URBANDALE, Iowa - Today, investors, invited guests and media attended a ribbon cutting ceremony on a 30 million gallon biodiesel refinery in Newton, Iowa, which has begun production.

The primarily farmer-owned biodiesel plant will employ approximately 30 people from the area. The refinery will use mostly soybean oil and some animal fat to produce the biodiesel.

The biodiesel industry is extremely valuable to all Iowans. Not only will biodiesel production raise the price of soybeans by nearly 58 cents per bushel, but according to a recent study by the Iowa Soybean Association (ISA) and the National Biodiesel Board, soy biodiesel will bring more than $1.3 billion in additional income to the state of Iowa by the year 2010. Soy biodiesel production will also create 15,000 new jobs and $141 million of tax revenue in Iowa.

“Today is a big day for Iowa,” says Ray Gaesser, ISA president. “This is great for all soybean producers and also a great opportunity for the Newton community. The state of Iowa continues to remain a leader in the quest to become energy independent.”

The Newton refinery brings the number of biodiesel plants to 14. Eleven are currently producing biodiesel and three more are under construction. Within the next 12-18 months Iowa’s total biodiesel production capacity will be at nearly 320 million gallons of biodiesel per year.

“Today marks an important milestone for the biodiesel industry in the U.S.,” says Grant Kimberley, ISA director of market development. “Iowa is leading the way to meet the growing demand for biodiesel. Iowa is really playing an important part in making the nation energy independent.”

Biodiesel use is rapidly growing across the United States, according to the U.S. Department of Energy. More than 600 fleets use biodiesel, including the U.S. Military, NASA, Yellowstone National Park, local governments and hundreds of school districts.