Renewable Energy Group Breaks Ground on Geismar, Louisiana Renewable Diesel Expansion and Improvement Project
October 14 2021 - 9:02AM
Business Wire
Governor John Bel Edwards and Local Leaders
Join to Celebrate Project Advancement
Renewable Energy Group, Inc. (REG) (NASDAQ: REGI) hosted a
groundbreaking ceremony on Wednesday to celebrate the start of
construction on the company’s improvement and expansion project at
REG Geismar. The project will take total site production capacity
from 90 million gallons per year to 340 million gallons per year,
and bring more than 60 permanent jobs and up to 500 construction
jobs to the area.
This press release features multimedia. View
the full release here:
https://www.businesswire.com/news/home/20211014005684/en/
On Wednesday, Renewable Energy Group
broke ground on the improvement and expansion of their renewable
diesel production facility. Pictured from left to right: Melody
Lockwood, Lynn Tomlinson, Bryan Christjansen, Representative Ken
Brass, Governor John Bel Edwards, Cynthia (CJ) Warner, Senator Ed
Price, Derek Winkel, Neville Fernandes, Chad Stone, Steve Drennan
(Photo: Business Wire)
REG Geismar was the first renewable diesel production facility
in the U.S. and was acquired by REG in 2014. Since that time, REG
has been investing in the facility to improve safety, logistics and
operational capabilities. REG first announced their plans for
expansion of REG Geismar in 2020, and announced earlier this year
that the project was being combined with an original plant
improvement project, with both being advanced to construction
phase. This groundbreaking marks the formal start of construction
on the project.
“This improvement and expansion project is a strategically
advantaged growth project, and will position REG to continue our
leadership in the renewable fuels industry,” said REG President
& CEO, Cynthia (CJ) Warner. “The push from investors and
regulatory leaders for lower-carbon solutions is being met with
greater pull from sustainability-minded consumers who want to
reduce their carbon profiles NOW. REG is helping lead the
transition to cleaner, greener energy and this project is an
exceptional example of that.”
The project will involve upgrades to the existing site, as well
as an expansion that will be located adjacent to the existing site.
Improvements will include enhanced marine logistics that will
enable global trading of feedstocks and fuel. The company announced
that the estimated project cost is $950 million, and is expected to
be mechanically complete by 2023 with full operability in 2024.
Upon completion, the fuel produced at REG Geismar will annually
reduce harmful CO2 emissions by up to 2.8 million metric tons,1 or
the equivalent to greenhouse gas emissions from 7.1 billion miles
driven by an average passenger vehicle.2 REG received an incentive
package from the state of Louisiana that contains comprehensive
workforce support and tax incentives.
“It’s an honor to have such a forward-thinking business like
Renewable Energy Group right here in the state of Louisiana,” said
Louisiana Governor, John Bel Edwards. “REG has been an exceptional
partner for this community and our state, and we were proud to be
able to provide an incentive package for this improvement and
expansion. This team is helping our world achieve lower-carbon
goals, all while providing a great benefit to our local
economy.”
The groundbreaking event included state and local lawmakers, as
well as project partners and community members.
1Carbon reduction based on life cycle analysis of REG-produced
fuels versus petroleum diesel.
2https://www.epa.gov/energy/greenhouse-gas-equivalencies-calculator
About Renewable Energy
Group
Renewable Energy Group, Inc. is leading the energy and
transportation industries’ transition to sustainability by
transforming renewable resources into high-quality, sustainable
fuels. Renewable Energy Group is an international producer of
sustainable fuels that significantly lower greenhouse gas emissions
to immediately reduce carbon impact. Renewable Energy Group
utilizes a global integrated procurement, distribution and
logistics network to operate 12 biorefineries in the U.S. and
Europe. In 2020, Renewable Energy Group produced 519 million
gallons of cleaner fuel delivering 4.2 million metric tons of
carbon reduction. Renewable Energy Group is meeting the growing
global demand for lower-carbon fuels and leading the way to a more
sustainable future.
Forward Looking
Statements
This press release contains forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of
1995, including statements relating to, the number of jobs that
will be created, the growing demand for certain fuels, the expected
capacity of our Geismar, Louisiana renewable diesel production
facility, Geismar being a strategically advantaged project, REG’s
ability to position itself as a leader in the industry, the growth
of the renewable diesel and biodiesel industries, and enhancements
to Geismar’s logistics, estimated capital costs, time of project
completion and incentives. These forward-looking statements are
based on current expectations, estimates, assumptions and
projections that are subject to change, and actual results may
differ materially from the forward-looking statements. Factors that
could cause actual results to differ materially include, but are
not limited to, the success of our business plan, market factors
and progress on the construction of our Geismar, Louisiana
renewable diesel production facility, and other risks described in
REG's annual report on Form 10-K for the year ended December 31,
2020, quarterly reports on Form 10-Q for the quarters ended March
31, 2021 and June 30, 2021, and from time to time in REG's other
periodic filings with the SEC. All forward-looking statements are
made as of the date of this press release and we do not undertake
to update any forward-looking statements based on new developments
or changes in our expectations.
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version on businesswire.com: https://www.businesswire.com/news/home/20211014005684/en/
Katie Stanley Renewable Energy Group katie.stanley@regi.com
(515) 979-3771
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