Biodiesel Production Biodiesel Fuel produced from fats vegetable

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 emission Environmental Impact Biodiesel reduction B 20 reduction Sulfur Causes respiratory disease and contributes to acid rain 100% 20% Particulate matter Black soot and smoke exhaust 47% 10% Carcinogens Cancer causing materials 94% 19% Carbon Dioxide (CO 2) Primary greenhouse gas contributing to global warming 78% 16% VOCs Volatile organic compound, air pollutant 85% 17% Carbon Monoxide (CO) Toxic Gas 48% 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: 10 -20 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 $ Biodiesel Production Rail $$ Truck $$$$$ Rail $$ Biodiesel Consumption Truck $$$$$ Production facility will utilize existing rail and maritime terminals at Port Mayor’s Office of Economic and Workforce Development

Material Inputs and Outputs Inputs Quantity Characteristics Mitigating Environmental Impacts Fats, Oils, Grease 89% Food Product, possible odors Closed production process completely mitigates Methanol 10% “Wood Alcohol, ” flammable and evaporative Less flammable and evaporative than gasoline, closed production and vapor recovery are standard Catalyst 1% Caustics and neutralizers, not flammable or evaporative Standard containment for spill prevention Outputs Quantity Characteristics Environmental Quality Biodiesel 89% Clean, organic fuel Biodegradable, non-toxic Glycerin 10% Benign organic material used in soap Used to clean sewers Resins 1% Food matter filtered from oils Biodegradable, 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 Mayor’s Office of Economic and Workforce Development