Chevron Corporation has formed a biofuels business unit to advance technology and pursue commercial opportunities related to the production and distribution of ethanol and biodiesel in the United States.
Chevron made the announcement today at the groundbreaking ceremony for Galveston Bay Biodiesel (GBB)—a new 100-million gallon per year biodiesel plant. Chevron has a 22% stake in the GBB company. (Earlier post.)
Biofuels are a growing component of the world’s energy base and will be an active part of Chevron’s efforts to help diversify the world’s energy supplies. Chevron’s capabilities and experience in producing and distributing high-quality fuels make us ideally positioned to pursue opportunities in this sector as it expands.—Donald Paul, vice president and chief technology officer, Chevron
The biofuels business unit will operate within Chevron Technology Ventures (CTV), a corporate subsidiary dedicated to identifying, developing and commercializing emerging energy technologies. Chevron will leverage its broad portfolio of existing technological capabilities and assets to the company’s efforts in this area.
In the United States, Chevron currently blends about 300 million gallons of ethanol per year for use in gasoline blends. In January, the company announced it is participating in an E85 demonstration project with the state of California, General Motors and Pacific Ethanol. The project will study performance, efficiency and environmental issues over a one-year period using California-formulated E85 (85% ethanol, 15% gasoline).