Phillips 66 on track to begin SAF, RD production at Rodeo refinery in 2024
Phillips 66 in its earnings release for the third quarter of 2023 said that its Rodeo Renewed refinery conversion project is on track and will begin processing waste oils, fats, greases and vegetable oils to produce an initial 800m gallons per year in the first quarter of 2024.
The project, based in Rodeo, California, will be one of the world’s largest renewable fuels facilities to produce renewable diesel and sustainable aviation fuel (SAF). The total cost of the project is approximately $1.25bn.
“We remain confident, I should say, that we will start up the operation of Rodeo Renewed at the end of the first quarter [of 2024]. And we’re focused on executing that conversion plan,” said Richard G. Harbison, executive vice president of refining at Phillips 66 while speaking on the earnings call.
However, he said that two NGOs have filed a suit against the Contra Costa County, Rodeo alleging insufficiencies in the environmental impact report (EIR).
“The ruling for the suit was received earlier this year. And actually, there were several issues in our favour, but there were three issues identified as insufficient in the county-certified EIR. The judge explicitly allowed construction to continue with the project while Contra Costa County works through and addresses the three deficiencies that were identified in the EIR,” Harbison added.
“The judge explicitly allowed construction to continue with the project while Contra Costa County works through and addresses the 3 deficiencies that were identified in the EIR. The county actually posted that revised EIR update on October 24. That initiated a 45-day public comment period. The county will respond to the comments and then likely issue a final EIR early 2024. So right now, our project construction remains on track to complete in the first quarter, and we’re committed to that time line.”
The company made the final investment decision in May 2022 to convert its San Fransico Refinery in Rodeo, California from processing crude oil to waste oils, fats, greases and vegetable oils.
The refinery will initially produce 800m gallons per year of renewable transportation fuels, including SAF, renewable diesel, and renewable gasoline.