In the hunt for renewable source materials to make biofuels, researchers are leaving no stone unturned. Everything from green algae to switchgrass to
corn stalks is being studied for its potential as a commercially viable fuel.
Another potential source material is grease, which is what drove a recent deal made by a McKenna Long & Aldridge client.
American Proteins Inc. in Aug. sold three facilities in Georgia that collect used cooking oil from restaurants and turn it into yellow grease. The assets were acquired for an undisclosed price by Darling International Inc. of Irving, Texas.
While traditionally used for animal feed, yellow grease can also be used to make biofuels, said McKenna partner Jeremy Silverman. Consequently, the market for yellow grease has risen dramatically in the past year, he said.
Silverman was lead corporate counsel to American Proteins, along with associates Trey Wainwright, Doug Eingurt and Stacey Robinson. McKenna has been a legal advisor to American Proteins since 1982, Silverman said. Weil, Gotshal & Manges advised Darling.
American Proteins, of Cumming, is the largest U.S. processor of poultry by-products. Darling collects and recycles animal by-products and used cooking oil from restaurants, butchers and grocery stores and then re-sells tallow and meat, bone and blood meal. Darling also provides grease trap cleaning services.