5/31/2002 (Asia Intelligence Wire) - A gas station selling bio-diesel,fuel famous for its environmentally- friendly nature, will debut as earlyas next month in Korea, the Ministry of Commerce, Industry and Energyannounced yesterday.Bio-diesel is a combination of diesel fuel (20 percent) and an alternativefuel (80 percent) produced from the reaction between natural vegetableproducts ingredients like rice, vegetable oil, soybean oil and alcohol.The ministry passed a bill on May 25 allowing the testing of bio- diesel(BD20) fuel. According to the bill, a district can be designated as a testregion at the request of the Minister of Environment and the heads of acity.The testing will begin in the landfill areas within the metropolitandistricts with the fuel used for cleaning and garbage disposal vehicles.The initial testing period is through May 24, 2004.The first company to request a permit to sell the alternative fuel was LGCaltex and the ministry is currently evaluating the firm's proposal, itsaid. If permitted, LG will set up the bio-diesel gas station inDanha-dong in Incheon city."A bio-diesel gas station must be equipped with a specifically designedstorage tank and gas pump. We haven't yet decided on the price of BD20,but it will be cheaper than the regular diesel fuel,"a ministry officialsaid.

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