Feedstock represents 65-80% of biodiesel production costs; as a result it is imperative that Pure Biofuels acquires raw materials at a reasonable cost in order to remain competitive.

Other components, usually alcohol and catalysts, represent about 4% to 6% of production costs.

Controlling the supply of feedstock is essential to Pure’s long-term growth strategy as it provides the company with the flexibility necessary to quickly respond to changing market conditions. Owning its own plantations will allow Pure to avoid detrimental fluctuations in international commodity prices and secure a long-term and steady supply of feedstock at a very competitive cost. Pure plans to develop projects that will allow it to supply its refinery with its own feedstock.