Fuel projects -- one ancient, one modern -- were approved for loans during the Feb. 18 meeting of the West Virginia Economic Development Authority. The loans will assist a firewood manufacturer in the Potomac Highlands and a biodiesel project in the Kanawha Valley.

An $800,000 loan will help family-owned Grant County Mulch Inc. purchase equipment for a $2.2 million expansion of its facility in Baker, according to Larry Berg, president. His wife, Janie, is vice president. Three daughters and a son-in-law also assist with the operations.

Founded in 1986, the company manufactures firewood bundles for national franchises, such as Kroger, Lowes and Home Depot. Other products are bulk and bagged mulch, wood chips, color-enhanced mulch, wood pellets, potting soil, pine nuggets, composted leaf humus and stone.

"We do heat treating, debarking and chipping," said Berg.

GCM has 103 employees working at facilities in Arthur, Baker and Hazelton in addition to Strasburg, Va., and Burtonsville, Md. With the new equipment, Berg expects to add 42 employees at the Baker site over three years.

The EDA also gave preliminary approval of a $5 million loan for a biodiesel project at Institute. Board members added stipulations of 10 percent equity and a letter of credit for Kanawha Biodiesel LLC.

A subsidiary of Illinois-based Emerald Biofuels, the company announced plans in 2007 to construct a $45 million facility in the Bayer CropScience Manufacturing Industrial Park that will produce fuel-grade biodiesel. Sixteen employees are projected at the Kanawha County site.

"We've been a victim of the financial crisis," said CFO Howard Jensen. "It's been very difficult to raise the necessary money, and that has delayed the project."

Jensen said the one-year construction project will begin once the funds have been secured. He noted that oil refining companies in the U.S. have been lined up to buy the product.

The company creates the alternative fuel when nonfood animal fats and algae and jatropha oils are mixed with methanol and a small amount of catalyst to create a reaction. Company information said biodiesel reduces toxic emissions and greenhouse gases when blended with No. 2 diesel.

Final approval was given for loan requests for projects in Huntington and Wheeling.

In Huntington, West Hills Development, LLC is receiving a $4.3 million loan to purchase a former Ames building which be leased to DirectTV as an inbound call center.

In Wheeling, TMT Real Estate received a loan of $247,500 to assist in the financing of the purchase of the former Hubco Bronze building to be leased to TK Innovation. The new tenant will have eight employees after three years.

Board members again approved Solid Waste Disposal Facilities Revenue Bonds not to exceed $86 million for an on-going scrubber project Ohio Power Company's John Amos Plant.

They also approved an $8.5 million tax-exempt industrial development bond allocation request by the City of Charleston's housing project at Washington Manor.

A $14 million renovation project is planned for the state's oldest and largest public housing project.