Oklahoma Biodiesel Plant Files For Bankruptcy
Rising soybean prices and a lack of financing have led
to the bankruptcy of a biodiesel plant in Chelsea in northeastern
Oklahoma, the Daily Oklahoman reported. Green
Country Biodiesel LLC filed for liquidation in the Tulsa
bankruptcy court last week. It listed debts of almost $255,000
and assets of about $127,000. Green Country’s largest
unsecured creditor was agricultural giant Cargill Inc., which is
owed more than $128,000 for soy oil. The biodiesel plant
began operations in an industrial park in Chelsea in 2005. The
business was formed by David Allen and his partner, Scott
Williams. Allen bought out his partner for $25,000 in
September 2006. Attorney Scott McWilliams, said the
company had a cash-flow problem that led to the bankruptcy.
“Cargill cut them off, and they couldn’t get any more money,
so they just had to shut it down,” McWilliams said. “The
balance sheet wasn’t upside down, it was mainly just cash
flow, and nobody would lend them any more money on it.”
Green Country Biodiesel’s bankruptcy comes amid a period
of uncertainty for the emerging alternative fuels market.
Rising soybean prices and a lack of financing have led
to the bankruptcy of a biodiesel plant in Chelsea in northeastern
Oklahoma, the Daily Oklahoman reported. Green
Country Biodiesel LLC filed for liquidation in the Tulsa
bankruptcy court last week. It listed debts of almost $255,000
and assets of about $127,000. Green Country’s largest
unsecured creditor was agricultural giant Cargill Inc., which is
owed more than $128,000 for soy oil. The biodiesel plant
began operations in an industrial park in Chelsea in 2005. The
business was formed by David Allen and his partner, Scott
Williams. Allen bought out his partner for $25,000 in
September 2006. Attorney Scott McWilliams, said the
company had a cash-flow problem that led to the bankruptcy.
“Cargill cut them off, and they couldn’t get any more money,
so they just had to shut it down,” McWilliams said. “The
balance sheet wasn’t upside down, it was mainly just cash
flow, and nobody would lend them any more money on it.”
Green Country Biodiesel’s bankruptcy comes amid a period
of uncertainty for the emerging alternative fuels market.
