Fire hits Vance Bioenergy's Pasir Gudang facility
A fire broke out at Malaysian biodiesel producer Vance Bioenergy's Pasir Gudang facility in southern Johor today, but did not affect biodiesel production, said sources close to the company.
Some auxiliary products were affected, a source said but declined to name them because of commercial sensitivity. The cause of the fire is still under investigation.
Vance Bioenergy produces biodiesel for the Malaysian and European markets, but there has been limited market reaction to the news so far. The company has a total biodiesel production capacity of 450,000 t/yr, with 300,000 t/yr at Tanjung Langsat and 150,000 t/yr at Pasir Gudang.
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California diesel inventories hit all-time low: CEC
California diesel inventories hit all-time low: CEC
Houston, 30 May (Argus) — Combined California diesel stocks fell to the lowest level in California Energy Commission (CEC) history in the week ended 24 May. Combined diesel inventories — including in-state CARB, non-California EPA and renewable diesel — totaled 2.3mn bl after significant draws across grades, despite a sharp increase in-state CARB diesel output during the week, according to CEC data going back to 2005. In-state CARB diesel stocks totaled 1.37mn bl by the end of the week and marked a 13pc drop from the week prior. Other diesel fuel inventories contracted by nearly 17pc to 929,000 bl. Production of in-state CARB diesel jumped by nearly 40pc in the week to 128,000 b/d, while other diesel output — including non-California EPA and renewable diesel — plummeted by more than 44pc to average 51,000 b/d. In-state CARBOB gasoline production dipped by 2.8pc to average 800,000 b/d from the week prior, although inventories added a nominal 1.8pc to a nine-week high of 6.10mn bl. Total gasoline production trended 2.7pc lower at 879,000 b/d. California jet fuel production jumped by nearly 18pc to 321,000 b/d, the highest level since 19 April. Inventories grew by 0.6pc to 3.24mn bl, continuing a trend of largely stable volumes since 10 May. Crude throughputs increased by 9.4pc to 1.44mn b/d as stocks shrank by 19pc to 11.1mn bl — the lowest volume since January 2024. By Jasmine Davis California refining throughputs and storage Commodity 24-May-24 17-May-24 ± Throughputs '000 b/d Crude 1,440 1,316 124 CARBOB 800 823 -23 Total gasoline 879 904 -25 Jet fuel 321 273 48 California distillate 128 92 36 Inventories '000 bl Crude 11,098 13,670 -2,572 CARBOB 6,098 5,988 110 Jet fuel 3,235 3,215 20 California distillate 1,373 1,586 -213 California Energy Commission Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
ISO publishes new marine fuel specification
ISO publishes new marine fuel specification
London, 30 May (Argus) — The International Organisation for Standardization (ISO) published its new marine fuel specification standard today. The 7th edition of the specification standard, ISO 8217:2024, will replace its predecessor, ISO 8217:2017, which has now been withdrawn. The document encompasses seven categories for distillate fuels, four categories for residual fuels at or below 0.5pc sulphur content, five categories for residual fuels blended with fatty acid methyl ester (Fame) biodiesel and five categories for residual fuels above 0.5pc sulphur. Some of the changes had previously been discussed and are confirmed. These include the removal of the previous 7pc Fame limit when blended with distillate marine fuels. This is now possible up to 100pc. The distinction between winter and summer quality for cloud point and cold filter plugging point (CFPP) has also been removed. And there is now a requirement to report the net heat of combustion for a distillate fuel grade as well as the requirement for a minimum cetane number and oxidation stability. By Hussein Al-Khalisy Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
US biodiesel imports doubled in 2023
US biodiesel imports doubled in 2023
Houston, 29 May (Argus) — US imports of biodiesel more than doubled in 2023, spurred by lower prices and shifting biofuels policies in Europe. Biodiesel imports averaged 33,000 b/d last year, compared with 16,000 b/d a year earlier, according to US Energy Information Administration (EIA) data. The rise in US imports was led by Germany, Europe's leading biodiesel producer. Biodiesel imports from Germany last year climbed to 11,000 b/d from 5,000 b/d in 2022. The US imports soybean oil and some UCO-based biodiesel from biofuel producer ADM's Hamburg, Germany, production facility. US biodiesel imports from Spain jumped last year to 6,000 b/d from 1,000 b/d. Rising European imports from China and lower blending targets on the continent pressured European biodiesel prices and posed an opportunity for US importers and blenders to avoid the more expensive domestic alternative. European Fame 0 prices averaged 382¢/USG last year, down by 30pc from 2022, while New York Harbor B100 prices fell by the same percentage but still averaged around $1/USG more than European biodiesel in 2023. US blenders can take advantage of the lower priced fuel while remaining eligible to receive renewable identification number (RIN) credits that show compliance with the US Renewable Fuel Standard program, as well as the $1/USG blenders' tax credit. Renewable diesel is not differentiated from biodiesel in EU regulatory programs, leading to a lower share of biodiesel in the EU biofuel pool, compared with the more versatile renewable diesel. Biodiesel must be blended with conventional diesel for motor use, while renewable diesel can be used as a drop-in fuel. Some EU countries have lowered their biofuels blending targets to combat inflation and rising fuel costs, according to the EIA and US Department of Agriculture, making more biofuel volumes available for export. Sweden last year cut its biodiesel blending mandate for 2024-2026 to 6pc from 30.5pc. Additionally, EU imports of Chinese biodiesel derived from used cooking oil (UCO) increased in 2023 by 20pc, contributing to Europe's lower prices. Through February this year, US biodiesel imports rose further, averaging 46,000 b/d, according to the most recent EIA data. But since the end of March, rising European biodiesel prices and a tightening arbitrage to the US has reduced the country's imports from the EU , according to Global Trade Tracker data. By Payne Williams Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
Pasture-for-biofuels can boost LatAm output
Pasture-for-biofuels can boost LatAm output
Belo Horizonte, 29 May (Argus) — Brazil, Argentina, Colombia and Guatemala can double their combined biofuel production by turning existing pasture land into crops for biofuel feedstocks, according to a University of Sao Paulo professor. The four countries already produce 24pc of global biofuels, including 29pc of all ethanol, Glaucia Mendes Souza said during a G20 Energy Transition Working Group meeting in Belo Horizonte, Brazil, today. But converting pastures to grow sugarcane, palm oil, corn and soybeans could increase that significantly and cut total CO2 emissions, she said. Souza highlighted six other nations with potential to greatly increase biofuel crops: China, India, Indonesia, Malaysia, South Africa and Thailand. If these 10 countries combined can turn 11pc of their current pastures into land to produce biomass or biofuel feedstocks, global biodiesel production would grow by 45.7bn l/yr (792,550 b/d), while global output of ethanol could increase by 64.7bn l/yr, she said. Brazil alone would increase ethanol production by 55pc. The country produced 35.4bn l of ethanol in 2023, according to hydrocarbons regulator ANP. For the four Latin American nations converting that much land toward biofuels would avoid 120mn t of CO2 equivalent (CO2e)/yr, up from the 63.8mn t of CO2e/yr avoided under current biofuels production, Souza said. For all 10 countries a combined 300mn t of CO2e/yr could be avoided. Brazil has the opportunity to "set an example" to the rest of the world, Souza said on the sidelines of the conference, as the country already serves as a benchmark for biofuel production. Key programs, such as the Renovabio biofuel policy, have helped turn Brazil into an energy transition leader, she said, while the pending fuel of the future bill could further those moves. But Brazil has plenty of room to improve, especially in the environmental arena, she said. "Brazil's deforestation rates contaminate our entire speech," she said. The rate of deforestation in Brazil's Amazon basin in the first quarter fell by 50pc from 2022 to 2023, and is down by 40pc in the first quarter of 2024 from a year earlier, according to government figures. But deforestation in the Cerrado tropical savanna biome, mostly located in the main Brazilian grain-producing state of Mato Grosso, grew by 68pc in 2023 from a year before, according to NGO Mapbiomas, which maps the country's land. Souza also called for more fiscal incentives for using crop byproducts, such as sugarcane bagasse, to produce biofuels. By Lucas Parolin Send comments and request more information at feedback@argusmedia.com Copyright © 2024. Argus Media group . All rights reserved.
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