Several years ago, renewable diesel (RD) margins enticed the oil industry to invest heavily in the sector. Today, in late June 2024, nearly all refiners are operating RD plants, most of which are under pressure from an earnings standpoint due to overcapacity.
Several first-quarter earnings calls cited economic headwinds, arising from lower renewable identification number (RIN) and low carbon fuel standard (LCFS) credit pricing, as being problematic for the industry.
Fastmarkets’ credit data shows that the first-quarter D4 RIN average was 58 cents per RIN. The LCFS credit average was $64 per ton.
The prices for these credits failed to improve during the second quarter, with RINs averaging 51 cents and LCFS credits $52. The market is unlikely to see improved earnings during the second quarter.
…
10.04.2024
US RD interregional shipments decline to 6-month low in July: EIA
The US Energy Information Administration’s (EIA) Petroleum Supply Monthly report released Monday September 30, showed that July interregional shipments of renewable diesel (RD) and biodiesel to the US West...
10.04.2024
Geopolitical tensions, policy uncertainty stymies US animal fats, oils trade
The Missouri River choice white grease (CWG) market moved to a low of 42.5 cents per lb FOB after trading was done late on Thursday October 3.
Distiller’s...
10.04.2024
Hurricane Helene impact on US animal proteins still unknown
US animal proteins prices were steady on Friday October 4, with most participants working on logistical challenges for the current and upcoming week.
Hog producers and production facilities...