BOC has signed a ten-year agreement with Biofuels Corporation to supply nitrogen and compressed air to the company’s new plant at Seal Sands, Teesside, for the production of environmentally friendly bio diesel.

BOC is contracted to supply up to 26 tonnes of gaseous nitrogen a day to Biofuels from the nearby BOC plant at Teesport. Nitrogen is used as an important safety blanket in Biofuel’s chemical processes.

When fully commissioned the Biofuels site at Seal Sands will produce at least 250,000 tonnes of bio diesel a year, equivalent to 284 million litres, using renewable vegetable oil crops as the feedstock.

BOC managing director Nigel Hunton, said: “The agreement with Biofuels represents a significant investment for BOC, both in financial and human terms and we are proud to be associated with the future of alternative fuels in the UK.”

Biofuels Corporation finance director, Bob Green, added: “Biofuels is driving forward the development and production of bio diesel in the UK from our facility at Seal Sands, to which BOC has brought extensive knowledge and expertise.

Biodiesel is produced from vegetable oils and as an environmentally friendly product, could make a significant contribution towards reducing greenhouse gases and meeting Kyoto targets.