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The environmentally sustainable production of biodiesel is important for providing both a renewable alternative transportation fuel as well as a fuel for power generation using diesel engines. This research evaluates the use of inexpensive catalysts derived from waste materials for converting triglycerides in seed oils into biodiesel composed of fatty acid methyl esters. The performance of CaO catalysts derived from the shells of oysters, mussels, lobsters, and chicken eggs was investigated. The shell-derived powders were calcined with and without the addition of zinc nitrate at 700–1000 °C for 4 h to yield CaO whereas the CaO-ZnO mixed catalyst were prepared by wet impregnation followed by calcination at 700 °C. The catalysts were characterized by XRF, XRD, TGA, SEM, FTIR and GC-MS. The CaO-ZnO catalysts showed slightly better conversion efficiency compared to CaO catalysts for the transesterification of canola oil. The mixed CaO-ZnO catalysts derived mainly from oyster shells showed the highest catalytic activity with >90% biodiesel yield at a 9:1 methanol-to-oil mole ratio within 10 min of ultrasonication. The reduction of toxicant emission from the generator is 43% and 60% for SO2, 11% and 26% for CO, were observed for the biodiesel blending levels of B20 and B40, respectively.