Dynamic Fuels LLC plans to build a refinery in Geismar, La., to produce renewable diesel and jet fuel.

Tyson Foods Inc., of Springdale, Ark., and Syntroleum Corp., of Tulsa, Okla., formed Dynamic Fuels in June with plans to produce synthetic diesel and jet fuel. The companies on Nov. 14 announced the selection of Geismar as the site for their $126 million refinery. It will employ 45 people with a payroll of about $4 million.

Tyson will supply animal fat and other agricultural byproducts to produce renewable fuels that are cleaner burning than fossil fuels. Syntroleum will contribute the proprietary technology and refining experience.

Louisiana Gov. Kathleen Blanco, who appeared with company officials at a news conference announcing the site selection, said the refinery would create high paying technical jobs for the region and provide other benefits.

"This decision will allow even more Louisiana agricultural byproducts to be converted into premium value-added products," the governor said.

The refinery is being built at the site of an existing plant operated by Lion Copolymer, a Louisiana-based rubber and chemical company.

"This site provides excellent people, infrastructure and utilities with an outstanding safety and environmental record," said Jeff Bigger, senior vice president of Syntroleum. "We look forward to working with Lion and expect that installing our plant within the existing complex will minimize cost while keeping Dynamic fuels on schedule for production in 2010."

Tyson Foods is a processor of poultry and beef, while Syntroleum is a technology commercialization company.

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