Gunvor partners with ClearShift on zero carbon diesel and chemicals

The LOI covers a 10 year supply of all natural gas and RNG, the offtake of low-carbon diesel, and the offtake of high-grade carbon-neutral chemicals from ClearShift's facility to be located near the chemical corridor in Louisiana, US.

The structure of Gunvor's supply and offtake allows for a fully de-risked margin to ClearShift, while providing optionality for both parties to capture additional margin. The facility will consume approximately 55 000 million Btu/d of natural gas and RNG and will produce approximately 75 million gal./y of low-carbon renewable diesel and zero carbon, high-grade specialty chemicals. ClearShift also produces clean hydrogen, which is consumed in its non-combustion production process.

"ClearShift is pioneering the energy transition, creating pure, low-carbon fuels and carbon neutral specialty chemicals from readily available cheap hydrocarbon supplies," said Shane Foster, Energy Transition Lead – Americas at Gunvor. "We look forward to building a long-term relationship focused on enhancing the variety and quality of fuels and chemicals we offer to our customers."

"We are thrilled about our relationship with Gunvor," said John Stephenson, CEO of ClearShift. "When combined with the new incentives available in the Inflation Reduction Act, this agreement serves as a quantum leap for our business, illustrating how sustainable technology-based companies and leading commodity trading houses can partner together to ensure that the next wave of sustainable infrastructure thrives."

Read the article online at: https://www.hydrocarbonengineering.com/clean-fuels/13122023/gunvor-partners-with-clearshift-on-zero-carbon-diesel-and-chemicals/