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TruStar Energy Announces Fuel Supply Agreement with Argos USA

HOUSTON, March 20, 2014 /PRNewswire/ -- TruStar Energy, a recognized leader in providing compressed natural gas (CNG) solutions is excited to announce a contract award for the delivery of CNG to Argos USA, one of the largest cement and concrete manufacturer and supplier in the United States, for fueling stations in two concrete plant locations in Houston and Dallas, Texas.

TruStar Energy logo.

Argos USA, with headquarters in Alpharetta, Georgia, is part of Cementos Argos S.A., a multinational corporation based in Colombia. Argos USA employs over 3,000 people and has over 300 concrete plants, three cement plants, three grinding stations and 12 cement terminals located throughout the southeast United States.

"For Argos, this is our first entry into CNG powered concrete mixers worldwide, and with our 'hub and spoke' fleet business model, we think it makes perfect sense," said Argos USA Sourcing Manager, Daryl Mizell.

Mizell went on to say that Argos would be piloting 40 new Peterbilt® CNG-powered mixers distributed between the two ready mix plants. The first station is slated for an early May 2014 startup date. 

The stations will be powered by TruStar Energy PFS Elite 225 system. The PFS Elite 225 is the newest entry into TruStar Energy's line of portable CNG fueling systems. The Elite Series features a common skid frame that will facilitate up to three compressors, allowing for redundancy, while maintaining energy efficiencies and the small footprint that has made the PFS attractive to many customers. Each PFS Elite will provide fuel for separate Argos USA ready mix locations – each supporting 20 CNG-powered concrete trucks.

"The PFS Elite 225 is designed to produce 100 diesel gallon equivalent (DGE) of fuel per hour – which makes the PFS perfect for their operation," said TruStar Energy Vice President, Scott Edelbach.

For TruStar Energy, 2014 has seen a large influx of interest in CNG and the PFS Elite 225.

"We're excited to see the ready mix concrete market segment embrace alternative fuel more aggressively – Argos USA is one of the companies leading others toward CNG-powered concrete mixers as opposed to traditional diesel power," said Edelbach. "Concrete trucks are a perfect application for CNG as they generally come back to their yard each night – and travel relatively short distances to deliver their payload. Often times, they are backed up to a concrete pump or pouring into a paving machine. With CNG-fueled mixers, a ready mix producer is burning CNG at roughly half the cost per gallon of diesel to do the same job."

According to Mizell, Argos is already looking at the purchase of another 40 CNG-powered mixer to expand their CNG footprint into two additional market areas.

"We're empowering our regional managers to look at their local Clean Air Coalition grants to see where we may have synergies," said Mizell, adding that possible locations included Atlanta, Charlotte, and Little Rock.

"Converting from diesel to CNG is a game changer for enhancing the profitability of transportation operations," said TruStar Energy President, Adam Comora. "Fuel savings from 30% to 50% create significant value for fleet operators and their partners. Natural gas is better for the environment, better for domestic energy independence and better for the bottom line – truly a win-win-win solution."

TruStar Energy has historically focused on constructing "behind the fence" private stations. Over the past few years it has built approximately 60 such stations in the United States. TruStar Energy has recently expanded out to build owned and public/private fueling stations like these for Argos.

TruStar Energy has the capability of building 40 CNG stations per year and expects to double that capacity over the next few years. The company's successful growth is being driven by being the preferred partner for companies desiring to convert their transportation fleets from diesel to CNG. Given the significant cost savings, "speed is of the essence" in order to capture these cost savings as quickly as possible.

TruStar Energy LLC is the preferred partner for commercial fleets looking to transition their fuel supply from oil to natural gas.  TruStar Energy provides a suite of solutions making the transition  simple and easy for the customer.  With station builds throughout the US and Canada, TruStar Energy is a recognized leader in providing CNG infrastructure and CNG fueling solutions.

Cementos Argos S.A. (OTCMKTS: CMTOY US and CMTRY US), member of the Dow Jones Sustainability Index, is a Colombia-based company engaged in the production of cement, aggregates and concrete products. The company operates cement and concrete production plants located throughout Colombia, Central America, the Caribbean and the United States. The Argos USA operation currently includes 307 ready mix plants, three cement plants, three grinding facility, and 12 cement terminals, located throughout Alabama, Arkansas, Georgia, Florida, Mississippi, North Carolina, South Carolina, Texas and Virginia. For more information, visit Argos.co or Argos-US.com.

For more information, contact Jeffry Swertfeger at 813-957-1846

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SOURCE TruStar Energy LLC

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