Shawnee-based Van Eaton Ready Mix is ready to cash in on the fuel savings available from switching to compressed natural gas.
BY JAY F. MARKS jmarks@opubco.com Oklahoman 0 Published: August 19, 2011
SHAWNEE — Van Eaton Ready Mix is poised to spend about $3 million to convert its operations to compressed natural gas.
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Founder Mike Van Eaton came up with the idea, meant to cut down on the family-owned company's fuel costs while taking advantage of available tax credits.
CNG is cheaper than gasoline or diesel, with reduced emissions.
The company, which started in Holdenville in 1998, ordered 10 CNG-fueled concrete mixers this spring. The trucks, with dedicated CNG engines, are expected to be delivered this fall.
Van Eaton also plans to install CNG fueling stations at its Edmond and Norman plants.
Company officials called the switch an easy decision, especially given the abundance of natural gas in Oklahoma.
“It's great for the environment. It's great for Oklahoma. It's great for our fuel costs,” said Kely Van Eaton, one of the founder's two sons at the company. “It really was a no-brainer.”
Kely Van Eaton said the company intends to convert its entire 40-vehicle fleet to CNG over the next five years.
He said heavy trucks such as Van Eaton's concrete mixers need dedicated CNG engines since conversions don't offer as much power. Conversion kits may be sufficient for some other vehicles in the company's fleet.
The company is getting some logistical support from Chesapeake Energy Corp., an outspoken proponent of CNG as an alternative fuel.
“They've got a lot of engineering and supplier contacts,” Van Eaton said.
James Roller, Chesapeake's manager of corporate development, said the company was pleased to assist Van Eaton with its CNG project.
“We work with all fleets that are interested in moving towards natural gas in their operations and will work actively to develop infrastructure that meets the needs of the market, including heavy fuel users like Van Eaton,” Roller said.
“We will continue to develop the metro (Oklahoma City) market with our trusted partners and ensure convenience and accessibility for all public fueling users.”
Kely Van Eaton said the company's planned CNG fueling stations will not be open to the public, but its trucks will rely on public stations until the new stations are open.
He said each of Van Eaton's 10 new trucks is expected to save the company about $2,000 a month in fuel costs, plus reduced maintenance bills.
“They nearly pay for themselves,” Van Eaton said.
He said the company is working to secure financing for its fuel switch, with an eye toward having its CNG fueling stations built by early 2012.
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