Chevron mulls pull-out from funding expansion of Texas biodiesel plant

In Texas, Chevron has indicated that it may pull out of funding expansion of a biodiesel project in Galveston. The Standard Renewable Energy plant is operated by BioSelect Fuels.

Rising soybean prices shuttered two Texas biodiesel plants recently, continuing a trend which has affected at least ten biodiesel plants worldwide.

In Illinois, construction was halted at the North Prairie Productions biodiesel plant owing to high soybean oil prices. The company is planning a strategic review before potentially resuming construction efforts.

The Freedom Fuels biodiesel plant in Mason City  shut down production due to the high cost of soybean oil. The plant has a capacity of 30 Mgy of biodiesel, and hopes to resume production in November. Four people were laid off from their jobs as a result of the shut down.  Grainnet.com reported last month on two plant shutdowns in Pennsylvania, where state production has dropped to 5% of capacity.

In Australia, all biodiesel production activity has halted, and major German producers are slowing or closing die to high feedstock prices and the impact of US biodiesel exports, which receive a state subsidy, on European prices.

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