Momentum does not intend to sell its biodiesel product to the end user. Instead, Momentum plans to market its product to companies and government organizations that will distribute the product to the end user. Nevertheless, Momentum does intend to employ a marketing strategy that involves direct contact with certain targeted groups of potential customers. These groups include city transit, county equipment, the military, school bus fleets, fuel distributors and other state and local fleets.
Momentum plans to take advantage of government programs, including the EPA’s Clean School Bus USA Program that is dedicated to ensuring cleaner school bus transportation. Momentum believes that the availability of government grants under this program will provide an incentive for a portion of the school districts in Texas to switch to biodiesel. Some school districts have utilized these government funds to experiment with biodiesel.
The Company’s coastal Texas location gives Momentum access to one of the largest ports in the world and one of the most strategic waterways in the United States. The Intercoastal Waterway provides Momentum a very cost effect channel to deliver feedstock to our plant and to deliver finished product into the U.S. diesel fuel supply chain. The Port of Houston gives us ready access to European and other developing non U.S. marketplaces.
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