January 2004

Site Selected for Biodiesel Plant

Bakersfield, CA— American Biofuels L.L.C. (ABF) and Green Star Products Inc., (35% owner of ABF) announced their decision to locate their second continuous flow production biodiesel facility within the Greater Phoenix, Arizona area. The plant site includes a 9,000-square-foot building with a railroad spur adjacent to a covered loading dock with overhead doors. The infrastructure is large enough to easily handle the processing and production of 10-million to 15-million gallons per year.

Lease contracts have been signed subject to final approval with a “town hall hearing” that has been set by the Department of Economic Development where the local community can learn more about biodiesel and the proposed plant and how it may affect their community. Personnel from ABF and GSPI will present pictures, exhibits and information showing the completed Bakersfield Biodiesel Plant and what the community can expect from the anticipated completion of the proposed biodiesel plant.

Pending anticipated approval by the community and necessary permits to be in place, the building of the plant will commence before the end of this year. The 2.5-million gallon reactor, boiler and other peripheral equipment have been ordered along with other needed equipment.

The first phase of plant operation will be in completed in three to four months after the start of construction. The modularized plant design allows for this short blueprint-to-production time coupled with the quick assembly techniques used at the Bakersfield Plant site.