Clean Fuel News

LCF Member in the News: REG Plans Expansion of Geismar Renewable Diesel Plant

Originally posted by Michael Bates | October 7, 2020 | NGT News | Original Article

Renewable Energy Group Inc. (REG), a company that specializes in transforming renewable resources into clean fuels, says it plans to undertake a capacity expansion of its Geismar, La., biorefinery, from its current 250 million gallons annually to 340 million gallons per year.

This announcement follows a thorough review and site selection process. Construction should begin in mid to late 2021, with a target mechanical completion date in late 2023.

“REG Geismar has proven to be a tremendous asset for our company and is a natural site for increasing production of our lower-carbon renewable diesel,” says Cynthia Warner, president and CEO of REG. “Louisiana and Ascension Parish have been great partners who encouraged us every step along the way as we developed our expansion plan. They truly understand the broad economic and environmental benefits that renewable fuels provide, and we look forward to our continued partnership with them as we undertake this project.”

REG expects the expansion will require approximately $825 million in capital investment and is committed to supporting jobs and economic development in the communities in which it operates. Louisiana Gov. John Bel Edwards expressed his support for this project, with the inclusion of an incentive package that contains comprehensive workforce support and tax incentives.

REG Geismar was the first renewable diesel plant built in the U.S. and was acquired by REG in 2014. REG made additional improvements to the plant, taking its initial 75 million gallon nameplate facility up to 90 million gallons per year.

Renewable diesel is a 100% renewable, drop-in fuel alternative to diesel fuel. Renewable diesel has seen strong demand particularly in regions focused on lowering carbon emissions in transportation fuels.

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