Murphy USA’s Texas ethanol plant achieves record yields

By Erin Voegele | August 07, 2015

Murphy USDA Inc. has released second quarter financial results, reporting that its ethanol plant in Hereford, Texas, achieved record yields during the quarter and first six months of the year. The improved yields partially offset crush spreads, and the company noted the plant turnaround results demonstrated sustained improved financial performance.

“Our Hereford ethanol plant once again achieved record yields and higher throughputs, competing the one-year track record we committed to build,” said Andrew Clyde, president and CEO of Murphy USA, during an investor call. “This consistent strong performance has made this non-core asset more valuable than it was a year ago, as we prepare to take it to market.”

Regarding renewable identification numbers (RINs), Murphy USA reported income generated from the sale of RINs increased to $36.2 million during the quarter, up from $23.3 million during the same period of the prior year. The company also indicated 58 million RINs were sold during the three-month period at an average price of 62 cents per RIN.

Overall, Murphy USA reported net income of $26.2 million, down from $73.2 million during the same quarter of 2014. Earnings per share, assuming dilution, were 59 cents, compared to $1.57 during the same period of last year.