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Valero reports profitable Q3 for renewable diesel, ethanol

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By Erin Krueger

October 25, 2022

Business Operations 

Valero Energy Corp. released Q3 financial results on Oct. 25, reporting both its renewable diesel and ethanol operations were profitable during the quarter. The company also said additional renewable diesel capacity will be online next month.

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Archer Daniels Midland Co. released third quarter financial results on Oct. 25, reporting significantly higher results for its Carbohydrate Solutions business segment despite reduced ethanol margins.

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The U.S. EPA has released data showing that 1.72 billion renewable identification numbers (RINs) were generated under the RFS in September, up from 1.62 billion generated during the same month of last year.

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The Inflation Reduction Act provides substantially enhanced benefits to U.S. carbon capture, utilization and sequestration projects. It should be ample incentive for developers to get more dirt moving.

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Ethanol Producer Magazine's editor reflects on the magnitude of the industry's burgeoning CCUS opportunity while previewing the November edition's coverage, from policy and trade to carbon sequestration monitoring and lab products innovation.

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U.S. fuel ethanol production expanded by 9 percent the week ending Oct. 14, according to data released by the U.S. Energy Information Administration on Oct. 19. Weekly ending stocks of fuel ethanol were down slightly.

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MicroSeismic, a leading provider of passive seismic technology, provides 24/7 underground monitoring of carbon capture and sequestration projects for interested ethanol producers.

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Sugarcane ethanol production diversifies the farming economy in Imperial County, California, connecting the past with the future as part of a booming energy portfolio, according to Benson Farms CEO Steven Benson.

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UNICA, the Brazilian sugarcane industry association, has announced that sugarcane crushing in the country's south-central region was down nearly 30 percent during the second half of September due to heavy rains. Ethanol production was also down.

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CoBank's Knowledge Exchange released its latest quarterly report on Oct. 17. While U.S. ethanol production continued to trend down as the third quarter ended, CoBank stressed that profitability within the industry held.

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With an impeccable production partner, deep roots in ethanol and a customer base looking for tailored HPLC products, Enertech Solutions is elevating reference materials through customization and robust accreditation.

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With CCS expanding rapidly, there is an accompanying need for technology to monitor the CO2 underground. A North Dakota ethanol producer, environmental researcher and a geophysicist explain how it's done.

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The U.S. Energy Information Administration reduced its forecasts for both 2022 and 2023 fuel ethanol production in its latest Short-Term Energy Outlook, released Oct. 12. The forecast for 2023 fuel ethanol blending was also lowered.

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European ethanol producer CropEnergies AG on Oct. 12 reported that the company achieved record revenues of EUR 450 million during the fiscal second quarter of 2022, the three-month period ended Aug. 31.

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U.S. fuel ethanol production expanded by nearly 5 percent the week ending Oct. 7, according to date released by the U.S. Energy Information Administration on Oct. 13. Ethanol stocks were up by nearly 1 percent.

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Gevo. Inc on Oct. 10 announced that the copmany's South Dakota-based Net-Zero 1 project is on schedule following its recent groundbreaking. In addition, the company's RNG project in Iowa continues to ramp up production.

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The U.S. EPA in September approved an efficient producer pathway for Green Plains Inc.'s 116 MMgy ethanol plant located in Central City, Nebraska. The approval allows the facility to generate RINs for non-grandfathered volumes of ethanol.

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Aemetis Inc. has closed $25 million of long-term financing with Greater Commercial Lending to build dairy biogas digesters and a biogas pipeline for the Aemetis Biogas Central Dairy Digester Project located in Stanislaus County, California.

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U.S. fuel ethanol production increased 4 percent the week ending Sept. 30, according to data released by the U.S. Energy Information Administration on Oct. 5. Ethanol stocks were down more than 4 percent, falling to the lowest level since 2021.

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To meet the increased demand from biopharma customers, Greenfield Global is tripling its production capacity for ethanol blends with water-for-injection (WFI) at its Brookfield, Connecticut plant from a 2,000 gallons to nearly 6,000 gallons.

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UNICA, the Brazilian sugarcane industry association, has announced that sugarcane processing by mills in the country's south-central region was up during the first half of September. Ethanol production was also up, but ethanol sales were down.

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Carbon America on Oct. 4 announced an agreement with Bridgeport Ethanol LLC to develop a carbon capture and storage (CCS) project at the company's 53 MMgy ethanol plant in Nebraska. The project is currently expected to be operational in 2024.

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U.S. ethanol and biodiesel capacity were down slightly in July. Renewable diesel capacity, however, continued to expand and is poised to surpass operatable biodiesel capacity, according to data released by the U.S. EIA.

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Worldwide renewable energy employment reached 12.7 million last year, according to a report released by the International Renewable Energy Agency. Liquid biofuels, solid biomass and biogas accounted for a combined 3.44 million of those jobs.

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The USDA recently released its Grain Crushings and Co-Products Production report for September, reporting that corn use for fuel ethanol production in July was down 1 percent when compared to July 2021, but up slightly when compared to June.

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Reuters on Sept. 23 retracted an article originally published on Sept. 8 that made highly misleading claims about the greenhouse gas (GHG) impacts of U.S. ethanol plants. Reuters said the article featured a "flawed interpretation of data."

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UNICA, the Brazilian sugarcane industry association, has released updated data showing that ethanol production by mills in the country's south-central region was down slightly in late August. Ethanol sales for the full month, however, were up.

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U.S. fuel ethanol production declined by more than 6 percent the week ending Sept. 16, falling to the lowest level since February 2021, according to data released by the U.S. EIA on Aug. 21. Ethanol stocks fell by nearly 2 percent.

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Ethanol Producer Magazine's Katie Schroeder previews the features in the October issue, which include corn fiber ethanol measurement, CARB's latest LCFS scoping plan, how plants are managing supply chain issues and maintaining corn quality assurance.

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A report filed with the USDA Foreign Agricultural Service's Global Agricultural Information Network indicates that China's ethanol blend rate is expected to reach only 1.8 percent this year as support wanes for previously announced biofuel policies.

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