04.24.2024
Biodiesel output strong in Q2; producers start locking in Q3-Q4 sales
A second producer echoed this sentiment and said they have had to work a bit harder to secure feedstock to line it up with sales at the right time.
Weekly Recap
WTI Crude increased 19 percent this week, settling at $29.43 per barrel. This a nine-week high for crude, but prices remain 53 percent below levels from a year ago. Heating oil values loosely followed, rising 2.4 percent for the week and reaching a four-week high. Heating oil prices are 56 percent lower than they were at this time last year.
Biodiesel’s most widely consumed feedstock, soybean oil, remained relatively stoic. Prices moved fractionally higher, closing at 26.58 cents per pound, which is 2.4 percent lower than last year. The bean oil/heating oil spread (BOHO) benefited from the rise in heating oil. The spread finished the week at $1.03 cents per gallon, down two cents from last week’s close.
Biodiesel RINs ended the week ¾ of a cent higher for the 2019 RIN and 1.25 cents for the 2020 RIN. Ethanol RINs closed the week mixed with the…