ESG Report - Report - Page 11
STRATEGY
LOW-CARBON
ENVIRONMENT
Sustainable Aviation Fuel
SAFETY
COMMUNITY
PEOPLE
GOVERNANCE
Low-Carbon Hydrogen
Low-carbon jet fuels are essential for
GHG emissions reductions in the aviation
sector.
• In early 2023, we announced a $315 million
investment in a SAF project7 at our renewable
diesel plant in Texas, which is expected to
become one of the largest SAF manufacturers
in the world. With completion expected in
2025, we will have the capability to upgrade
approximately 50% of the plant’s current 470
million gallon annual production capacity of
renewable diesel to SAF.
• Alcohol-to-jet (ATJ) is another low-carbon
pathway to produce SAF. With abundant supply
of ethanol and sequestration of biogenic CO2
streams from fermentation, our ethanol plants
may be uniquely advantaged in the potential
production of jet fuel from low-carbon ethanol.
Valero is evaluating or developing
opportunities to participate in the hydrogen
economy. Together with the operations team,
our innovation and engineering teams are currently:
• Developing low-carbon hydrogen from renewable
propane at two of our refineries.
• Replacing gray hydrogen with low-carbon hydrogen
at our renewable diesel plants to further decrease
the CI of our renewable products, including propane,
naphtha and diesel.
• Using renewable natural gas from municipal solid
waste to produce low-carbon transportation fuels
at our Corpus Christi refinery that are then exported
to Europe. This fuel is valued higher compared to
petroleum fuels and the government uses it to meet
certain GHG emission reduction goals. In 2022, we
processed nearly 1 trillion BTUs of renewable natural
gas in the production of these fuels and expect to
process at least twice that amount in 2023.
Tailpipe CO2 Onboard Capture System
Valero is supporting Southwest
Research Institute (SwRI) in
the development of a solid
filtration membrane to remove
CO2 from the exhaust tailpipe of
internal combustion engine vehicles.
The objective of this revolutionary
technology is to provide an affordable
solution that lowers vehicle life cycle
GHG emissions. In concept, applying
this technology to cars could result in
lower carbon emissions, competing
with other technologies such as
EVs. Even lower emissions could be
achieved if the vehicle uses lowcarbon fuels.
Currently, SwRI is working on a
prototype in collaboration with an
auto manufacturer to demonstrate its
performance capabilities.
Multistage
CO 2 Compressor
CO 2
Separation
Membrane
Remaining
Exhaust
CO 2 Storage
Tank
Catalytic
Converter
For illustrative purposes only. The proposed CO2 onboard
capture technology could be placed along the exhaust
flow. Preliminary lab testing indicated it could capture a
substantial amount of CO2 emissions of the vehicle.
ENVIRONMENTAL, SOCIAL AND GOVERNANCE REPORT •
11
