Valero-Darling Ingredients SAF plant on track to begin operations in 1Q 2025

Valero Energy and Darling Ingredients announced that the joint sustainable aviation fuel (SAF) project at the Diamond Green Diesel (DGD) Port Arthur plant remains on schedule with completion expected in the first quarter of 2025.

The project is expected to give the DGD plant the optionality to upgrade approximately 50% of its current 470m gallon renewable diesel annual production capacity to SAF.

With the completion of this project, it is expected to become one of the largest manufacturers of SAF in the world.

The companies said the total cost of the project is $315m, with half of that attributable to Valero and other half to Darling Ingredients.

The two firms made the final investment decision on the SAF project at the DGD Port Arthur plant in January  2023.

The project was scheduled to be completed in 2025.

“Our discipline on growth through return driven investments in our core refining and low-carbon fuels businesses should continue to strengthen our competitive advantage and drive long-term shareholder returns,” said Lane Riggs, CEO, Valero.

DGD currently produces around 1.2bn litres of renewable diesel. The new 470m gallons per year renewable diesel plant near Valero’s Port Arthur, Texas refinery began operations in late 2022.

The DGD plant produces renewable diesel from sustainable low-carbon feedstocks, such as used cooking oil, inedible animal fats derived from processing meat fats and fuel-grade corn oil.

Darling processes 10% of the world’s inedible meat by-products and is the largest collector and processor of used cooking oil in North America.