Biodiesel margins continued to rise during the week to Friday November 22. The bean oil/heating oil (BOHO) spread boosted margins by falling to its lowest level since August 27.
The BOHO spread is often used a measure of profitability in biodiesel and renewable diesel (RD) production. A falling BOHO spread indicates production is becoming less expensive. Renewable Identification Number (RIN) prices tend to follow the BOHO spread’s movement.
RIN prices declined as the BOHO spread reached multi-month lows. Biodiesel 2024 (B24) RINs fell to their lowest level since September 19.
Biodiesel production margins have improved, but producers realize the window of opportunity is likely small for taking advantage of the move.
The $1-per-gallon blenders tax credit (BTC) lasts until the end of 2024 and will then be replaced by the 45Z Clean Fuel Production Tax Credit (CFPC).
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September renewable diesel shipments to West Coast reach new high
September interregional shipments of biodiesel to the West Coast were down, while flows of renewable diesel (RD) to the region reached a six-month high, monthly data released on November...
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Gulf UCO prices continue to rise, Midwest fats remain ‘soft’
Prices for used cooking oil (UCO) delivered to the US Gulf Coast continued to climb on Tuesday December 10, even as markets softened in other regions.
Sizeable volumes...
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Bloodmeal prices rise with strong demand
Ruminant bloodmeal traded higher late Monday and on Tuesday December 10, up to $1,200 per short ton FOB Missouri River.
The move comes due to increased demand and...