Methes Energies International Ltd.
Methes Energies is a biodiesel technology company that creates and produces state-of the art, high-quality biodiesel processors and systems. Methes markets, sells, and services its processors and systems to a network of operators and end users throughout North America. The Company’s proprietary processors are flexible and can use a variety of virgin vegetable oils, used vegetable oil and rendered animal fat feedstock, allowing operators to take advantage of feedstock buying opportunities. Methes also markets and sells high-quality biodiesel fuel produced at its 1.3 MGY (5 MLY) showcase production facility in Mississauga, Ontario, as well as at its 13 MGY (50 MLY) facility in Sombra, Ontario, to customers in the U.S. and Canada.
Methes Energies’ broad range of expertise and solutions include all aspects of the engineering, manufacturing, production, logistic, marketing and distribution processes. Among other services, the company leverages its cutting-edge biodiesel processors, post-treatment systems, and other solutions to address real and specific biodiesel production challenges for medium and small-scale biodiesel producers and entrepreneurs seeking to produce their own fuel. Methes’ products, systems and solutions allow customers to capitalize on the growing demand for renewable energy, high energy prices, and the value of biodiesel as a practical and realistic long-term replacement for conventional diesel fuel.
In 2007 the company introduced the Denami 600, the industry’s first compact, full automated continuous flow biodiesel processor designed to run on a wide variety of feed stocks. This reliable, cost-effective and superior method of producing top-grade biodiesel exceeds current ASTM standards.
The company also sells feedstock to its network of biodiesel producers, sells their biodiesel production, and provides clients with proprietary software to operate and control their processors. Methes remotely monitors the quality and characteristics of its clients' production, upgrades and repairs their processors as necessary, and advises clients on adjusting their processes to use varying feedstock to improve the quality of their biodiesel.
As a competitive and highly respected revenue-generating player in the North American biodiesel sector, Methes Energies is fast building a network of biodiesel operators and facilities to capitalize on buying power and economies of scale. The North American demand for biodiesel is sizeable and the company is well positioned for global expansion throughout Europe, South America, Africa and Asia.
Key Investment Highlights
- Provides Best-in-Class Biodiesel Solutions to Renewable Energy Market
- Developer of Revolutionary, Superior Biodiesel Processors
- Capitalizing on Booming North American Biodiesel Market
- Positioned for Global Expansion to Meet Rising Demand
- Founded by Team of Technical and Financial Experts
Innovative, Distinct Methods to Produce ASTM-Quality Biodiesel Production
Methes Energies offers three distinct methods to become involved in the ASTM quality biodiesel production business. At the center of each solution is the Denami biodiesel processor.
- 1. "Pipe-to-Pipe" Solution – Ideal for individuals/corporations/municipalities with experience in the biodiesel/oil and gas industry, some of which may already be heavy diesel users. This solution provides for a Denami biodiesel processor, as well as an environmental checklist, lab equipment, in addition to an overseeing of the installation, commissioning, training, ongoing support and maintenance via an annual service agreement.
- 2. Turn-key "Production Line" Solution – Once a site has been selected and approved for the production and storage of biodiesel, Methes will work with customers to set up their location including: the environmental checklist, lab equipment, overseeing of the installation of storage tanks, pipes, truck loading facility and a Denami biodiesel processor. This solution is ideal for individuals/corporations with limited experience in the biodiesel production business, looking to jump-start production starting at 5M liters per year (1.3 MGY) of biodiesel.
- 3. Turn-Key "Facility" Solution - This option is a true turn-key solution. Once the customer decides where the plant will be located, Methes will deliver an operating biodiesel production facility. Starting with an existing building or selecting to build a new one, Methes will turn over the key to the customer’s completed project, once it is running and producing ASTM quality biodiesel. This is a great option for individuals/corporations looking for a "no hassle" solution.
Post Treat System
Methes is set to introduce a proprietary biodiesel post treatment system to vastly improve quality and salability of biodiesel products. This new post treatment system will deliver biodiesel that greatly exceeds ASTM standards. The resultant extremely high quality enhances salability of the finished product.
Providing Comprehensive Service Offerings to Drive Profitability
Methes’ team of consultants and strategic partners offer both consulting and operational services which cover every aspect and phase of a biodiesel project, as well as biodiesel production.
From plant design and management, Methes identifies the best expansion solution tailored to each customer’s current facility then determines and addresses additional equipment requirements such as a pre-treatment system.
The decisions made in the early stages of a biodiesel project have long-term impact. As an example, the reliability of a familiar team is paramount to ensure a successful and rewarding business. From the initial step of assessing a project, Methes is dedicated to verifying that its customers are on the right track, and, consequently, set up for success.
Biodiesel Sales and Purchases
Methes produces high-quality ASTM and EN biodiesel using its own technology and equipment. For that reason, the company’s biodiesel has already earned an excellent reputation for its quality and consistency among wholesalers. As evidence, Methes’ biodiesel is currently sold in the U.S. and Canada via a network of high-profiled biodiesel wholesalers.
The company utilizes both internal and external sales professionals to assist customers with biodiesel transactions, using its extensive knowledge and experience with the U.S. and Canadian markets, including government incentives, RINs, and any applicable tax to make customer transactions more efficient and effortless.
Distribution of the company’s biodiesel can be done via rail using its own fleet of over 35 rail cars and roadways anywhere across the U.S. and Canada, as well as shipments to Europe.
Toll and Off-Spec Biodiesel Production
With access to several multi-feedstock biodiesel facilities, Methes can provide tolling production agreement on a short or long-term basis. The company can also handle off-spec biodiesel, improve cold soak and cloud point properties.
Demand for Practical, Affordable, Scalable Energy Source at All-time High
The demand for energy is growing at an alarming rate, particularly in the United States and emerging economies such as China and India. As competition for resources intensifies, it is projected that international trade in fossil fuels will double by 2030. This does not take into account potential risk to dependable fuel supplies caused by abuse of market power, infrastructure security or regulatory uncertainty, especially as prices become unpredictable.
Rising greenhouse gas emissions threaten world climate and the stability of populations and economies. More than two-thirds of the world’s carbon dioxide emissions are the results of the way energy is produced and used. Energy choice plays a key role in meeting this challenge.
While solar, hydrogen, wind and other alternative energies have shown promise, the flexibility and abundance of biodiesel feedstock, ease of production and distribution, as well as its less toxic, clean burning traits make biodiesel the clear winner in the race for alternative fuels.
Biodiesel – the Sensible Alternative
Biodiesel is the most tested, proven, practical and economically sound alternative or supplement to conventional diesel fuel. It is a renewable, clean-burning, non-toxic fuel that can be manufactured from algae, vegetable oils, animal fats or recycled restaurant greases. It is safe, biodegradable and it reduces air pollutants - 100 percent biodiesel lowers carbon monoxide (CO) emissions by 44 percent, particulate matter by 40 percent and sulfate emissions by 100 percent.
Biodiesel can be used in diesel engines with no major modifications. It delivers similar torque, horsepower and miles per gallon as No. 2 diesel petroleum. Additionally, biodiesel-powered engines significantly improve lubricity, which can decrease maintenance costs and reduce engine wear without voiding manufacturer warranties.
Legislation Guarantees Biodiesel Demand Will Grow
The United States Energy Policy Act of 2005 includes the Renewable Fuels Standard, which was updated in 2007 to create RSF2. RSF2 increased the total volume of renewable fuel mandated to 36 billion gallons by 2022. Biodiesel is also mandated in several States across the U.S. and in most cases at levels much higher than mandated by RSF2 at the federal level. An increase of demand for biodiesel has also been seen around the world as more and more countries are implementing their own version of RFS2 to address climate change, dependence on foreign oil and to make better use of waste that can be converted into a useful fuel.
Canada also mandates the use of biodiesel. The Federal mandate currently stands at 2% and several provinces have set up mandates from 2% to 4%.
Methes Energies in 2004 was founded by experts with extensive technical and financial experience. The company was formed to capitalize on the growing demand for renewable energy, surging energy prices and the value of biodiesel fuel as a practical and realistic long term replacement for conventional diesel fuel.
Michel G. Laporte
Chairman and CEO
Michel Laporte joined the Methes Energies team as president of Methes Energies International Ltd. in July 2007 when it successfully acquired Methes Energies Canada Inc. Over the past six years, Laporte has been involved in every aspect of the business and has become a proficient player in the biodiesel industry.
Mr. Laporte possesses many years of experience in finance, marketing and management. From 1986 to 1992, he worked in Europe as a business finder and developer in the fields of mutual funds, life insurance, as well as private placements. Through his extensive experience, Laporte has become a knowledgeable leader in the domestic and international financial arenas, especially in the structuring of genuine global portfolios that include investment products in various currencies over several asset classes.
In 1992, Laporte co-founded an asset management company that specialized in managing assets around the world. More recently, Laporte acted as the president and CEO of a U.S. publicly traded company involved in the solar industry operating in China. For the past 12 years, Laporte has been living in Costa Rica from where he continues to travel extensively.
Laporte was an instructor with the Canadian Armed Forces. He started his military career in 1981 in Ontario, Canada, where he subsequently served in South Germany. Laporte studied civil engineering.
Edward (Ed) Stoltenberg
Chief Financial Officer
Edward (Ed) A. Stoltenberg has been a managing director of Phoenix Management Group LLC, an investment banking firm which provides financial services to middle market public and private companies, since 1999.
For the 25 years prior to joining Phoenix Management Group, Stoltenberg served as CFO for various publicly and privately owned companies. He also served as CFO of Naugles, Inc., a Mexican-American fast food chain headquartered in Southern California and was responsible for its successful initial public offering.
He has extensive international experience having lived and worked in Geneva, Switzerland, and London, England, and functioning as the CFO of Gucci Timepieces. He has been a director of Converted Organics Inc. since March 2007. He graduated from Ohio Wesleyan University in 1961 with a BA and completed a tour of active duty as an Officer in the U.S. Air Force.
Stoltenberg trained as a CPA with Arthur Andersen and Company, holds an MBA from the University of Michigan, and is a member of American Institute of Certified Public Accountants.
Vice President of Operations (Co-founder)
John Loewen is one of the reasons Methes exists today. His engineering R&D experience and talent for taking concept from idea to reality led to the development of the Methes compact biodiesel concept market release.
No stranger to developing new products, Loewen’s past work of developing and refining need-driven consumer products resulted in the development of a new category of products that went from total start up to $100 million in sales in eight years.
His eye for detail, quality, form and function plus his ability to integrate tested and proven technologies into market ready products has provided Methes with a practical and innovative product offering. Loewen’s expertise and vision will support Methes’ rapid expansion in the biodiesel market.
President of Methes Energies (Co-founder)
Nick Ng’s financial and entrepreneurial expertise provided a solid foundation for the formation of Methes. He has been directly involved in the formation and management of various successful business ventures with a focus on financial disciplines and market strategies. In particular, his experience in assembling cohesive operations, marketing and sales management teams within the financial industry adds a highly valued discipline to Methes.
Ng’s direct responsibilities include business development, sales, marketing and operations.
Vice President of Project Management
Mike Hallman brings more than 12 years of experience designing, building and installing process systems for the biopharmaceutical, healthcare and energy industries. Additionally, Hallman has been extensively involved with Methes over the last five years in the design, development and delivery of the Denami biodiesel processor systems.
For the past six years, Hallman was vice president of operations at Turnkey Modular System Inc. with responsibility of project delivery, engineering management, factory production, material management and quality control.
He has a proven track record for his success managing "speed to market" turnkey equipment installations for numerous clients, including Eli Lilly, Sanofi Pasteur, Pfizer, Procter & Gamble and Atomic Energy of Canada.
As vice president of project management, Hallman is responsible for the setup of Methes' biodiesel facility in Sombra, Ontario. Hallman will also be working directly with Methes' clients throughout North America to manage and set up their own biodiesel facility.