IRVING, Texas, Sept. 9, 2019 /PRNewswire/ -- Darling
Ingredients Inc. (NYSE: DAR) and Valero Energy Corporation (NYSE:
VLO) ("Valero") are addressing the growing demand for renewable
diesel in global, low carbon markets by initiating an advanced
engineering and development cost review for a new plant
in Port Arthur, Texas. The proposed facility under
review would be designed to produce 400 million gallons of
renewable diesel annually as well as 40 million gallons of
renewable naphtha. The new plant would be owned and operated by
Diamond Green Diesel Holdings LLC ("DGD"), the 50/50 joint venture
between Darling Ingredients and Valero.
The proposed Port Arthur plant,
the first renewable diesel facility in Texas, would be in a location to leverage
Valero's existing refinery and optimize logistics management. The
production from this new plant would increase DGD's annual
renewable diesel production to approximately 1.1 billion gallons
with nearly 100 million gallons of renewable naphtha production.
The final investment decision on the project is expected in 2021,
subject to further engineering, obtaining necessary permits, and
approval by the boards of Darling and Valero. If the decision
is made to move forward, new plant construction could begin in
2021, with expected operations commencing in 2024.
"The demand for a low carbon fuel solution continues to grow, as
markets move to reduce their carbon intensity. Leveraging its
proven technology, DGD continues to adapt and expand production to
address that need for the benefit of our environment, our customers
and our shareholders," said Randall C.
Stuewe, Chairman and Chief Executive Officer of Darling
Ingredients Inc. "Diamond Green
Diesel has become the most efficient and immediate drop-in,
low carbon fuel solution by capitalizing on the powerful
combination of Valero's refining operations and marketing
capabilities with Darling's integrated supply chain and raw
material sourcing expertise. With these complementary
capabilities, Diamond Green Diesel
has established itself as the leading industry standard in North
America—providing a premier product to the world's expanding low
carbon fuel markets."
DGD's future total annual capacity of 1.1 billion gallons of
renewable diesel and nearly 100 million gallons of renewable
naphtha includes production from DGD's Norco, Louisiana refinery, which is currently
being expanded to produce 675 million gallons of renewable diesel
and 60 million gallons of naphtha. The Louisiana expansion is targeted for completion
at the end of 2021.
About Darling
Darling Ingredients Inc. is a global developer and producer of
sustainable natural ingredients from edible and inedible
bio-nutrients, creating a wide range of ingredients and specialty
solutions for customers in the pharmaceutical, food, pet food,
feed, technical, fuel, bioenergy, and fertilizer industries.
With operations on five continents, the Company collects and
transforms all aspects of animal by-product streams into useable
and specialty ingredients, such as gelatin, edible fats, feed-grade
fats, animal proteins and meals, plasma, pet food ingredients,
organic fertilizers, yellow grease, fuel feedstocks, green energy,
natural casings and hides. The Company also recovers and
converts recycled oils (used cooking oil and animal fats) into
valuable feed and fuel ingredients and collects and processes
residual bakery products into feed ingredients. In addition, the
Company provides environmental services, such as grease trap
collection and disposal services to food service establishments.
The Company sells its products domestically and internationally and
operates within three industry segments: Feed Ingredients, Food
Ingredients and Fuel Ingredients. For additional information, visit
the Company's website at http://www.darlingii.com.
About Valero
Valero Energy Corporation, through its subsidiaries
(collectively, "Valero"), is an international manufacturer and
marketer of transportation fuels and petrochemical products. Valero
is a Fortune 50 company based in San
Antonio, Texas, and it operates 15 petroleum refineries with
a combined throughput capacity of approximately 3.1 million barrels
per day and 14 ethanol plants with a combined production capacity
of 1.73 billion gallons per year. The petroleum refineries are
located in the United States
(U.S.), Canada and the
United Kingdom (U.K.), and the
ethanol plants are located in the Mid-Continent region of the U.S.
Valero also is a joint venture partner in Diamond Green Diesel, which operates a renewable
diesel plant in Norco, Louisiana.
Diamond Green Diesel is North America's largest biomass-based diesel
plant. Valero sells its products in the wholesale rack or bulk
markets in the U.S., Canada, the
U.K., Ireland and Latin America. Approximately 7,000 outlets
carry Valero's brand names. Please visit www.valero.com for more
information.
Darling
Ingredients contact
|
|
Melissa A. Gaither,
VP IR and Global Communications
|
Email :
mgaither@darlingii.com
|
5601 N. MacArthur
Blvd, Irving, Texas 75038
|
Phone :
972-281-4478
|
|
Valero
Contacts
|
|
Investors:
|
Homer Bhullar, Vice
President – Investor Relations, 210-345-1982
|
Media:
|
Lillian Riojas,
Executive Director – Media Relations and Communications,
210-345-5002
|
Cautionary Statements Regarding Forward-Looking Information:
{This media release contains "forward-looking" statements
regarding the business operations and prospects of Darling
Ingredients Inc., including its Diamond
Green Diesel (DGD) joint venture, and industry factors
affecting it. These statements are identified by words such as
"believe," "anticipate," "expect," "estimate," "intend," "would,"
"could," "may," "will," "should," "planned," "potential,"
"continue," "momentum," "assumption," and other words referring to
events that may occur in the future. These statements reflect
Darling Ingredient's current view of future events and are based on
its assessment of, and are subject to, a variety of risks and
uncertainties beyond its control, each of which could cause actual
results to differ materially from those indicated in the
forward-looking statements. These factors include, among
others, changes to worldwide government policies relating to
renewable fuels and greenhouse gas emissions that adversely affect
programs like the Renewable Fuel Standards Program (RFS2), low
carbon fuel standards (LCFS) and tax credits for biofuels both in
the Unites States and abroad; and risks associated with the DGD
renewable diesel plant in Norco,
Louisiana, including possible unanticipated operating
disruptions and issues related to the announced expansion project.
Other risks and uncertainties regarding Darling Ingredients Inc.,
its business and the industries in which it operates are referenced
from time to time in the Company's filings with the Securities and
Exchange Commission. Darling Ingredients Inc. is under no
obligation to (and expressly disclaims any such obligation to)
update or alter its forward-looking statements whether as a result
of new information, future events or otherwise.}
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SOURCE Darling Ingredients Inc.