RICHMOND - Governor Timothy M. Kaine today announced that Argonaut BioFuels, a wood pellet manufacturer, will invest $16 million to begin operations in Louisa County. The company, which purchased an existing wood chip mill, will expand the plant to manufacture wood pellets for fuel, animal bedding and paper mills. The project will create 65 new jobs.

“It’s a pleasure to welcome Argonaut BioFuels to Virginia and Louisa County,” said Governor Kaine. “This environmentally-friendly company’s production of renewable resources will help reduce Virginia’s dependence on imported energy. The Commonwealth’s wood products industry continues to grow, and Argonaut will contribute greatly to its solid progress.”

Argonaut BioFuels, to be headquartered in Bumpass, Virginia, will take over operations of an existing wood chip mill, currently making wood chips for the pulp and paper industry. Once the new plant is completed in July 2008, the company will also manufacture wood pellets used for energy production and horse bedding.

“This investment will help establish Virginia as a leader in the biomass-to-energy market with this being the third largest facility in the country under construction,” said Scott Dixon, President and CEO, Argonaut BioFuels. “Argonaut is excited about the cooperation it is receiving from the Commonwealth as well as the county of Louisa, not only with this project as a whole, but also the assistance with rail infrastructure improvements and workforce training.”

The Virginia Economic Development Partnership, the Louisa County Department of Economic Development and the Thomas Jefferson Partnership assisted the company with its decision. Argonaut BioFuels is eligible to receive rail funds from the Virginia Department of Rail and Public Transportation. The Virginia Department of Business Assistance will provide training assistance through the Virginia Jobs Investment Program.

“We are very pleased to have Argonaut BioFuels locate their headquarters and manufacturing facility in Louisa County,” said Jack Wright, Chairman of the Board of Supervisors. “Argonaut BioFuels supports the Louisa County effort to attract industries utilizing rail and bring environment-friendly projects to our county.”

Press Contact(s)

Gordon Hickey
www.governor.virginia.gov
(804) 225-4260
Christie Miller
VEDP
(804) 545-5805
Scott Dixon Argonaut BioFuels, LLC