August 14, 2020 12:45 PM, EDT

ExxonMobil to Distribute Renewable Diesel

Exxon signLuke Sharrett/Bloomberg News

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ExxonMobil announced an agreement with Global Clean Energy Holdings to purchase 2.5 million barrels of renewable diesel per year for five years from a converted California refinery starting in 2022.

ExxonMobil plans to distribute the renewable diesel within California and potentially to other domestic and international markets.

The renewable diesel will be sourced from a refinery acquired by Global Clean Energy in Bakersfield, Calif., which is being retooled to produce renewable diesel from Global Clean Energy’s patented varieties of camelina, a fallow land crop that does not displace food crops, and other nonpetroleum feedstocks, according to the Irving, Texas-based oil company.

“Chemically similar to petroleum-based diesel, renewable diesel can be readily blended for use in engines on the market today,” Bryan Milton, president of ExxonMobil Fuels and Lubricants Co., said in a release.

Besides camelina, various nonpetroleum feedstocks, including used cooking oil, soybean oil, distillers’ corn oil and other renewable sources will be refined to produce the renewable diesel, ExxonMobil reported.


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Based on analysis of California Air Resources Board data, renewable diesel from various nonpetroleum feedstocks can provide life cycle greenhouse gas emissions reductions of 40% to 80% compared with petroleum-based diesel, ExxonMobil noted.

Through a financing partnership with Orion Energy Partners, GCM Grosvenor and Voya Investment Management, Global Clean Energy expanded into downstream production with the acquisition of the Bakersfield facility. Once production commences in 2022, the Bakersfield biorefinery will be the only integrated farm-to-tank renewable diesel producer of its kind, according to the Torrance, Calif.-based company. — Transport Topics

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