CO2 From Nebraska Ethanol Refineries Now Stored Underground in Wyoming
Key Highlights
- Green Plains operates nine biorefineries across several states, converting over 300 million bushels of corn into nearly 1 billion gallons of ethanol annually.
- The company received approximately $14 million in federal 45Z clean fuel production credits, with additional payments expected in early 2026.
- The Advantage Nebraska plan aims to significantly cut emissions from the company's ethanol production, advancing its low-carbon platform.
The first delivery of captured carbon dioxide from a Nebraska biofuels refinery has been transported on a newly adapted pipeline and permanently sequestered in Wyoming geologic formations.
Green Plains has moved CO2 from all three of its Central City, Wood River and York refineries into the Trailblazer pipeline, owned by Tallgrass Energy. The captured carbon is now being stored at the Tallgrass southeast Wyoming sequestration hub.
“Our success in Nebraska shows that we’re executing on our low-carbon strategy with purpose and precision,” said Chris Osowski, Green Plains president and CEO, in a statement. “With each step forward, we’re unlocking new value and advancing our low-carbon platform that we believe will drive growth and deliver long-term value.”
Green Plains has been producing biofuels from corn since 2007. In addition to the York refinery, the company has nine biorefineries in Indiana, Illinois, Iowa, Minnesota and Nebraska.
Platform capacity companywide is to convert more than 300 million bushels of corn into nearly 1 billion gallons of biofuel ethanol, 290 million pounds of renewable corn oil and 2.5 million tons of distillers grains and ultra-high protein.
The company also reported receipt of its federal 45Z clean fuel production credit payment of approximately $14 million, representing a portion of the 2025 production tax credits transferred under a previously announced agreement. Additional payments related to the remaining 2025 tax credits are expected in Q1 2026.
September year to date, Green Plains has recorded approximately $26.5 million in 45Z value generated before activating carbon capture systems. Under the 45Z program, eligible low-carbon fuel producers earn production tax credits based on the carbon intensity of their fuel, meaning as the plants reduce their carbon intensity, credit value per gallon is expected to increase.
Green Plains quotes the U.S. Department of Agriculture in reporting that every gallon of biofuel produced reduces greenhouse gas emissions 43% compared to a gallon of conventional gasoline.
On the carbon capture side, the company’s Advantage Nebraska plan aims to reduce and remove emissions from the 287 million gallons of ethanol produced annually at York, Central City and Wood River.
The Trailblazer pipeline was originally built to move natural gas in the Rocky Mountain states. Tallgrass converted the pipeline to move captured carbon from ethanol plants into geologic storage, investing $1.5 billion of private and public funding for the conversion.