SAF Production Leaders

Quantifying leadership in the SAF industry remains challenging due to its dynamic nature and the absence of universally accepted benchmarks. A pragmatic and effective approach to gauge a company's influence and progress can be done by examining its offtake volume, which denotes the quantity of SAF that a company has committed to supply. This measure reflects both a company's production capabilities and its market reach, and indicates its impact in driving the industry forward.

By this standard, five companies emerge as the leaders based on publicly available data: Gevo, Alder Renewables, Fulcrum BioEnergy, Shell Aviation, and Neste. They are not only bolstering the credibility of SAF through significant supply commitments but are also paving the way for a greener future in aviation.

We remain conscious of the fact that offtake volumes will be realised in the distant future and are not necessarily the most accurate measure of the SAF supply. However, they are an important indicator of the industry’s SAF demand signals, and the suppliers’ response to those demands. This is a starting point. We will continue to improve our metrics in the future editions of this report as the SAF supply becomes more quantifiable.

Gevo

• Country: USA

• Offtake volume: 9.55 billion litres

• Key Parners: Delta Air Lines, American Airlines, Finnair

• Website: gevo.com

By offtake commitments, Gevo is by far the largest SAF player in the world. Their technology enables the conversion of renewable resources into isobutanol and hydrocarbons, creating jet fuel with a significantly reduced carbon footprint. The company primarily uses sustainably sourced carbohydrates like residual cornstarch as the feedstock for SAF.

While the effect of biofuels on food security has always raised several concerns, Gevo claims to use carbohydrates which currently suffer from an oversupply. Furthermore, carbohydrates are sourced from corn, only 1% of which is currently used for human consumption in the US.

Moreover, Gevo ensures that the energy sources for SAF production are renewable, thereby avoiding a massive chunk of carbon emissions from grid electricity. They also capture carbon at every step of the production process. In line with their principle of transparency, Gevo uses blockchain to track the sustainability of products. Called Verity Tracking, the program uses Farmer’s Edge’s precise farming database to measure and track carbon intensity throughout the SAF life-cycle.

FULCRUM BIOENERGY

• Country: USA

• Offtake volume: 6.72 billion litres

• Key Parners: United Airlines, Cathay Pacific, Japan Airlines

• Website: fulcrum-bioenergy.com

Fulcrum BioEnergy is pioneering the conversion of landfill waste into low-carbon fuel. Their process utilises gasification and Fischer-Tropsch technologies to produce renewable drop-in fuels, including SAF. In December 2022, the company’s Sierra BioFuels Plant, the first of its kind, produced low-carbon synthetic crude oil from landfill waste. The company argues that landfill waste is a readily available, low-cost feedstock for renewable fuel production. This waste doesn't require cultivation or extraction from wells, enabling Fulcrum to competitively price their fuels. Moreover, the existing infrastructure for waste collection, sorting, and delivery provides a stable supply chain. With almost 300 million tons of garbage generated annually in the U.S. alone and secured long-term supply agreements, Fulcrum's feedstock supply is both abundant and stable, supporting their growth plans.

They've secured waste supplies and fuel offtake agreements and are progressing on over ten future U.S. plants for net-zero carbon fuels. Additionally, they're exploring international opportunities in select countries, including the U.K., Mexico, Australia, South Korea, and Japan.

ALDER RENEWABLES

• Country: USA

• Offtake volume: 5.68 billion litres

• Key Partners: United Airlines, Boeing

• Website: aderrenewables.com

Alder Renewables is harnessing the power of sustainable biomass to create a low-carbon to carbon-negative renewable proprietary platform called Alder Renewable Crude (ARC). This innovative product can be converted into various forms of renewable energy and products, including SAF, low-carbon marine and transport fuels, and bio-based chemicals. The company says their key differentiator is the inherent adaptability of their ARC production process. This technological advantage allows them to utilise a range of abundant, non-food biomass sources, including sustainable woody residues, agricultural byproducts, and next-generation energy crops like Miscanthus.

Behind Alder Renewables are some of the most influential names in the industry – Honeywell UOP, United Airlines Ventures, Directional Aviation, and Avfuel. Their technology has undergone trials and tests at the Department of Energy’s National Renewable Energy Laboratory (NREL), with support from the U.S. Defense and Logistics Agency.

SHELL AVIATION

• Country: UK

• Offtake volume: 2.8 billion litres

• Key Partners: Delta Air Lines, Alaska Airlines, JetBlue, Lufthansa Group

• Website: shell.com

Shell has set a goal to produce 2 million tonnes of SAF annually by 2025, positioning it as a global leader in SAF production and a key player in aviation decarbonisation. This forms part of Shell’s broader plan, announced in February 2021, to invest $5-6 billion annually in areas including marketing, hydrogen, power and low-carbon fuels.

The company intends to produce SAF in two ways: from biomass like used vegetable oils or agricultural waste and, eventually, by using synthetic technologies to convert non-recyclable waste and alcohol to jet fuel. They expect to implement these synthetic technologies by 2030. Shell's projects vary in progress, with some ready to proceed given sufficient demand, while others require further investment in new technologies.

Instead of relying on agricultural crops, which are common biofuel sources, Shell's primary focus is on using waste, inedible crops, or forestry products for biofuel development and investment. This focus aligns with their commitment to using waste resources and existing infrastructure to mitigate environmental impact while supporting the transition to lower carbon operations in the aviation sector.

A notable project is their biofuels facility at the Shell Energy and Chemicals Park Rotterdam. Expected to start production in 2025, it will produce SAF and renewable diesel from waste. Additionally, through the acquisition of EcoOils and investment in LanzaJet, Shell is expanding its capabilities in waste oils recycling and Alcohol-to-Jet fuel technology. In May 2023, they announced a multi-year offtake agreement with Montana Renewables, the largest SAF producer in North America. They also supply SAF to major airlines like Delta Air Lines, Alaska Airlines, and JetBlue.

NESTE

• Country: Finland

• Offtake volume: 2.45 billion litres

• Key Parners: Air France - KLM, Lufthansa, Delta Air Lines, American Airlines

• Website: neste.com

Neste is aiming to reduce greenhouse gas emissions by at least 20 million tons of CO2e annually by 2030. As one of the world’s leading producers of SAF, renewable diesel and renewable feedstock solutions, Neste is committed to turning its Porvoo refinery in Finland into Europe's most sustainable refinery by 2030 and achieving carbon-neutral production by 2035.

Neste’s revenue in 2022 was EUR 25.7 billion, and it employed an average of 5,244 employees. Its production facilities in Finland, the Netherlands, and Singapore have a combined nameplate capacity of about 3.3 million tons, set to increase to 5.5 million tons by 2024 due to expansions and joint operations with Marathon Petroleum.

Neste says their MY Sustainable Aviation Fuel™, a direct replacement for fossil jet fuel, reduces GHG emissions by up to 80% compared to fossil jet fuel. It is currently in use by many major airlines, including Air France-KLM, Lufthansa, Delta and American Airlines and is available at many international airports. The fuel is produced from 100% renewable waste and residue raw materials, such as used cooking oil and animal fat waste, using NEXBTL™ technology. Neste is also exploring the use of new raw materials and technologies, including algae, municipal solid waste, lignocellulosics, and Power-toLiquids.