Tesoro oil refinery in Dickinson, North Dakota, has plans to co-process renewable feedstock along with regionally sourced Bakken crude oil to produce a 5 percent renewable diesel blend. Construction is planned to begin in October with start-up expected in December.Some data points:
- Tesoro acquired the Dakota Prairie Refinery in Dickinson last year
- capacity: can refine 20,000 bbls per day
- renewable feedstock: regionally sources soybean oil and distillers corn oil from ethanol plants
- Tesoro has applied for a $500,00 grant through the NDIC
- capacity: up to 16,800 gallons per day of renewable feedstock
- the total cost of the project: $3.5 million
As an obligated party under the federal Renewable Fuel Standard, Tesoro indicated the project’s motivation is the increased environmental value of renewable diesel under the RFS.
“The co-processed renewable diesel will generate about 1.7 D5 RINs per gallon,” the refiner stated. “The current market value of a RIN is approximately $1 per RIN.”
The company said the results of this project will help determine the potential for a larger future renewable project at the Tesoro Dickinson Refinery.Reminder: Tesoro will change its name to Andeavor on August 1, 2017.