Renewable Energy buys second part of refinery - KNOE 8 News; KNOE-TV; |

Renewable Energy buys second part of refinery

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GEISMAR, La. (KNOE 8 News/AP) - Iowa-based Renewable Energy Group Inc. will buy Tyson Foods Inc.'s half of Dynamic Fuels LLC, a Geismar biofuels plant that makes diesel from animal fat.

Renewable will pay Tyson $18 million in cash and up to $35 million, with those payments tied to production over 11.5 years. Renewable will also pay Tyson $12 million that Dynamic Fuels owes to the food-processing giant.

The Geismar facility began as a $160 million joint venture between Tyson and Syntroleum Corp.

However, the plant has not operated since late 2012, when it shut down for a turnaround. But Syntroleum was reluctant to invest the $10 million needed to restart the facility. In January, Renewable announced it would acquire Syntroleum's half of the Geismar facility in a stock deal valued at $40 million.

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