Biodiesel Production Biodiesel: Fuel produced from fats, vegetable oils, and grease “Cross between a brewery and soap manufacturer” Mayor’s Office of Economic and Workforce Development

Environmental Benefits Emissions Reduction from Biodiesel vs. Diesel Diesel emissionEnvironmental ImpactBiodiesel reduction B20 reduction SulfurCauses respiratory disease and contributes to acid rain 100%20% Particulate matterBlack soot and smoke exhaust47%10% CarcinogensCancer causing materials94%19% Carbon Dioxide (CO2) Primary greenhouse gas contributing to global warming 78%16% VOCsVolatile organic compound, air pollutant 85%17% Carbon Monoxide (CO) Toxic Gas48%10% Source: EPA Mayor’s Office of Economic and Workforce Development

Business Summary Projected Jobs Produced:15-25 jobs –Local hiring potential; Enterprise Zone incentives Potential Feedstock from Existing/Proposed Port Uses: –Darling Delaware, Inc. tallow & rendering –SFPUC FOGs collection program (proposed) Production Scale: million gallons per year –Requires 2-5 acres of Port property –Secure fuel source for municipal fleet Implementation Schedule: –Requests for Qualifications/Proposals: Summer/Fall 2007 –Existing Port tenants may bid Rent to Port: –Long Term Ground Lease: Value of Industrial Land * Annual Return

Mayor’s Office of Economic and Workforce Development Maritime Connection Financial/Public Trust Benefit of Port Location Fats Oils Grease Feedstock Ship $ Rail $$ Truck $$$$$ Biodiesel Production Ship $ Rail $$ Truck $$$$$ Biodiesel Consumption Production facility will utilize existing rail and maritime terminals at Port

Mayor’s Office of Economic and Workforce Development Material Inputs and Outputs Inputs QuantityCharacteristicsMitigating Environmental Impacts Fats, Oils, Grease 89%Food Product, possible odorsClosed production process completely mitigates Methanol10%“Wood Alcohol,” flammable and evaporative Less flammable and evaporative than gasoline, closed production and vapor recovery are standard Catalyst1%Caustics and neutralizers, not flammable or evaporative Standard containment for spill prevention Outputs QuantityCharacteristicsEnvironmental Quality Biodiesel89%Clean, organic fuelBiodegradable, non-toxic Glycerin10%Benign organic material used in soap Used to clean sewers Resins1%Food matter filtered from oilsBiodegradable, compostable

Mayor’s Office of Economic and Workforce Development Addressing Environmental Impacts City will only proceed with project if highest environmental standards are financially feasible Hold company to strictest permitting standards RFP process will select company with a proven track record of community responsibility