According to a notice published in the Lake County Oregon Examiner in late December, the Red Rock Biofuels project in Southern Oregon appears to be headed for foreclosure after Red Rock Biofuels failed to make principal and interest payment on some $300 million in debt. The notice sets a February 4, 2023, deadline for the company to make payment, with a property auction scheduled for February 9th.
Originally scheduled for completion in 2017, the plant was going to use biomass from regional forests to produce sustainable aviation fuel (SAF) and was supported by a $75 million Department of Defense grant and fuel commitments from FedEx and Southwest Airlines, as well as other state and local incentives and infrastructure improvements.
However, cost overruns, process re-engineering, COVID-19 related delays, and bankruptcy of a key supplier all negatively impacted the project. Construction had begun and there is still of equipment and machinery on site but no activity. Officials say there have been no public efforts to find a buyer to complete, repurpose, or move the refinery.
FEA compiles the Wood Markets News from various 3rd party sources to provide readers with the latest news impacting forest product markets. Opinions or views expressed in these articles do not necessarily represent those of FEA.