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Released January 05, 2022 | SUGAR LAND
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Researched by Industrial Info Resources (Sugar Land, Texas)--As governments and companies opt for greener forms of energy, alternative fuels projects are booming in the U.S. These projects vary tremendously in type, ranging from renewable-diesel production to wood pellet-processing plants. Industrial Info is tracking $15.4 billion in medium- and high-probability (70%-99% chance of moving forward as planned) alternative fuels projects that are planned to kick off this year in the U.S.

Some of the largest alternative fuels projects that are set to kick off this year are coming from major refiners, such as Marathon Petroleum Corporation (NYSE:MPC) (Findlay, Ohio) and Phillips 66 (NYSE:PSX) (Houston, Texas). A substantial number of these projects are to be located in California, a state that is implementing stringent renewable fuels standards. Because of this, the West Coast market region leads the U.S. in the value of planned alternative fuels projects, and even projects outside of California are aimed at exporting their products to the state.

Attachment Click on the image at right for a breakdown by market region of alternative fuels projects planned to kick off in the U.S. in 2022.

Examples include Marathon's conversion of its Martinez Refinery, located about 35 miles northeast of San Francisco. The refinery will be converted in three phases to produce renewable fuels, with Phase I set to kick off early this year. The 161,000-barrel-per-day refinery was shut down in 2020 due to COVID-19, and the following year, Marathon announced its decision to convert the facility to renewable fuels production. The facility will begin producing renewable diesel this year, ramping up to full capacity in 2023, when it will produce about 730 gallons of renewable fuels--mostly renewable diesel--from feedstocks such as animal fats, soybean oil and corn oil. According to Marathon, the conversion will reduce the facility's greenhouse gas emissions by 60% and water use by 1 billion gallons per year. Subscribers to Industrial Info's Global Market Intelligence (GMI) Alternative Fuels Project Database can click here for the project report on Phase I and here for the report on phases II and III.

Smaller producers also are getting into the renewable diesel game. ReadiFuels (Panama City, Florida) plans to kick off construction of a renewable diesel and naphtha plant in Hull, Iowa, later this year. The facility will process feedstocks, including distillers corn oil, grease and tallow, into 34 million gallons of renewable diesel and naphtha to be transported by rail to California. Subscribers can click here for the project report.

Europe and Asia have embraced the use of biomass for power generation much more than North America. However, the U.S., particularly the Southeast market region, plays an important role in this form of energy production through wood pellet-production facilities with an aim to export. Examples of U.S. wood pellet projects planned to kick off this year include Renewable Biomass Group's (Adel, Georgia) grassroot facility in Adel. The project is planned to kick off this summer, and the facility will include 11 pelletizers to produce 450,000 metric tons per year of pellets for transport to the Port of Savannah, to be shipped to places such as Antwerp, Belgium, and Japan. The facility is expected to be completed by the end of next year. Subscribers can click here for the project report.

The budding industry of commercial hydrogen production by electrolysis is all the rage these days, but Raven SR (Pinedale, Wisconsin) has developed a technology to produce hydrogen from a non-combustion reforming process to produce fuels such as hydrogen. The company this year plans to construct a renewable hydrogen fuel plant in San Jose, California, to produce approximately 10,000 kilograms per day from both organic and nonorganic waste. Subscribers can click here for the project report.

Renewable natural gas and biogas also are taking a hold on the alternative fuels market. In Yaphank, New York, American Organic Energy (Westbury, New York) plans to begin construction of a grassroot waste-to-biogas plant this year. The 75,000-square-foot grassroot production building will process up to 180,000 tons per year of biosolids food waste into methane biogas for the California fuel market. The project was delayed due to the COVID-19 pandemic, but the company plans to kick off construction this summer. Subscribers can click here for the project report.

Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, six offices in North America and 12 international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities. Follow IIR on: Facebook - Twitter - LinkedIn.

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