U.S. Development Group To Begin Construction of

Southern California Ethanol Handling and Distribution Terminal

August 24, 2009/HOUSTON/COLTON, Calif – U.S. Development Group LLC (USDG), an industry leader in ethanol handling and distribution terminals, announced today that it will begin construction on the West Colton Rail Terminal, a new ethanol hub located in the Inland Empire area of southern California.

Construction of the facility will occur in two phases. The first phase, located in Rialto, Calif., will consist of a manifold transfer system that will begin receiving and offloading ethanol railcars in the fall of 2009. The second phase includes full unit train capability and ethanol storage. It will be located on an adjacent site in Colton, Calif., and is scheduled for completion in mid 2010. The Phase 1 facility will have the capacity to handle the current Colton area demand for ethanol plus that required to meet the 2010 mandated increase to a 10% blend.

“Demand for ethanol in southern California continues to grow in order to meet the requirements of the State’s biofuels mandates,” said Larry Padfield, vice president of U.S. Development Group. “Our new facility will help meet this growing need for ethanol by greatly enhancing the distribution capability of ethanol in the region.”

The West Colton Rail Terminal will be served by the Union Pacific Railroad and will be located less than a mile from the gasoline blending terminals that serve the greater San Bernardino and Riverside County-Inland Empire region. The terminal will feature dedicated ethanol storage, 100 railcar high-speed offloading capability, and outbound truck and pipeline capabilities.

Ethanol is a renewable fuel blended into all gasoline consumed in the regional markets. Increased demand for ethanol has led to an increase in railcar shipments from Midwest ethanol production plants during the past year. The USDG terminal in Colton represents a key element of the supply chain to distribute this critical renewable commodity throughout the region.

USDG is an industry leader in ethanol handling and distribution terminals.  U.S. Development Group companies are engaged in rail logistics terminalling, as well as designing, developing, owning and managing large-scale ethanol rail logistic centers in the United States. In addition to their newest project in Colton, USDG has major ethanol hub facilities in Linden, New Jersey, Baltimore, Dallas and Houston.  

www.us-dev.com

Media Contact: Meg Martin at 405-397-6156 or Brent Gooden at 405-715-3232

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