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REG plans to almost quadruple Geismar renewable diesel plant capacity

In the United States (US), Renewable Energy Group, Inc., (REG) has announced that it plans to undertake a significant capacity expansion of its Geismar renewable diesel biorefinery in Louisiana (LA) biorefinery. Construction should begin in mid to late 2021 with target mechanical completion date in late 2023.

Renewable Energy Group, Inc., (REG) has announced that it plans to undertake a significant capacity expansion of its Geismar renewable diesel biorefinery in Louisiana (photo courtesy REG).

According to a statement, the plan to increase annual production capacity at REG Geismar by 250 million (US) gallons (≈ 946 million litres) to 340 million gallons (≈ 1.29 billion litres), follows a thorough review and site selection process.

REG Geismar has proven to be a tremendous asset for our company and is a natural site for increasing production of our lower-carbon renewable diesel. The state of Louisiana and Ascension Parish have been great partners who encouraged us every step along the way as we developed our expansion plan. They truly understand the broad economic and environmental benefits that renewable fuels provide, and we look forward to our continued partnership with them as we undertake this project, said Cynthia (CJ) Warner, President and CEO of REG.

REG expects the expansion will require approximately US$825 million in capital investment and is committed to supporting jobs and economic development in the communities in which it operates.

Louisiana’s Governor John Bel Edwards announced his support for this project with the inclusion of an incentive package that contains comprehensive workforce support and tax incentives.

Louisiana is recognized as a global leader in energy. That’s an accomplishment we take great pride in, especially as we pursue lower greenhouse gas emissions through our Climate Initiatives Task Force. Attracting investments like REG’s low-carbon project shows Louisiana can be both an energy leader and a climate leader, said Governor Edwards.

Second REG Geismar expansion

REG Geismar was the first renewable diesel plant built in the United States and was acquired by REG in 2014. REG made additional improvements to the plant, taking its initial 75-million gallon (≈ 284 million litres) nameplate facility up to 90 million gallons (≈341 million litres) per annum of demonstrated capacity.

This is an exciting milestone for our business as we continue to advance our drive to produce low carbon fuels at significant scale. We are developing this project with our proprietary process technology, and are proud to continue to deliver sustainable fuel solutions to our customers and accelerate the transition to cleaner energy, said Warner.

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