Imperial Petroleum Signs Supply Agreement with Green Grease Solutions for Biodiesel Production

Imperial Petroleum has signed a Letter of Engagement with Green Grease Solutions for a two year supply of feedstock for its Indiana biodiesel operations. This biodiesel plant is operated by its subsidiary, e-Biofuels.

According to the agreement, through Augsburg Energy, a Commodity Trading Advisor, will be required to secure its gross margins for the produced biodiesel. The firm also offers hedging of any position and protects its clients from exposure in non-conventional energy commodities. The hedging of biodiesel that will be produced will begin during the duration of the supply contract.

Jeffery T. Wilson, the president of Imperial, was enthusiastic about the agreement with Green Grease. He was looking at a long standing relationship for the FeedStock supply for their biodiesel operations with Green Grease. He added that the agreement was proof of the fact that Green Grease was confident about the growth of Imperial Petroleum in the biodiesel sector and guaranteed mutual benefits for both the parties. He also mentioned that by bringing Augsburg Energy into the picture the risk was offset to an extent and their gross margins were protected from the exposure variables by the hedging strategy. Thereby, the produce and the revenue margins from the sale will also improve considerably.