OH Company Builds Units to Convert NatGas to Diesel

Ohio company Velocys, located in Plain City, just outside Columbus, has just opened for business and the impact for both the Utica and Marcellus Shale region could be huge. The company makes machines (based on 1920s technology from Germany) that convert natural gas into diesel fuel. Right now diesel is about 6 times more expensive than an equivalent amount of natural gas. Liquefied natural gas (LNG) is starting to come on strong–witness UPS’ announcement last week to purchase 700 new tractor trailers that run on LNG (see UPS to Grow NG Fleet with Additional 700 LNG Tractor Trailers). That’s certainly one very necessary solution.

However, Velocys believes there’s a market to convert natural gas to diesel to feed the already existing market of millions of diesel engines on the roads today. And they’re right…

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