Earlier this year it was announced that Chevron would be purchasing Renewable Energy Group (REG) and that purchase was finalized today. We had the chance to talk with Chevron Renewable Energy Group President Kevin Lucke about what this will mean for the future of both companies. He said that Chevron is committed to providing more biofuels and clean energy options. The acquisition will help Chevron reach those goals.
Lucke addressed the question marks around an oil company purchasing a renewable fuels producer. He says that the energy market is seeing supply complications, and it will take all kinds of energy options for the U.S. and the rest of the world to keep moving forward.
The appeal of REG to Chevron was the fact that they are using domestically sourced fuel components to make the biofuels.
Lucke reiterated their commitment to Iowa producers that there will be a home and demand for their grain products in the renewable fuels arena. They are going to base this new division in Ames and keep things running as is, until improvements to facilities can be made.
