'It still runs...' was pretty much our reaction today as we completed our first batch of biodiesel and tested it in a Ford F350 diesel truck. The three of us hope to sell the stuff soon.
We will be securing waste fryer oil from about 10 McDs (one of us is friends with the franchise owner), turning it into biodiesel, and then plan to blend and distribute the 20% bio/petrol diesel through our other partner who has a fuel distribution company. Since the waste fryer oil is free (currently they PAY to have it removed!), our projected COGS is about $.59-.79/gallon. The last hurdle is increasing our refining capacity, and then getting our diesel tested and certified for use and sale.
Waste oil reprocessing operations such as ours seem to be regional in scope. We know of one other about 3 hours away from us that processes several hundred gallons of waste oil per week. Once we really get started, i'll let you guys know how profitable it is, but right now our total investment is only about $40
55 gallon HDPE drums- free from a dairy supply place (udder wash containers)
15 gallon HDPE containers- free from the same place (H2SO4 containers)
Stainless steel filter screens- free scrap from a canning operation
You get the idea....
If you have an interest in this stuff, it's fairly easy to make, and if you can secure some cheap/free oil, you could save some serious cash.