Oleochem Analytics – Marathon Petroleum, an energy company headquartered in Findlay, Ohio, announced August 19 an agreement to form a joint venture (JV) with ADM to produce soybean oil (SBO) to supply rapidly growing demand for renewable diesel fuel.
Under the agreement, the JV will own and operate ADM’s previously announced soybean processing complex in Spiritwood, North Dakota, with ADM owning 75% of the joint venture and Marathon owning 25%.
The Spiritwood facility will source and process local soybeans and supply the resulting SBO exclusively to Marathon for its renewable diesel operations in Dickinson, North Dakota. It is expected to produce approximately 600 million pounds of refined SBO annually, enough feedstock for approximately 75 million gallons/year of renewable diesel, according to the company’s statement.
The $350 million complex in Spiritwood is expected to be complete prior to the 2023 harvest. It will have the capacity to process 150,000 bushels/day of soybeans.
In addition to the Spiritwood joint venture, the companies anticipate working together to explore other opportunities for agriculture to support renewable transportation fuels.