More Info on ARG Grant

American Refining Group LLC in McKean County has been awarded a $609,422 state grant to reduce energy costs and promote alternative and clean energy production,

Senator Joe Scarnati said the grant was awarded through the Commonwealth Financing Authority, which administers the state’s $650 million Alternative Energy Investment Fund.

“American Refining Group is extremely pleased to be the recipient of this CFA grant. We are faced with many large expenditures to comply with both state and federal mandates for biofuels and emissions controls,” said Harvey L. Golubock, President & COO of American Refining Group, Inc. “We are particularly appreciative of Senator Scarnati’s understanding of our plight and of his assistance in receiving these funds. It would not have happened without the Senator’s personal intervention on our behalf.”

American Refining Group LLC will use the grant to build and install two above-ground biofuels storage tanks in Bradford -- one 65,800-gallon biodiesel tank and a 237,930-gallon ethanol tank. The total project cost is $1.5 million – with American Refining providing $914,035 in matching funds.

“ARG-Bradford Refinery is the oldest operating refinery site in the United States and possibly the world, with operations beginning in 1881,” Scarnati said. “I’m pleased that we are helping this long-standing and important company stay on the cutting edge when it comes to energy use.”

Scarnati said $467,262 will be used for general construction, infrastructure, site preparation and new equipment; $60,000 for excavation, purchase of pipe and labor; and $213,818 for machinery and equipment

Work will begin May 2010, with all aspects of the project complete by November 2010. The project is expected to create eight temporary full-time construction jobs, three temporary full-time electronic and technical positions, one permanent full-time specialized tracking and recording of biodiesel fuels position and ultimately will result in the hiring of two to three permanent full-time positions in the industry.

ARG plans on blending 400,000 gallons of biodiesel into diesel blends. The blending of 2.7 M gallons of ethanol annually will result in 22 permanent full time transportation, maintenance, repair, marketing and sales jobs.

“Energy conservation not only helps to save money, but protects our environment and makes us more energy independent,” Scarnati said. “Investing in energy conservation and clean energy resources is an investment in our environment and our future.”

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