
Key Points
- 01Chevron (CVX) will restart its idled biodiesel facility in Ralston, Iowa
- 02Restart is supported by a new agreement with Landus Cooperative
- 03Ralston plant can produce nearly 42 million gallons of biodiesel a year
- 04Improved biodiesel markets and feedstock supply enabled the decision
Chevron to resume biodiesel operations in Ralston
Chevron U.S.A. Inc., a subsidiary of Chevron Corporation (CVX), has announced plans to resume operations at its biodiesel production facility in Ralston, Iowa. The plant had been idled in 2024 following a downturn in biodiesel market conditions, and the restart marks a return to production at the site.
The decision to restart the Ralston facility is supported by a commercial and operational agreement with Landus Cooperative, an Iowa-based agriculture services cooperative. This agreement underpins feedstock supply from Landus’ neighboring soybean processing facility, which is intended to provide an efficient and integrated supply chain for biodiesel production.
Feedstock partnership with Landus Cooperative
Landus recently implemented updates at its Ralston processing facility, which processes more than 28 million bushels of soybeans annually.
Executives from both companies highlighted the long-standing relationship at the Ralston site. Landus president and CEO Eric Heismeyer described the combination of soy processing and biodiesel production at Ralston as a powerful partnership among the companies, local communities, and other stakeholders.
Capacity, ramp-up and local impact
At full production, the Ralston biodiesel facility has a capacity of nearly 42 million gallons of biodiesel per year. The restart is expected to take place through a phased process that includes staffing, maintenance, safety work, and operational readiness activities before production fully resumes.
The return to service is expected to create employment and contracting opportunities in the surrounding region. However, the timing and scope of workforce additions are still being assessed as Chevron plans the stages of the restart.
Improved market conditions and Chevron’s renewables progress
Chevron cited improved biodiesel market conditions as a key factor in the decision to bring the Ralston facility back online. The strengthened feedstock supply chain from Landus’ upgraded processing operation also contributed to the decision to recommence production.
Andy Walz, president of Downstream, Midstream & Chemicals at Chevron, said the restart reflects improved market conditions and Chevron’s commitment to helping meet customers’ energy needs. The move comes as Chevron reports operating its U.S. petroleum refineries at nearly 98% utilization in the third quarter and achieving monthly production records for renewable diesel and biodiesel in 2026.
Key Takeaways
- 01Restarting the Ralston facility expands Chevron (CVX)’s existing renewable fuels footprint at a time when it is already setting biodiesel and renewable diesel production records.
- 02The integrated arrangement with Landus’ high-volume soybean processing plant is central to improving feedstock efficiency and supporting sustained operations at Ralston.
- 03Local employment and contracting benefits are anticipated, but the exact pace and scale of hiring will depend on the phased restart and operational readiness work.
References
- https://finance.yahoo.com/energy/articles/chevron-restart-ralston-biodiesel-facility-120000112.html?.tsrc=rss
- https://www.investing.com/news/company-news/chevron-to-restart-iowa-biodiesel-plant-after-2024-shutdown-93CH-5021253
- https://nl.investing.com/news/company-news/chevron-herstart-biodieselfabriek-in-iowa-na-sluiting-in-2024-93CH-972623
- https://pl.investing.com/news/company-news/chevron-wznowi-produkcje-biodiesla-w-iowa-po-zamknieciu-w-2024-r-93CH-1649719