Oklahoma-based Love’s Family of Companies joined with Cargill in announcing a 50/50 joint venture in producing and marketing renewable diesel fuel.
The two companies plan to construct a new production plant in Hastings, Nebraska, one with the ability to produce an estimated 80 million gallons annually of renewable diesel, a green fuel experiencing strong, rising demand. At least 50 jobs will be created with the creation of the plant.
As part of the joint venture, Cargill will provide feedstock in the form of tallow, a rendered animal fat co-product following protein processing. Once the diesel is produced, Musket, the commodity trading and logistics arm of the Love’s Family of Companies, will transport and market the product in the United States. Heartwell Renewables will be the only entity of its kind to both produce and market renewable diesel all the way to the retail pump.
“Heartwell Renewables expands the commitment from the Love’s Family of Companies to reduce carbon emissions,” said JP Fjeld-Hansen, vice president of Musket and Trillium, two Houston-based members of the Love’s Family of Companies. “When considering the environmental benefits and performance enhancements of renewable diesel, the creation of Heartwell Renewables is a long-term win for not only the companies involved, but also for consumers and the environment.”
The production process makes renewable diesel chemically identical to petroleum diesel with significant improvements in environmental performance due to its drop in carbon intensity and emissions. Renewable diesel also has a faster combustion speed, which brings more power to an engine and has been shown to lead to lower vehicle maintenance.
“Through the partnership with Love’s, both companies can leverage their unique expertise and resources to address the growing demand for biofuels while making an impact in the communities where we operate,” said John Niemann, Cargill’s North American lead for protein ingredients and international.
Heartwell Renewables will employ at least 50 full-time positions in Hastings. Construction is scheduled to begin in the following weeks, and operations should start in the spring of 2023. Once the plant opens, it will be one of only a handful of renewable diesel plants in the United States, according to the U.S. Energy Department.
“The Heartwell Renewables facility presents an exciting combination of agriculture and renewable energy that will create new jobs and continue to grow our state’s economy,” said Nebraska Gov. Pete Ricketts. “Nebraska is the ideal location for this venture, leveraging our expertise in production agriculture and renewable fuels. I look forward to watching Cargill and Love’s grow this endeavor in Hastings.”
Source: press release
