Calumet provides update after recent US EPA small-refinery exemption decision

Calumet Inc. provided an update Aug. 26 regarding the recent U.S. EPA decision on small-refinery exemptions (SREs) and the expected impact on its renewable identification number (RIN) credit balance-sheet accrual. 

On Aug. 22, EPA notified Calumet that it was successful in receiving full or partial exemptions on every petition that was filed by the company from 2019 through 2024.   

With the decision, the company’s prior 2019-’24 RIN-balance sheet accrued liability of 396 million RINs is expected to be reduced to 89 million RINs, of which 57 million are of 2022 and 2023 vintage, and 32 million are 2024.   

“We are studying the decision details and will seek additional information from the EPA regarding this residual,” the company stated.  

Calumet CEO Todd Borgmann said the recent EPA ruling under the Trump administration “goes a long way to cleaning up” the historical industry backlog.  

“For Calumet, the actions remove the majority of our historic RIN obligation,” Borgmann said. 

“Further, the decision provides additional clarity for the renewable fuels industry and brings us one step closer to a properly functioning renewables market,” he added.   

“We applaud the EPA for this meaningful step and its support for the critical role that small refiners and biofuels play in America’s energy independence,” Borgmann said.  

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