US renewable energy company Global Clean Energy Holdings (GCEH) announced on Wednesday August 21 that its renewable diesel (RD) facility in Bakersfield, California, has commenced start-up operations. It has been a long and arduous path, with additional obstacles remaining.
GCEH purchased the facility in May 2020. Nameplate capacity was 230 million gallons of RD production annually. But, due to a hydrogen constraint, production was expected to be limited to 9,000 barrels per day, or 138 million gallons per year. GCEH’s projected start-up date was initially expected in 2021.
ExxonMobil and GCEH entered into an offtake agreement in April 2019, which was conditioned upon GCEH beginning operations by August 2021. The offtake was revised in 2021 as GCEH worked on converting the Bakersfield refinery to RD production.
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