There is an increasing demand for alternative fuels that are environmentally friendly, especially because of the fact that crude petroleum reserves are depleting. Also, research on alternative fuels is essential for increased energy security. Biodiesel is a renewable, biodegradable, and nontoxic fuel. At present, biodiesel is primarily produced in batch reactors in which the required energy is provided by heating accompanied by mechanical mixing. Alternatively, ultrasonic processing is an effective way to attain required mixing while providing the necessary activation energy. It was found that, using ultrasonication, a biodiesel yield in excess of 99% can be achieved in remarkably short time duration in comparison with conventional batch reactor systems, which is the subject matter of the present research paper. The paper also contains valuable information regarding biodiesel production with this new system.