February 9, 2023
BY S&W Seed Co.
Equilon Enterprises LLC (Shell) and S&W Seed Co., a global agricultural company, on Feb. 7 announced the execution of an agreement to establish a joint venture (JV) for the purpose of developing novel plant genetics for oil seed cover crops as feedstocks for biofuel production. The JV company, named Vision Bioenergy Oilseeds LLC, will be jointly owned by Shell and S&W.
The JV intends to develop Camelina (Camelina sativa) and other oilseed species from which oil and meal can be extracted for future processing into animal feed, biofuels, and other bioproducts. S&W will contribute its expertise in seed research, technology, production, and processing to the JV, including its seed processing and research facilities in Nampa, Idaho.
Advertisement
Advertisement
Camelina is regarded as a scalable and commercially viable oilseed with the potential to be a sustainable feedstock source for the energy transition. Camelina also is recognized as a low greenhouse gas cover crop in the US. Cover crops are planted between main crop growing seasons, with the aim of not influencing the price or availability of crops grown for food and feed. Using effective controls and management, Camelina has the potential to provide sustainable feedstocks, and create social and environmental co-benefits by diversifying farmers' income streams and reducing soil erosion.
Biofuels, such as those made from Camelina oil, may be an effective way to help decarbonize customers in hard-to-abate sectors, where energy density in fuels is key, including the aviation, marine, and heavy-duty road transport sectors.
The JV expects to carry out initial grain production in late 2023.
Advertisement
Advertisement
"We are pleased to be entering this JV with Shell, which leverages our seed and technology capabilities with Camelina and demonstrates how agriculture and energy can work together to lower carbon emissions by producing domestically sourced sustainable biofuel feedstocks," commented Mark Wong, CEO of S&W Seed Company. "Shell shares our vision on the long-term opportunity Camelina provides, including enhancing farmland food production. As arable farming acreage decreases, Camelina can be a key contributor to maximizing use of every acre of farmland."
The USDA on April 14 announced the cancellation of its Partnerships for Climate-Smart Commodities program. Select projects that meet certain requirements may continue under a new Advancing Markets for Producers initiative.
The Michigan Advanced Biofuels Coalition and Green Marine are partnering to accelerating adoption of sustainable biofuels to improve air quality and reduce GHG emissions in Michigan and across the Great Lakes and St. Lawrence Seaway.
The USDA reduced its outlook for 2024-’25 soybean oil use in biofuel production in its latest World Agricultural Supply and Demand Estimates report, released April 10. The outlook for soybean oil pricing was revised up.
The U.S. Energy Information Administration reduced its 2025 forecasts for renewable diesel and biodiesel in its latest Short-Term Energy Outlook, released April 10. The outlook for “other biofuel” production, which includes SAF, was raised.
FutureFuel Corp. on March 26 announced the restart of its 59 MMgy biodiesel plant in Batesville, Arkansas. The company’s annual report, released April 4, indicates biodiesel production was down 24% last year when compared to 2023.