Chevron, the world’s largest oil firm, has completed the acquisition of Renewable Energy Group (REG), a biodiesel producer based in Iowa. REG owners approved the deal, says an article published in Offshore Energy.
Approval from REG stakeholders
Chevron said in early March that it will pay $3.15 billion in cash for the renewable energy company’s outstanding shares.
After getting permission from REG stakeholders, the deal was completed on July 13th.
The major purpose of this deal is to help Chevron meet its goal of increasing renewable fuels production capacity to 100,000 barrels per day by 2030.
It also brings with it more feedstock and pre-treatment facilities.
Lower carbon solutions
“We have brought together companies with complementary capabilities, assets, and customer relationships to make Chevron one of the leading renewable fuels companies in the U.S.,” said Mark Nelson, executive vice president of downstream & chemicals for the company.
“Chevron now offers our customers an expanded suite of cost-effective, lower carbon solutions that utilise today’s fleets and infrastructure.”
Experience in energy sector
Cynthia Warner, formerly president and CEO of REG, has been appointed to Chevron’s board of directors.
“CJ Warner has deep experience across both the traditional and renewable energy sectors,” said Chevron CEO Mike Wirth.
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Source: Offshore Energy
