MIDDLETOWN - Since a conspicuous groundbreaking last November, e-biofuels LLC has kept remarkably quiet.
Set back off Indiana 236 on the west side of Middletown, the plant is tucked behind a dollar store, an oil change business and a mechanic's garage. Aside from the tanker trucks and hay bales, the only signs indicating its presence read: "Private property, no trespassing."
But for its low profile, the alternative fuel producer has big plans.
In June, e-biofuels began production of biodiesel fuel with an annual capacity of 5 million gallons. Officials plan to increase that number to 25 million by fall.
"We will be adding more production equipment in order to get to 25 million gallons per year," said CEO Chad Ducey. "We chose to optimize the production system before expanding to more capacity."
Ducey and his brother, e-biofuels president Craig, brought their backgrounds in civil engineering and business to the company. Last November, they held a groundbreaking ceremony at the Middletown site that included scores of government officials, dignitaries and community members.
At the time, the company announced a projected start date of March 15, 2007.
"We are very excited about the initial quality tests on the biodiesel that we have already produced," Ducey said. "The tests have been well above industry standards. ... We spent a great deal of time to perfect the production technology and optimize our facility which took a little more time than we anticipated."
Both e-biofuels and Ultimate Ethanol LLC near Alexandria illustrate the current boom in the alternative fuels market. But Ducey said many observers confuse the two products.
Ethanol production involves the fermentation of corn mash to create alcohol that is mixed with gasoline.
The biodiesel process creates fuel from vegetable oil or animal fat. E-biofuels uses "choice white grease" - animal fat it purchases from Indiana Packers in Delphi and Tyson in Logansport - in a process called "transesterification," which separates glycerin and esters to create biodiesel. The product is then mixed in various blends with standard diesel fuel.
According to the U.S. Department of Energy, biodiesel is becoming America's fastest-growing alternative fuel. In 2005, 75 million gallons of biodiesel were produced versus 25 million gallons in 2004.
Marketing Manager Monica Carrigan said the company is in the process of increasing capacity five-fold.
"We have two systems being built," Carrigan said. "Each system is a 10 million gallon-per-year unit. We're hoping to have those finished by the end of October."
Carrigan said e-biofuels employs six full-time staff members and has worked through a staffing agency to create eight more positions. Ducey said the company will add "a few more" employees as production increases.
Walt Robbins lives across Indiana 236 from the plant and said e-biofuels has been a good neighbor.
"Their trucks miss my driveway, so that doesn't bother me," Robbins said, adding that 10 to 12 trucks pass through each day. "(The plant's) lights are on all night, that's the only reason I know they're there, but it doesn't bother me. They run 24 hours but there's no noise, no smell."
Robbins said e-biofuels dug into his front yard to access a sewer line, but repaired all damage. He moved to his residence in 1992 and said the lights from the newly constructed Dollar General store have been more of a nuisance than the biodiesel plant.
Back in November, e-biofuels said Henry County had brought the company a $40,000 grant to go along with a $10,000 grant of its own to finance infrastructure. Ducey said that money has disappeared, though his explanation was unclear.
"It was a miscommunication between Henry County, the town of Middletown, and e-biofuels," Ducey said. "That is all that I would like to say about this situation. I think the town will still benefit from this program."
E-biofuels has several customers throughout the Midwest, according to Ducey, with much of its biodiesel going to fueling terminals including the Countrymark Co-Op and Gas America.
"We look forward to growing our relationships with our suppliers and customers and supporting their businesses like no other biodiesel producer in the industry," said Brian Carmichael, e-biofuels COO and director of sales.