Sustainability

Energy and Co-Products

Unit of Measure 2019* 2020* 2021
Electricity Use kWh/Undenatured gallon .600 .590 .575
Natural Gas Usage Mcf/Undenatured gallon 26.830 26.775 26.885

 

*Operating results for 2019 and 2020 may not be typical due to a reduced number of operating days. The reduced operating days were due to factors, such as, regional feedstock shortage and COVID-19 outbreak.

      • Since 2019 the facilities have realized a 4.2% reduction per gallon of electricity as we have made capital investments with Frequency Drive Technology to improve our overall usage.
      • REX’s goal is to continue to focus on reduced energy use and strive for increased
        efficiencies where it operates.

RENEWABLE CORN OIL

Renewable corn oil presents an opportunity for REX to contribute to low-carbon fuels such as renewable diesel. As a waste oil by low-carbon fuel standards, renewable corn oil offers a low-carbon intensity as a feedstock. Annually each facility produces and supports renewable diesel production with roughly 40 million pounds of unrefined corn oil.

DRIED DISTILLERS GRAINS

Dried distillers grains (“DDGs”) are a major coproduct from the production of ethanol from grain. DDGs are typically used as a protein-rich animal feed. DDGs are dried to approximately 12 percent moisture to allow for long-distance shipping. DDGs substitute roughly 1-to-1 for corn grain in feed rations. Each facility produces and ships roughly 315,000 tons annually, with 27% shipped domestically and 73% exported.

Water and Effluents

Unit of Measure 2019* 2020* 2021
Total Water Usage Gal of H20/Gal of Undenatured ethanol 2.86 2.64 2.727
Total Process Water Discharged Gal of H20/Gal of Undenatured ethanol 0 0 0

*Operating results for 2019 and 2020 may not be typical due to a reduced number of operating days. The reduced operating days were due to factors, such as, regional feedstock shortage and COVID-19 outbreak.

      • Since 2019, REX American Resources has realized a 4.7% reduction in water usage.
      • We are developing goals to further reduce water consumption and increase the total reuse of water.

Water Management

Each location requires a consistent and reliable supply of water and as good stewards of water use and management, REX facilities meet or exceed all local and federal laws, guidelines, regulations and requirements for reporting, testing, permitting, and water discharge.

Control Systems

    • Stormwater containment ponds
    • Facility response plan (FRP) with boom system
    • Stormwater and prevention plan (SWPPP)
    • Discharge monitoring reports (DMR)
    • Spill prevention, control, and countermeasure plan (SPCC)
    • Facilities are subject to scheduled and unscheduled state and federal EPA inspections.
    • Water discharge limits are set through National Pollutant Discharge Elimination System (NPDES) and regulated by the EPA.
    • Laboratory testing and outside lab testing
    • All hazardous chemicals are stored indoors in compliance with local and federal regulations.

Risk Management

      • Facilities use leak detection and repair (LDAR) programs.
      • Thermal oxidizers are equipped with continuous emissions monitoring (CEM).
      • 100% of all the emissions controls are subject to daily, monthly, and annual inspections and testing.
      • 95% reduction in particulate matter by use of dust control systems.
      • 98% of ethanol and organic vapors produced by the fermenters are removed with a scrubber.
      • 98% of the ethanol loading vapors are controlled by the use of a thermal flare to destroy hazardous air pollutants (HAPS).
      • 98% reduction of organic emissions from exhaust of distillers’ grains dryers by use of thermal oxidizers.

Greenhouse Gas Emissions

The facilities qualified for the Efficient Producer pathway by demonstrating a 22% reduction in total greenhouse gas emissions per gallon of ethanol as per EPA guidelines. The EPA developed the Efficient Producer pathway for corn starch and grain sorghum producers that demonstrate superior process efficiency through reduced on-site energy consumption, increased fuel production, and certain energy sources to reduce process energy greenhouse gas emissions.

Carbon Sequestration

REX is working with the University of Illinois to develop a carbon sequestration project at one of the facilities. Geological mapping, characterization, and modeling have demonstrated the potential to store carbon dioxide captured at the plant in the Mount Simon Sandstone reservoir, a local geological formation. This project is still in its early stages but shows great potential for obtaining carbon neutral status.

Feedstock and Co-Products

Corn is the most abundant crop in the counties from which the facilities source their feedstock. Each facility uses approximately 49 million bushels of corn annually Each plant returns approximately 11 million bushels of the corn to the animal feed cycle through DDGs and 700,000 bushels of the corn to the renewable diesel industry through corn oil. The three-year average shows minimal shift in acreage from corn to soybeans with the ratio remaining approximately 1:1. The facilities locally source 99.9% U.S. domestic feedstock from within a 100-mile radius of the facilities. 32.5% of all corn feedstock was sourced directly from the producer in 2021. The products produced from the corn starch feedstock include ethanol, DDGs, and unrefined corn oil. All products are transported by rail or by truck, as indicated below. Ethanol is primarily transported by rail with only 14.5% transported by truck. DDGs and corn oil are transported primarily by truck due to the closer proximity to their destinations.

Crop Acres by Location

Corn Oil

DDGs

Ethanol

Contact Us

REX American Resources Corporation is traded on the NYSE under the symbol REX.
Investors can receive a hard copy of the annual report by written request to:

REX American Resources Corporation
Attn: Chief Financial Officer
7720 Paragon Road
Dayton, Ohio 45459.

Phone: (937) 276-3931

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