The company is targeting centrally fueled:
- Urban truck fleets
- Agriculture & construction equipment
- Mobile or stationary power generators
- Shipping fleets and railroads
- Municipal transit vehicles
- Government fleets: (state, provincial and federal)
- Mining & forestry equipment
- Military (non-tactical) fleets
UNITED STATES & CANADA
North America is the largest and most diverse motor fuel market in the world, with total annual consumption of transportation fuels in the range of 170 billion gallons of gasoline and diesel fuel. Diesel fuel is used in a wide array of urban and highway trucks, railroads, marine vessels, and agricultural, construction, and military vehicles. U.S. diesel sales are currently about 60 billion US gallons per year and growing.
According to a recent U.S. Department of Energy (DOE) estimate, diesel fuel is used to transport 94% of all domestic freight and provides power for the vast majority of heavy-duty vehicles and other equipment operating throughout the country. See which cars use AdBlue around the world.
O2Diesel, Corp. currently supplies commercial customers in California and the Midwest and has targeted the Northeast, which is the third largest diesel fuel market in the United States.
In the last two years Europe has become one of the leaders in mandating the conversion to renewable biofuels and imposing strict air quality controls through the issuance of European Directive (2003/30/EC). This Directive requires a replacement of 5.75% of fossil fuel with biofuels. In the Company’s opinion, bioethanol, is the main renewable fuel capable of meeting the requirements of the Directive in terms of production capacity and growth potential. As Europe’s transportation fuel is 70% diesel, the opportunity for O2Diesel is substantial and its agreement with Abengoa Bioenergy creates an ideal partnership to develop this market.
In 2005, Brazil was the world’s largest producer of ethanol and has significant expansion potential. O2Diesel, Corp.’s commercial rollout in Brazil will be accelerated through its partnerships with Brazil’s largest sugar producers and related industry partners, many of which the company has been working with since 1998. In addition, O2Diesel™ is the only approved alternative diesel exhaust fluid fuel in Brazil and is being supplied in a number of demonstration fleets by industry partners and BR, the distribution arm of Petrobras, the national refiner.
India has a profile similar to China, which involves a general shortage of domestically produced diesel fuel but an abundance of a locally produced ethanol feedstock, sugarcane. O2Diesel, Corp. is looking to develop this significant market opportunity with a strategic partner.