Valero Energy and Darling Ingredients have announced that their joint sustainable aviation fuel (SAF) project at the Diamond Green Diesel (DGD) Port Arthur plant is on schedule for completion in the first quarter of 2025.
The project will give the DGD plant the optionality to upgrade approximately 50% of its current 470 million gallon renewable diesel annual production capacity to SAF, making it one of the largest SAF manufacturers in the world. Valero and Darling Ingredients each attribute half of the total cost of the $315 million (€290 million) project to themselves.
The two firms made the final investment decision on the SAF project at the DGD Port Arthur plant last January. Valero’s CEO, Lane Riggs, stated that the company’s discipline on growth through return-driven investments in its core refining and low-carbon fuels businesses should continue to strengthen its competitive advantage and drive long-term shareholder returns.
DGD currently produces around 1.2 billion litres of renewable diesel, and its new 470 million gallons per year renewable diesel plant near Valero’s Port Arthur, Texas, refinery began operations in late 2022.
Darling processes 10% of the world’s inedible meat by-products and is the largest collector and processor of used cooking oil in North America.