Montana Renewables to complete repair of steam-recovery system in green-hydrogen plant next month

Calumet Specialty Products Partners LP provided an operational update Oct. 20 for the third quarter.

In August, Montana Renewables LLC identified a leak in the steam-recovery system within its renewable hydrogen plant.

After entering the unit, the company decided to replace the steam drum rather than repair it.

The replacement is expected to be completed in November.

Given the additional time, Montana Renewables will opportunistically pull forward its regularly scheduled turnaround into November, which was previously scheduled for early 2024.

The facility is expected to continue to operate at reduced throughput until the turnaround begins.

Upon scheduled completion, Montana Renewables expects to process over 12,000 barrels (504,000 gallons) per day of predominantly untreated feed in December and continues to expect $1.25 to 1.45 per gallon of adjusted EBITDA on untreated feed.

Additionally, its Shreveport, Louisiana, facility required maintenance during the quarter that resulted in a loss of approximately 300,000 barrels of lube oil and wax sales.

The maintenance has been completed, and the facility is currently processing over 45,000 barrels per day of feed.

Calumet manufactures, formulates and markets a diversified slate of specialty branded products and renewable fuels to customers across a broad range of consumer-facing and industrial markets.

Calumet is headquartered in Indianapolis, Indiana, and operates 12 facilities throughout North America.

Montana Renewables is an unrestricted subsidiary of Calumet located in Great Falls, Montana.

Montana Renewables is permitted to pretreat and convert 15,000 barrels (630,000 gallons) per stream day of renewable feedstocks into low-emission sustainable alternatives that directly replace fossil-fuel products.

Montana Renewables is a leader in North America’s energy transition and the largest sustainable aviation fuel producer in the western hemisphere.

The renewable fuel products produced by Montana Renewables are distributed into renewable markets in the western half of North America.