Ethanol Blog

LINCOLN, Neb. (DTN) -- Chevron Renewable Energy Group, one of the largest biofuel producers in the country, announced this week it has invested in a company that is developing pongamia as a biofuels feedstock.

Pongamia is a species of an oil tree in the pea family that is native to eastern and tropical Asia, Australia and the Pacific islands. The tree grows up to 80 feet high with a large canopy

Chevron Renewable Energy Group announced an undisclosed investment in Alamed, California,-based Terviva Inc., a company developing pongamia as a feedstock for biodiesel, renewable diesel and sustainable aviation fuel. According to a news release, the companies are teaming up to scale up pongamia production.

Terviva's pongamia cultivars have been developed through more than 15 years of research trials spanning nearly 2,000 acres in the U.S. and Australia.

Terviva's pongamia trees produce three or more metric tons of beans per acre, which feature a high-oil content.

The harvested beans are processed to produce oil, which can then be used as a feedstock or raw material for the biofuels industry. The combination of high-oil yields with low inputs can create biofuels with reduced greenhouse gas emissions compared to traditional fossil fuels.

"In working with Chevron Renewable Energy Group, we can increase the availability of feedstocks for production of these fuels while promoting our mission to revitalize agricultural land and communities," said Naveen Sikka, founder and CEO of Terviva.

"This relationship benefits stakeholders up and down the value chain, from farmers cultivating pongamia to fleets looking for lower-carbon fuels. Together, Chevron Renewable Energy Group and Terviva are generating economic opportunities and promoting environmental stewardship."

As a regenerative tree crop, pongamia is resilient and can survive with erratic water access and tolerate extreme heat. In addition, pongamia's nitrogen-fixing properties enrich soils while reducing reliance on synthetic fertilizers.

"Increasing the availability of lower-carbon feedstocks for renewable fuels production is going to be an essential component for continued growth of the biofuels industry," said Jan Slaghekke, vice president of business development and international operations for Chevron Renewable Energy Group.

"We are excited by the work Terviva is doing to scale the production of pongamia as a lower carbon feedstock for the biofuels industry and look forward to our relationship in helping this reach further commercialization."

Terviva was founded in 2010, according to the company's website, and has developed a method to harvest and transform pongamia beans into a food ingredient, as well.

The company's pongamia cultivars produce up to 3 to 4 metric tons of beans per acre of orchard, while an estimated 35% to 40% oil content is extracted from the beans.

The pongamia trees don't need pesticides or fertilizers and can flourish in everything from drought to wet conditions.

In December 2023, according to the Associated Press, Terviva also signed an agreement with Mitsubishi Corporation to produce biofuels feedstock for biodiesel, renewable diesel and SAF.

Todd Neeley can be reached at todd.neeley@dtn.com

Follow him on social platform X @DTNeeley

(c) Copyright 2024 DTN, LLC. All rights reserved.