USA: Plant Closure Renewable Energy Group to Shut Down Houston Biodiesel Facility

Editor: Ahlam Rais

Renewable Energy Group (REG) has decided to shut down its 35 million gallon per year nameplate capacity plant located in Houston, USA in November 2021. The reason behind this is its existing lease agreement as well as lack of multi-feedstock processing capability for delivering clean fuels.

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The plant has run very well but has always been relatively challenged due to its leasing agreement coupled with a lack of REG’s hallmark multi-feedstock processing capability.
The plant has run very well but has always been relatively challenged due to its leasing agreement coupled with a lack of REG’s hallmark multi-feedstock processing capability.
(Source: REG)

Iowa/USA – Renewable Energy Group (REG) recently announced the closing of its 35 million gallon per year nameplate capacity facility located near Houston, Texas, USA.

The company acquired and commissioned the plant in 2008 and has been operating it since. “We have made the decision not to renew the lease for our REG Houston biorefinery, which would have imposed an uncompetitive fixed cost on the plant,” said REG President & CEO Cynthia ‘CJ’ Warner. “The plant has run very well but has always been relatively challenged due to its leasing agreement coupled with a lack of REG’s hallmark multi-feedstock processing capability.”

The company is currently working with plant employees on relocation opportunities within the production network. The company will completely shut down the Houston plant in November 2021.

“It is never an easy decision to shut down a plant. We greatly appreciate the team at REG Houston for their dedication to safety and operational excellence,” said Warner. “Within our larger system, we remain focused on executing our growth strategy and we will continue to work with our existing customers and vendors to provide clean fuel solutions that are delivering meaningful carbon reduction today.”

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