Darling and Valero recently announced that their 50/50 joint venture, Diamond Green Diesel (DGD), has received approval to begin construction of a renewable diesel production facility at the Valero refinery in Port Arthur, Texas, reports Hydrocarbon Engineering.
When combined with the increased capacity at a similar Norco, La., facility, DGD’s total annual production capacity is expected to be approximately 1.2 billion gallons of renewable diesel and 50 million gallons of renewable naphtha.
The new plant is expected to begin operations in the second half of 2023. The current estimated construction cost is $1.45 billion, to be split equally between the joint venture partners and funded from internal cash flows provided by DGD.
“We expect low-carbon fuel policies to continue to expand globally and drive demand for renewable fuels,” says Joe Gorder, Valero Chairman and CEO, “and to that end, we are applying our liquid fuels expertise to continue to expand our long-term competitive advantage in low-carbon transportation fuels with the expansion of DGD.” See the full story.
