Allied Bio-Energies to develop 10 million gallon per year oil processing facility in Havre, Montana

Allied Bio-Energies LLC (ABE) (http://www.alliedbioenergies.com) of Havre, Montana
is pleased to announce 21 acres in Hill County have been acquired for the development
of an integrated and co-located 10 million gallon per year oil processing facility to
include seed crushing, protein meal, fuel and food grade oil production.

The site,
located approximately 6 miles west of Havre and just north of Fort Assiniboine was
chosen for its benefits including proximity to needed workforce, base stock supply and
MSU Northern testing facility.

MSU Northern’s bio energy testing facility will be utilized as every 10,000 gallons
of bio diesel will be tested for ASTM certification. This is also a critical component of
ABE’s intent to become a BQ-9000 certified producer of bio diesel http://www.bq-
9000.org/. According to CEO Scott Geda, “the beauty of this location is the partnership
between ABE, MSU Northern and its proximity to regionally grown feedstock. We plan
to produce a premier product and Northern provides the premier testing needed.

Its’ a
win win for our community and the state of Montana.” Greg Kegel, Dean of the College
of Technical Sciences at MSU Northern calls the plant an “economic engine” and goes
on to say that it will serve as a magnet to attract students to MSU Northern. “We really
need this plant to get off the ground.”

ABE will produce biodiesel from canola purchased from commodity contracts,
regional and local growers. Cenex Harvest States (CHS, Inc.), America’s largest farmer
owned cooperative, has signed a letter of intent with ABE to purchase all its canola
meal production.

The plant will employ 50 to 60 full time employees receiving above average
wages with full benefits by year 3 of operations. It is estimated that by that point the
facility will be generating $70 to $80 million in gross revenues. But, the economic
impact is far greater considering the increase in other related industries. “Ideally, our
plant would spark local feed lots, processors and a greater beef market as well as act
as a magnet for like industries.” said Geda. As for the fuel, that too will likely be sold
locally. “We are currently in negotiations with federal, state, local and private entities to
purchase our biodiesel production.”

Students will benefit from this plant as well with internship and education
opportunities. “Energy related jobs are a priority for our state and our nation, we will
provide much needed hands-on-training here on the Hi-Line. Instead of sending
students and workers out of state, we will keep them here, which is a benefit to this area
and the entire state of Montana.” Geda declared.
State and local contractors have been chosen to build the facility and ground
breaking is planned for this fall.

CONTACT: Scott Geda, 406-945-2566 / [email protected]

Rob Allen, 719-963-4330 / [email protected]