TexCom, Inc, through its wholly owned subsidiary Biodiesel International, S.A. (BISA), a Paraguayan company, is currently implementing a plan to construct and operate an integrated oil seed crushing and biodiesel production facility on the Parana River, Itapua, Paraguay. BISA€s plan is to construct a facility with a production capacity of 205,000 metric tons per year of pure biodiesel (60MM gallons) and 773,000 metric tons per year of seed meal. The BISA plant will be a continuous operational design, engineered and constructed by a qualified engineering firm.

The facility will be located in the heart of South America’s soybean growing region. According to the Paraguayan Ministry of Agriculture, 72% of Paraguay’s annual 6.2MM metric tons of soybeans are grown within trucking distance of the plant site.

The facility will be accessible via the Parana River and roadway for the delivery of raw materials and shipment of finished product. The Parana River is navigable year round with access to the international ports of Rosario and Buenos Aires, Argentina.

Products produced will be seed oil, seed meal, biodiesel and glycerin. Products will be sold locally to the extent the market can absorb them and the surplus will be exported to the rest of the world. The plant may also be designed to include a fertilizer production process to fulfill an underserved market in Paraguay.

Paraguay imports all of its transportation fuel, 110,000 m3 per month. Of this, 90,000 m3 (730,000 bbl) is diesel. All transportation fuels as well as all its petroleum and natural gas based products are imported. Paraguay has no oil or natural gas production. According to the Touring Club of Asuncion, 80% of the vehicles in the country are diesel powered.

According to government mandates in Paraguay, all diesel must contain 1% biodiesel in 2007, increasing to 3% in 2008 and 5% in 2009. An objective of this project is to satisfy the Paraguayan mandates for biodiesel. Having met those objectives, alternative export markets will be the US, Europe, South America, India and China.