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    A New Player Emerges

    Earth Biofuels to develop retail service station chain that offers alternative fuels.

    DALLAS -- Earth Biofuels Inc. plans to begin acquiring and operating retail service stations through its majority-owned subsidiary, American Earth Fuels Co. (AEFC), created for the purpose of being the principal distribution channel for Earth Biofuels.

    Earth Biofuels, exclusive distributor for BioWillie biodiesel fuel, will distribute BioWillie and ethanol fuel to AEFC's retail stations, as required to meet the demands of AEFC's customers. AEFC plans to sell biodiesel and ethanol fuel products, as well as traditional petroleum fuel products, to consumers around the nation.

    "We believe that in many parts of the country, consumers are lacking the availability of fueling stations that carry renewable fuels, such as biodiesel and ethanol," said Dennis McLaughlin, chairman and CEO of Earth Biofuels Inc. "By setting up this subsidiary to specifically establish these retail service stations, we can create more visibility and options for those consumers who prefer cleaner, domestically produced alternative fuels for their vehicles."

    The initial officers of AEFC will be Thomas M. Davidson, chairman of the board; Joseph Wallace, chief executive officer; and Elizabeth Carroll, senior vice president and chief marketing officer. Additionally, NASCAR driver Rusty Wallace has agreed to provide consulting services and industry marketing guidance to the new entity as it develops partnerships and affiliations within the auto racing industry.

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