Photo: Greenergy
September 6, 2018
BY Ron Kotrba
U.K. biodiesel producer Greenergy has just acquired Singapore-based used cooking oil exporter Rexon Energy. The acquisition comes less than two months after purchasing an idle biodiesel facility in Amsterdam.
The acquisition of Rexon Energy will help provide raw materials for its three biodiesel manufacturing operations in Immingham and Teeside on the east coast of England, along with its new Amsterdam-based facility, which is scheduled to begin operating next year.
“We have increased our purchasing of used cooking oils from around the world over a number of years and Rexon has become a significant supplier,” said Greenergy CEO Andrew Owens. “Our acquisition of Rexon provides greater integration in this part of our supply chain.”
Advertisement
In July, Greenergy reached an agreement with tank terminal operator Oiltanking to purchase an idle biodiesel manufacturing facility located at Oiltanking’s site in Amsterdam. The Amsterdam biodiesel plant was built in 2010 to process vegetable oils but was never commissioned. Greenergy plans to retrofit the facility to process waste oils and expand production capacity.
“Demand for waste-based biodiesel is rising rapidly in the U.K. and Europe as a result of higher obligated biofuel inclusion rates,” Owens said. “Over the last few years we have scaled up our raw material supply chains and invested in our U.K. manufacturing facilities, increasing output through a variety of incremental investments. We are now leveraging these skills and capabilities to develop a third plant.”
Advertisement
The Amsterdam location has deep-water access for break bulk on long-haul shipments of waste oils, according to Greenergy. It will also allow the U.K. biodiesel producer to expand its supply of fuel to Europe.
Oiltanking will provide Greenergy with storage facilities for feedstock and biodiesel, in addition to other support services per a long-term agreement between the two entities.
“Oiltanking will also be investing into its own infrastructure in order to accommodate Greenergy’s logistical needs,” said Jan Willem van Velzen, managing director of Oiltanking Amsterdam B.V. “As Greenergy’s logistical partner we are proud to become an integral part of this green sustainable supply chain.”
In a bizarre coincidence, another U.K.-based biodiesel producer, Argent Energy, also purchased an Amsterdam-based biodiesel production facility at roughly the same time in July. Argent Energy Group, a subsidiary of John Swire & Sons Ltd., announced July 20 that it had reached an agreement to acquire Amsterdam-based Simadan Group’s biodiesel production, tank storage and cleaning facilities.
Tidewater Renewables Ltd. has reported that its biorefinery in Prince George, British Columbia, operated at 88% capacity last year. A final investment decision on the company’s proposed SAF project is expected by year end.
BDI-BioEnergy International has signed a contract with Ghent Renewables BV to begin the construction of a pioneering biofuel feedstock refinery plant. Construction is underway and the facility is expected to be operational by the end of 2025.
Verity Holdings LLC, a subsidiary of Gevo Inc., has partnered with Minnesota Soybean Processors (MnSP) to implement Verity’s proprietary track and trace software. The collaboration aims to unlock additional value through export premiums.
IAG and Microsoft are extending their 2023 co-funded purchase agreement for SAF by five years. The SAF used under the agreement will be produced by Phillips 66’s Humberside refinery and LanzaJet’s facility in the U.S.
U.S. exports of biodiesel and biodiesel blends of B30 or greater fell to 7,849.6 metric tons in February, according to data released by the USDA Foreign Agricultural Service on April 3. Biodiesel imports were at 21,964.9 metric tons for the month.