Category Archives: SAF

Incentives Attract $820 Million SAF Project to Illinois

Illinois Governor JB Pritzker, Avina Clean Hydrogen, and the Illinois Department of Commerce and Economic Opportunity (DCEO) jointly announced on December 19 that Avina Clean Hydrogen has selected southwestern Illinois as the location for its $820 million sustainable aviation fuel (SAF) project.

This investment will enable Avina Clean Hydrogen to build a state-of-the-art facility in the region, utilizing KBR’s alcohol-to-jet technology to produce up to 120 million gallons of SAF annually. The project will help Illinois meet its clean energy goals while supporting the state’s rapidly growing clean energy economy.

The facility is expected to reduce approximately 25 million metric tons of carbon emissions from the aviation industry annually over its lifecycle, making a significant contribution to global emission reduction targets. Additionally, the project will create at least 150 full-time jobs and approximately 1,000 construction jobs in Illinois, providing a substantial boost to the local economy.

To promote SAF production and sales, Illinois has also introduced tax credit incentives to encourage its use at airports across the state.

This investment represents a significant step forward in Illinois’ efforts to advance sustainable development and clean energy innovation. It highlights the growing trend of the aviation fuel sector moving toward low-carbon, green solutions. With the increasing global demand for emission reductions and clean energy, Avina Clean Hydrogen’s project will undoubtedly play a key role in the aviation industry’s sustainable transformation in the coming years.

SAF

Burnaby refinery produces first SAF in Canada

Parkland announced that it has successfully produced Canada’s first batch of low-carbon aviation fuel (SAF) at its Burnaby refinery. With the support of the Government of British Columbia, this is an important step towards delivering a made-in-Canada solution that can help reduce aviation emissions, promote economic growth and support British Columbia and Canada’s low-carbon goals.

Using existing infrastructure, Parkland’s Burnaby refinery has successfully produced approximately 101,000 litres of low-carbon aviation fuel using non-food-grade canola oil and tallow as core feedstocks. Low Carbon Aviation Fuel (LCAF) can be categorised as Sustainable Aviation Fuel (SAF) through appropriate certification throughout the supply chain. The fuel has been purchased by Air Canada.

SAF

Japan’s Saffaire SAF project achieves ISCC certification

Japan’s Saffaire Sky Energy has obtained international certification for sustainable aviation fuel (SAF) and is advancing its domestic SAF production project in Osaka prefecture, the company announced.

Established in 2022, Saffaire Sky Energy is a joint venture between Japanese refiner Cosmo Oil, engineering firm JGC, and biodiesel producer Revo International.

The company received the International Sustainability and Carbon Certification’s (ISCC) Carbon Offsetting and Reduction Scheme for International Aviation (Corsia) in November, confirming the sustainability of the SAF produced at its Sakai plant in Osaka prefecture.

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Samsung Opens Its First Biofuel Plant in Malaysia

Samsung has secured a contract for a new biorefinery capable of producing Sustainable Aviation Fuel (SAF) and Hydrotreated Vegetable Oil (HVO) to meet the growing global demand in the aviation and transportation industries.

This marks Samsung’s first entry into the SAF market, a new business initiative in the era of energy transition.

The company announced that it has received the Letter of Award (LoA) for the Malaysian project from a joint venture formed by Enilive on behalf of Petronas Mobility Lestari. The EPCC contract is valued at $955 million (€912 million) and is expected to be formally signed by the end of January 2025.

The biorefinery will be located within Petronas’ Pengerang Integrated Complex (PIC) in Johor, Malaysia. Once completed, it will have the capacity to process approximately 650,000 tons of raw materials annually to produce SAF, HVO, and bio-naphtha.

The feedstock for the biorefinery will include waste vegetable oils, animal fats, by-products from vegetable oil processing, and other biomasses, including microalgae oil, which is expected to be developed in the medium term.

biodiesel

Malaysia to build biofuel plant worth over $1.26bn

South Korea’s Samsung E&A said Thursday it has been awarded a contract to build a refinery in Malaysia that will produce sustainable aviation fuel (SAF) and other biofuels.

The contract, worth $955 million, was signed by Italian oil giant Eni Group on behalf of a joint venture between Malaysia’s Petronas and Japan’s Euglena Co Ltd. The contract is expected to be signed by the end of January 2025.

No completion date has been set for the Engineering, Procurement, Construction and Commissioning (EPCC) contract, but Euglena has previously said that the biorefinery is expected to be operational in the second half of 2028.

The EPCC contract follows a final investment decision by Petronas and its partners to develop the project, which is valued at more than $1.26 billion.Petronas and Eni will each hold a 47.5% stake in the joint venture, while Euglena will start with a 5% stake, with an option to increase its stake to 15%.

The biorefinery will be located in the Bianjaran Integrated Park in Johor and, when completed, will process about 650,000 tons of raw materials per year for the production of SAF, hydrogenated vegetable oil and bio-naphtha.

Planned feedstocks will include waste vegetable oils, animal fats, waste from vegetable oil processing and other biomass including microalgae oils to be explored in the medium term.

Translated with DeepL.com (free version)

biofuels

Pathway Energy plans to build roughly 92,000-tonne SAF plant in Texas

Pathway Energy LLC debuted as a wholly owned subsidiary of Nexus Holdings on 12 December and announced the launch of a series of commercial-scale sustainable aviation fuel (SAF) facilities.

Located in Port Arthur, Texas, the project will be capable of producing 30 million gallons of carbon-negative SAF per year, which equates to enough fuel for 5,000 carbon-neutral long-haul (10+ hour) flights per year.

Through biomass, gasification and syngas conversion technologies, Pathway will convert sustainably sourced wood pellets, a homogeneous and globally traded commodity, into SAF.

biofuels

DGD is expected to be one of the largest SAF manufacturers in the world

Darling Ingredients Inc., a global leader in transforming food waste into sustainable products and renewable energy, has announced a groundbreaking development in the aviation industry. On December 10, the company revealed that Avfuel Corp., the leading independent supplier of aviation fuel and services, has received its first shipment of sustainable aviation fuel (SAF) produced by Diamond Green Diesel (DGD). DGD is a 50/50 joint venture between Darling Ingredients and Valero Energy Corp.

A Milestone Delivery in Naples, Florida

Naples Aviation (KAPF), located in Naples, Florida, became the first Avfuel network location in the eastern United States to offer SAF for general sale. This milestone follows a SAF supply agreement between Avfuel and Valero Marketing and Supply Company, a Valero subsidiary. The delivery underscores the aviation industry’s commitment to reducing its carbon footprint and advancing sustainability efforts.

SAF Made from Waste-Based Feedstocks

DGD’s SAF is produced using waste-based feedstocks, including used cooking oil, animal tallow, and distiller’s corn oil. This innovative production process allows for an estimated lifecycle greenhouse gas emission reduction of up to 80% compared to conventional jet fuel, making it a game-changer for sustainable aviation.

“As the world’s largest producer of SAF made from waste-based feedstocks, DGD is leading the way in reducing aviation’s carbon footprint and accelerating the decarbonization of the aviation sector,” said Randall C. Stuewe, Chairman and CEO of Darling Ingredients. “This milestone proves that we can transform waste into renewable energy at an unprecedented scale, driving meaningful progress toward a more sustainable future.”

DGD’s Growing SAF Production Capacity

DGD’s Port Arthur, Texas, facility loaded its first SAF shipment on November 16. The site has already converted approximately 50% of its annual 470-million-gallon production capacity to SAF, positioning it among the world’s largest SAF manufacturers. This expanded capacity signifies a pivotal step in the aviation industry’s shift toward greener, more sustainable energy sources.

A New Era for Aviation Sustainability

This first SAF delivery represents more than just a logistical achievement; it marks a pivotal moment in the aviation sector’s journey toward decarbonization. By leveraging waste-based feedstocks, Darling Ingredients and its partners are setting a precedent for renewable energy innovation on a global scale.

As SAF becomes increasingly available across the aviation industry, this collaboration between Darling Ingredients, DGD, and Avfuel exemplifies the transformative potential of renewable energy in addressing climate change and fostering a more sustainable future.

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CleanJoule Announces Launch of SpaceSAF

CleanJoule launched its newest product, SpaceSAF™, on 10 December, which is a direct replacement for ultra-refined paraffin fuel used in liquid rockets (Rocket Propellants 1/RP-1 and RP-2).

CleanJoule says its SpaceSAF meets the needs of sustainable space missions while increasing payload due to more than a 4 per cent increase in energy density compared to existing petroleum-derived fuels.

Using the same base materials used to produce SpaceSAF, CleanJoule also produces a higher quality, sustainable solid rocket fuel (SSRF) for use in existing solid rocket motors.

 

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Korea has implemented SAF mandates

A new report released by the Korea Institute for Energy Economics and Financial Analysis (KEEFA) highlights the importance of developing a domestic sustainable aviation fuel supply chain and addressing the associated challenges and risks for South Korea to capitalise on market opportunities.

South Korea, the world’s largest exporter of aviation fuel, has implemented an SAF mandate, effective from August 2024, requiring a minimum blend of 1% SAF by 2027 for international flights.

Michelle (Chaewon) Kim, author of the report and IEEFA’s expert on energy finance in Korea, said the requirement is an important step in reducing the aviation industry’s contribution to global greenhouse gas (GHG) emissions, which account for 2-3 per cent of the world’s total GHG emissions.

However, delayed domestic supply uptake and unsustainable feedstock use and production pathways could pose challenges, hindering the country’s SAF market leadership and decarbonisation potential.

 

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SAF production to reach 1 million tonnes

The International Air Transport Association (IATA) has released new estimates of sustainable aviation fuel (SAF) production, which show that SAF production will reach 1 million tonnes (1.3 billion litres) in 2024, double the 500,000 tonnes (600 million litres) in 2023:

– SAF production will reach 1.0 million tonnes (1.3 billion litres) in 2024, double the 0.5 million tonnes (0.6 billion litres) in 2023.SAF accounts for 0.3 per cent of global aviation fuel production and 11 per cent of global renewable fuels.

SAF accounts for 0.3% of global aviation fuel production and 11% of global renewable fuel production.-This is significantly lower than the 1.5 million tonnes (1.9 billion litres) of SAF production in 2024 that was previously forecast, as the major SAF production facilities in the United States have delayed their ramp-ups until the first half of 2025.

-SAF production is expected to reach 2.1 million tonnes (2.7 billion litres) by 2025, representing 0.7% of total aviation fuel production and 13% of global renewable fuel capacity.

‘SAF volumes are increasing, but at a disappointing rate. Governments are sending mixed signals to oil companies, which continue to receive subsidies for exploration and production of fossil oil and gas. Investors in the new generation of fuel producers seem to be waiting for assurances of easy money before going all in. With airlines, the core of the value chain, posting net profits of just 3.6 per cent, SAF investors’ earnings expectations need to be slow and steady, not fast and furious. But there is no doubt that airlines are eager to buy SAFs and that investors and companies that see a long-term future in decarbonisation can make money. Governments can accelerate progress by reducing subsidies for fossil fuel production and replacing them with strategic production incentives and clear policies that support a future built on renewable energy, including SAFs,’ said Willie Walsh, Director General of the International Air Transport Association.