SOURCE: Google Maps
January 20, 2025
BY Erin Voegele
Federated Co-operatives Ltd. on Jan. 17 announced it has shelved plans for a 15,000-barrel-per-day renewable diesel plant proposed for development in Regina, Saskatchewan. Plans for an adjacent canola crush facility are also being paused.
Plans for the renewable diesel project have been underway for several years. FCL secured a land option for the plant in late 2021. The following year, FCL announced plans to develop an Integrated Agriculture Complex that would also include a $360 million canola crush facility that was under development via a joint venture (JV) partnership between FCL and AGT Food and Ingredients Inc.
The canola crush facility would have supplied approximately 50% of the feedstock required to operate the 15,000-barrel-per-day renewable diesel facility. The plant was originally scheduled to begin operations in 2027.
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FCL cited regulatory and political uncertainty, potential shifts in low-carbon public policy, and escalating costs as reasons for shelving plans for the project.
“The decision to press pause on these two projects is not one we took lightly,” said Heather Ryan, FCL CEO. “When making this decision, we undertook a robust due-diligence process, that carefully considered our best pathway to meet compliance obligations, while ensuring investments are appropriate, provide value and benefit to the Co-operative Retailing System and support our short and long-term sustainability goals.”
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More than 1.76 billion renewable identification numbers (RINs) were generated under the Renewable Fuel Standard in January, down from 1.91 billion generated during the same period of 2024, according to data released by the U.S. EPA on Feb. 20.
The U.S. EPA on Feb. 20 released updated small refinery exemption (SRE) data showing that 13 previously denied SRE petitions for Renewable Fuel Standard compliance years 2021 and 2022 are being reconsidered. No new SRE petitions were filed.
OMV Petrom has announced the start of construction for a sustainable aviation fuel (SAF) and renewable diesel (HVO) production unit at the Petrobrazi refinery in Romania. The new facility will have an annual capacity of 250,000 tons.
CVR Energy Inc. released fourth quarter financial results on Feb. 18, reporting reduced renewable diesel production. The company also said it is pausing development of SAF capacity pending clarity on government subsidies.
The U.S. EIA reduced its forecast for 2025 biodiesel production in its latest Short-Term Energy Outlook, released Feb. 11. The forecasts for renewable diesel production and the production of other biofuels, including SAF, were maintained.