced at a new facility in Port Arthur, Texas.



This new renewable diesel production plant is owned and operated by Diamond Green Diesel, LLC ("Diamond"), a joint venture between San Antonio, Texas-based Valero Energy Corp. and Irving, Texas-based Darling Ingredients, Inc. HEP is significantly expanding its Port Arthur, Texas terminal facility to support Diamond with logistics solutions through the construction of several pipelines, rail unloading/loading facilities, truck unloading facilities, tank storage, and a Panamax-class-capable deep-water dock.

The joint venture will produce renewable biomass-based diesel from recycled animal fats, used cooking oil, and fuel-grade corn oil. When fully operational, the plant will be capable of converting approximately 2.3 billion pounds of rendered and recycled material into more than 470 million gallons of renewable diesel per year, Diamond's website stated.

Chemtec has been custom building custody transfer metering skids for the traditional oil and gas industry for over 20 years. "We are excited to work with Howard Energy Partners to support the expansion of their Port Arthur, Texas terminal facility. As the demand for various types of renewable and sustainable fuels continues to grow, our business is well positioned to provide metering and additive injection systems for new facilities being built to support this growth," commented Bill Treacy, Senior Vice President for L.B. Foster's Infrastructure Solutions segment.