Chevron, Bunge announce definitive agreements for joint venture
February 24, 2022
BY Chevron Corp.
Chevron U.S.A. Inc., a subsidiary of Chevron Corp., and Bunge North America Inc., a subsidiary of Bunge Ltd., on Feb. 22 announced the signing of definitive transaction agreements to create their previously announced joint venture. The new venture will create renewable feedstocks leveraging Bunge’s expertise in oilseed processing and farmer relationships and Chevron’s expertise in fuels manufacturing and marketing. The agreements are subject to customary closing conditions, including regulatory approval.
Bunge’s soybean processing plants in Destrehan, Louisiana and Cairo, Illinois will be contributed to the joint venture with Chevron contributing approximately $600 million in cash. Plans include approximately doubling the combined capacity of these facilities from 7,000 tons per day by the end of 2024. The joint venture may also explore opportunities in other renewable feedstocks, as well as in feedstock pretreatment.
Advertisement
“Partnering with Chevron, a global leader in energy, is a significant step forward in building the capability to make changes at scale to help reduce carbon in our own and our customers’ value chains,” said Greg Heckman, Bunge CEO. “I am confident that our shared networks, global footprint and expertise is the right partnership to build a successful long-term and low-cost enterprise that will help meet the demand for next generation, renewable fuels.”
Under the agreements, Bunge will operate the facilities; Chevron will have purchase rights for the oil to use as a renewable feedstock to manufacture transportation fuels with lower lifecycle carbon intensity.
Advertisement
“Chevron expects to create the capacity to produce 100,000 barrels per day of renewable diesel and sustainable aviation fuel by 2030,” said Mark Nelson, executive vice president of Downstream & Chemicals for Chevron. “By taking this first step in securing a predictable supply of renewable feedstocks in partnership with Bunge, we are positioning ourselves to meet that goal and supply our transportation customers with lower lifecycle carbon intensity fuels.”
Related Stories
In a rapidly evolving energy landscape, the 41st International Fuel Ethanol Workshop & Expo will return June 9–11 to the CHI Health Center in Omaha, Nebraska. The event is recognized as the largest and longest-running ethanol conference in the world.
The U.S. EPA on April 11 reported that 1.82 billion RINs were generated under the RFS in March, down from 1.93 billion generated during the same month of 2024. Approximately 5.34 billion RINs were generated during the first quarter of 2025.
The U.S. EPA on April 17 published updated SRE data showing that five new SRE petitions have been filed under the RFS during the past month. According to the agency, 161 SRE petitions are currently pending,
The Iowa Biodiesel Board and Iowa Soybean Association on April 11 issued a statement expressing deep appreciation to Gov. Kim Reynolds for her biofuels advocacy. Reynolds on April 11 announced that she will not seek another term.
Metro Ports on April 8 announced significant environmental milestone in its voluntary efforts to reduce greenhouse gas emissions. By switching to renewable diesel, the organization reduced its carbon emissions by 85%.
Upcoming Events
