New soybean biodiesel plant approved for the Illawarra

Australian company National Biodiesel has been granted development approval for a $243 million soybean processing and biodiesel production facility to be located in Port Kembla, creating over 1000 new jobs.

In an announcement at Port Kembla this week, Minister for Lands, the Hon Tony Kelly said, “The project is expected to generate $977 million in revenue and, in addition to the 235 new, permanent full-time jobs, will provide approximately 725 jobs in related industries and a further 500 jobs during construction of the facility. This is the first integrated soybean processing and biodiesel production facility in Australia and is a major boost to the Illawarra.”

National Biodiesel Chairman Edward Dutton said, “Ahead of the 288 million litres of annual production to be produced from the Port Kembla facility, we have commenced supplying Soybiodiesel in NSW and Queensland with strong demand already coming from mining, construction, agriculture and transport industries.

“Soy-based biodiesel contributes to reducing greenhouse emissions and hazardous particles in our air as they burn cleaner than petroleum fuels and, being made from soybeans, it is renewable and sustainable. Soybiodiesel is currently available across a number of locations, from the Illawarra, Sydney, Brisbane and as far north as Gladstone, Queensland.

“By using the 288 million litres of biodiesel produced, motorists will abate the emission of 750,000 tonnes of carbon dioxide-equivalent greenhouse gases, the same impact as taking 187,000 cars off the road each year.

“The facility will produce over 850,000 tonnes of soybean meal, a key stockfeed ingredient for the poultry, pork, dairy, beef and aquaculture industries. Our operation will enhance the local supply of food by creating a source of Australian-made soybean protein meal, replacing imports from South America.

“The facility will process 1.1 million tonnes of soybeans in the first year, creating a consistent local demand that farmers can rely on year after year. Soybeans are an ideal biodiesel feedstock, after processing, 80% of the soybean goes into the human food chain as high-protein stockfeed with the remaining 20% manufactured into Soybiodiesel,” said Dutton.

The announcement has received strong support from government and industry. Minister for the Illawarra, the Hon David Campbell said, "The jobs created from the Port Kembla biodiesel production facility also demonstrate the Rees government’s commitment to reducing the impact of the global financial recession in the Illawarra."

Dr Colin Gellatly AO, Administrator of Wollongong City Council said, "We are delighted to welcome the National Biofuels Group to Wollongong. The development of this new facility at Port Kembla will provide jobs for the local community, make efficient use of existing infrastructure, promote farm production as well as providing a product that is environmentally sustainable."

Port Kembla Port Corporation Chairman Nicholas Whitlam said, “The construction of a new biodiesel facility at Port Kembla’s inner harbour will provide a major boost to not only the port, but the region as a whole. As well as providing significant employment opportunities - the facility will generate demand for locally produced oilseeds which will contribute to rural economic growth in the domestic market.”

Fuel users have also come out in strong support of National Biodiesel’s clean alternative to diesel. Centennial Coal Group Purchasing Manager Paul Kelly said: “Soybiodiesel is a product that is helping Centennial Coal to reduce our carbon footprint while also making good business sense.”

Mark Robson from Robson Civil Projects said: “By using 20% soy-based biodiesel in our diesel fuel we have reduced emissions by approximately 145 tonnes per month. We use B20 Soydiesel in all our road transport and earthmoving equipment with our operators noticing similar power and performance to that of petroleum diesel.”