Diamond Green Diesel approves SAF project at Port Arthur, Texas, renewable diesel plant

Photo: Diamond Green Diesel

Darling Ingredients Inc. and Valero Energy Corp. announced Jan. 31 that the companies have made the final investment decision on a sustainable aviation fuel (SAF) project at the Diamond Green Diesel Port Arthur, Texas, plant, which is owned and operated by Diamond Green Diesel Holdings LLC, a 50/50 joint venture between Valero and Darling.

Upon completion of the project, which is expected in 2025, the Port Arthur plant will have the capability to upgrade approximately 50 percent of its current 470-million-gallon-per-year (mgy) production capacity to SAF.

The project’s estimated cost is approximately $315 million, with half of that attributable to Darling Ingredients.

With the completion of this project, Diamond Green Diesel is expected to be one of the largest SAF manufacturers in the world.

“As one of the largest and most successful producers of renewable diesel for nearly a decade, it’s exciting to enter the next phase of our growth in the aviation market,” said Randall Stuewe, chairman and CEO of Darling. “Darling Ingredients’ global supply chain of waste fats and oils, combined with our partner’s operational and technical expertise, position us as a leader in decarbonization solutions.”

The Port Arthur plant came online in November, six months ahead of schedule.

The renewable diesel project was approved by both companies’ boards of directors in January 2021.

Diamond Green Diesel can also produce 690 mgy of renewable diesel at its recently expanded facility in Norco, Louisiana.

The expansion from 290 mgy to 690 mgy in Norco was completed in October 2021.

With Port Arthur running, Diamond Green Diesel currently has a total renewable diesel production capacity of nearly 1.2 billion gallons.