JV Secures Financing for La. Renewable Diesel Facility
June 1, 2011
Darling International Inc. on Tuesday announced that Diamond Green Diesel LLC, its previously announced joint venture project with Valero Energy Corp., has secured financing for the planned construction of its renewable diesel facility in Norco, Louisiana. Financing will be provided internally by a subsidiary of Valero.
Randall C. Stuewe, Chairman and CEO of Darling, said, "We are pleased to have reached agreement with Valero to fund this critical project. Valero's support for this project is critical and this is another means of displaying their confidence in both the technology and viability of the project. Valero's financing commitment means that we will no longer require a funding guarantee from the U.S. Department of Energy under the Energy Policy Act of 2005. Nevertheless, we would like to thank the Department of Energy for their support for this project, which is expected to generate numerous jobs in the State of Louisiana."
The facility will be capable of producing over 9,300 barrels per day or 137 million gallons per year of renewable diesel on a site adjacent to Valero's St. Charles refinery near Norco, Louisiana. The facility will convert grease, primarily animal fats and used cooking oil supplied by Darling, and potentially other feedstocks that become economically and commercially viable, into renewable diesel. Construction on the facility will commence in June 2011 with completion anticipated during the fourth quarter of 2012.
Darling International Inc. is the largest and only publicly traded provider of rendering and bakery waste recycling solutions to the nation's food industry. The company recycles beef, pork and poultry waste streams into useable ingredients such as tallow, feed-grade fats, meat and bone meal, poultry meal and hides. The company also recovers and converts used cooking oil and commercial bakery waste into valuable feed and fuel ingredients. These products are primarily sold to agricultural, pet food, leather, oleo-chemical and bio-diesel manufacturers around the world. In addition, the company provides grease trap collection services and sells used cooking oil collection equipment to restaurants.
Valero Energy Corp. is an international manufacturer and marketer of transportation fuels, other petrochemical products and power. Its assets include 14 petroleum refineries with a combined throughput capacity of approximately 2.6 million barrels per day, 10 ethanol plants with a combined production capacity of 1.1 billion gallons per year and a 50-megawatt wind farm. Valero is also one of the largest retail operators with approximately 5,800 retail and branded wholesale outlets in the United States, Canada and the Caribbean under the Valero, Diamond Shamrock, Shamrock, Ultramar and Beacon brands. Based in San Antonio, Valero is a Fortune 500 company with approximately 20,000 employees.
Source: Darling International Inc.
Engineering News Archive