Calumet's $1.5 Billion DoE Loan Guarantee Positions It for Significant Future Gains

Thursday, 17 October 2024, 16:51

Calumet's $1.5 billion loan guarantee from the Department of Energy realizes the max bull case for its growth strategy. This financial support facilitates the expansion of SAF and renewable diesel production, with an anticipated EBITDA potential of up to $1 billion.
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Calumet's $1.5 Billion DoE Loan Guarantee Positions It for Significant Future Gains

Calumet's Strategic Move with DoE Loan Guarantee

Calumet has successfully secured a $1.44 billion loan guarantee from the Department of Energy, signaling a pivotal moment for the company. This vital financial backing is aimed at expanding the production of Sustainable Aviation Fuel (SAF) and renewable diesel. With this significant boost, Calumet stands to greatly enhance its market position.

Potential for Impressive EBITDA

Analysts predict that the company's EBITDA could reach an astounding $900 million to $1 billion. This projection is based on the expected profitability from the expanded production capabilities that will stem from the loan guarantee.

  • Expanded Production: Investing in SAF and renewable diesel regions.
  • Market Position: Calumet might gain a competitive edge.
  • Financial Health: Strengthened balance sheet through this financing.

This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.


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