Summary of Client & Challenge They Faced

An independent energy producer expressed interest in investing in a target company’s biodiesel facility to produce ASTM D6751-compliant diesel from used cooking oil. Sized at 7.5 million gallons per year, the facility was undergoing instrumentation and automation upgrades to remove capacity restrictions. It was expected that output could be increased to 10 million gallons per year. A third party had been hired to provide upgraded equipment and engineering services, but the biodiesel facility ended relations with the third party for unspecified reasons.

LEC Partners (LEC) was asked to assist the energy producer in evaluating the target company’s existing engineering studies and packages, including the planned and ongoing retrofit, to provide an opinion as to the viability of the facility and its ability to meet go-forward capacity goals.

Our Approach to the Solution

LEC conducted a comprehensive review of process flow diagrams and related lists of equipment. Our team of experts completed on-site visits to assess processes and equipment, reviewed financial models, and retrofit modifications needed to reach capacity goals, and highlighted any red flags that could limit capacity growth.

Client Results & Benefits

After conducting the review, LEC provided a debriefing to the client sharing the results of the analysis over a series of weekly meetings tracking project developments. As a result, the energy producer was able to make a timely investment in the biodiesel plant and considered the due diligence of LEC to be highly valuable for making an informed decision.