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Valero had the privilege to distribute $1.5 million to 58 San Antonio area charities from funds raised through the 2021 Valero Texas Open and Valero Benefit for Children. These agencies are positively impacting children’s lives and providing vital resources in education, health care and basic necessities.
None of this is possible without Valero’s valued business partners, who are the face of generosity. Together, the partners and Valero have raised more than $187 million for charities across the U.S. Next year marks the 100th anniversary of the Valero Texas Open. Valero looks forward to celebrating the legacy of giving back right here in San Antonio.
As we head into the final months of 2021, Valero continues to have a favorable outlook on its business.
Valero recently reported its third quarter 2021 results (earnings release and quarterly report on Form 10-Q, available at www.valero.com) on Oct. 21. The company reported adjusted net income of $500 million or $1.22 per share, with significant improvement in its business this quarter as economic activity and mobility increased.
While Hurricane Ida briefly impacted Valero’s Louisiana operations, the company was able to safely shut down and restart operations. Additional support was provided by emergency teams that were deployed to distribute supplies and assistance to Valero employees, their families, and the surrounding communities in the restoration and recovery effort.
Despite the impacts of the hurricane, Valero’s Diamond Green Diesel joint venture completed the renewable diesel expansion project at its St. Charles refinery (DGD 2) in the third quarter ahead of schedule and on budget, and is in the process of starting up the new unit. DGD 2 adds another 400 million gallons per year of renewable diesel capacity, bringing DGD’s total current capacity to 690 million gallons per year. Construction continues on Texas’ first renewable diesel plant, DGD 3, at Valero’s Port Arthur Refinery, with an expected completion in the first half of 2023. Once operational, Diamond Green Diesel’s total annual capacity is expected to be 1.2 billion gallons of renewable diesel and 50 million gallons of renewable naphtha, further solidifying Valero’s position as America’s largest renewable diesel producer.
Valero continues to explore growth through innovation in other renewables. The large-scale carbon sequestration project in the U.S. Midwest with BlackRock and Navigator is also progressing on schedule. Valero is expected to be the anchor shipper with eight ethanol plants connected to this system, further reducing the carbon intensity of our transportation fuels while providing higher product margin.
Continued improvement in earnings of Valero’s refining business, coupled with the ongoing expansion of the company’s renewables businesses, should strengthen its competitive advantage and drive long-term shareholder value.
