04.26.2024
P66 Rodeo to begin producing SAF in Q3
Phillips 66 brought its long-awaited Rodeo Renewable Energy Complex online during the first quarter of 2024, but it is not producing sustainable aviation fuel (SAF) yet, the company said...
These early days of hemp production, processing, and marketing are very much a time of experimentation. Cannabinoid production started with labor intensive methods in a spectrum ranging from row crop or tobacco style production to orcharding or Christmas tree production models. Essentially various flavors of high-labor production, paired with falling hemp prices.
Flower production is high labor, but for producers locked into current trade flows, it pencils out nicely with returns exceeding $150,000/acre or more. Much more, in some cases. These figures are based on 1000 lbs. marketable flower/acre, at $150/lb. wholesale pricing. Greenhouse yields can easily exceed 30 grams/ft2, the equivalent of nearly 3000 lbs./acre, or $525,000/acre, using $175/lb. wholesale pricing.
The question really is what the demand will actually be, something nobody knows the answer to. Hemp flower is a…