In Texas, Seeking Alpha reports that Valero’s most recent Q2 earnings show that renewable diesel has surpassed refining and ethanol as the primary source of operating income. The other two segments suffered severe losses due to the impacts of the COVID-19 pandemic. The company expects renewable diesel margins to remain about $2 per gallon throughout […]
In Texas, the San Antonio Business Journal reports that the Supreme Court has refused to hear Valero’s spat with the Environmental Protection Agency where the oil company argues that blenders should have to bear some of the cost of blending biofuel under the Renewable Fuels Standard. Typically, the Supreme Court gives a reason for rejecting […]
In Texas, ICIS reports that Valero supports the request by four Republican and one Democratic governor from Louisiana, Texas, Oklahoma, Utah and Wyoming for the Environmental Protection Agency to issue blending waivers. The EPA has the power to issue waivers in emergencies, which the states believe the COVID-19 pandemic counts as one, but farm states […]
In Texas, ICIS reports that Valero said in an investor call that the company sees significant ethanol demand destruction due to COVID-19. Its own production is running at less than 50% production capacity with eight plants mothballed and six currently operating. Valero expects fuel demand to eventually return to normal with ethanol playing its role […]
In Texas, Valero said in an SEC 8-K filing that it has temporarily idled eight of its ethanol plants and reduced the amount of corn feedstock processed at its remaining six ethanol plants to address the decreased demand for ethanol. It said demand for renewable diesel is consistent with the demand for diesel as a […]
In Texas, ICIS reports that Valero has declared force majeure and as a result shuttered two of its ethanol plants in Albion, Nebraska, and Albert City, Iowa, a move that is said to roil the animal feed market with concern about the availability of DDGS. The company no longer has sufficient storage to handle more […]
By Bruce Comer, Founder and Managing Director, Ocean Park Special to The Digest Slowdown in North American biofuels Mergers and Acquisitions as thin margins and policy uncertainty hung over industry. Biofuels Merger and Acquisition (M&A) activity in North America was subdued in 2019. Only four operating biodiesel, ethanol and advanced biofuels plants were sold during […]
In Texas, Bloomberg reports that Valero has mothballed two of its ethanol plants just a year after buying them from Green Plains. The shutdown of the ethanol plant in Riga, Minnesota and the biorefinery in Bluffton, Indiana is on the back of market weakness provoked by demand destruction for biofuels by the Environmental Protection Agency’s […]
In Texas, the Houston Chronicle newspaper reports that high corn prices have squashed Valero’s Q2 ethanol operating profits to just $7 million, down 83% from last year’s $43 million. Contrary to its poor ethanol results, its renewable diesel results more than doubled to $77 million from $30 million last year as production doubled and sales […]
In Texas, Valero Energy Corporation announced that its Board of Directors approved a project to expand the Diamond Green Diesel plant in Norco, LA, to 675 million gallons per year renewable diesel production capacity. With low carbon mandates in North America and Europe projected to continue driving strong demand and premium pricing for renewable diesel, […]
