Argent plans to end biodiesel production at Scottish plant

European biodiesel producer Argent Energy has entered consultation on plans to end production at its biodiesel plant in Motherwell, Scotland.
Despite the excellent team and their considerable efforts, external factors affecting the UK and EU biodiesel market have driven the requirement to make a strategic change.
The decision, taken only after lengthy consideration of all other options, will concentrate the business on its other, better situated locations.
The company is focusing its efforts on supporting all affected employees.
Argent’s Motherwell biodiesel operation started back in 2005 producing 45,000 tonnes of waste-based biodiesel each year, before later expanding in 2016.
Argent’s second plant in Ellesmere Port is located on the Manchester Ship Canal and its third is strategically positioned in the Port of Amsterdam. An expansion of the Dutch facility is underway with initial plans to triple capacity.
Chief executive officer Louise Calviou said “This has been the hardest decision for us to make and is one we have not taken lightly. After careful consideration of market conditions and our strategic goals for global decarbonisation efforts, we believe it is a necessary step we need to take. We and our shareholder remain dedicated to our ambitious growth plans, and our mission to displace as much fossil fuel as possible continues.”
The main external conditions that have substantially weakened the environment for European and UK biodiesel production include the unprecedented competition from imported Chinese biodiesel that benefits from state economic support and subsidies.
These challenges have taken a toll on the sector as a whole and Argent Energy is working with the industry and UK government to solve these structural imbalances and put the sector back on an even footing, preventing further damage to the UK industry.