- Aemetis Inc.
Aemetis finalizes $7 billion in supply contracts for 100% of Riverbank SAF, renewable diesel output
Updated: Sep 20, 2022
Aemetis Inc. announced that $7 billion of sustainable aviation fuel (SAF) and renewable diesel supply agreements have been signed with 10 airlines for a total of 916 million gallons of blended SAF, including a contract with Cathay Pacific that was signed by Aemetis Sept. 7.
Previously, Aemetis announced a contract with a major travel-stop chain for 450 million gallons of renewable diesel. The combined value of the 10 airline contracts, including incentives, is approximately $3.8 billion.
The airline-supply agreements provide for the delivery of SAF over seven to 10 years. Airline customers include Delta Air Lines, Jet Blue Airlines and oneworld Alliance members American Airlines, Alaska Airlines, British Airways, Cathay Pacific, Finnair, Iberia, Japan Airlines and Qantas.
The blended SAF is 40 percent “neat” sustainable aviation fuel and 60 percent petroleum jet fuel to meet international blended sustainable aviation fuel standards.
The SAF is scheduled to be delivered to San Francisco International Airport (SFO) and Los Angeles International Airport (LAX) as blended fuel, and the renewable diesel is expected to be delivered to Northern California truck-fueling locations.
The sustainable aviation fuel and renewable diesel will be produced at the Aemetis production plant currently under development in Riverbank, California. The facility is designed to use renewable hydrogen and zero carbon-intensity hydroelectric electricity to hydrotreat sustainable, renewable oils to produce SAF and renewable diesel.
Sustainable aviation fuel has a significant environmental advantage over traditional jet fuel, with up to a 100 percent reduction in greenhouse-gas (GHG) emissions on a lifecycle basis when utilizing low-carbon energy and feedstocks along with carbon sequestration.
SAF is a vital solution in the decarbonization of aviation in the near and medium term, particularly for longer-haul flights.
Offtake agreements—as well as targeted investments and government-support mechanisms—will enable the airline and trucking industry transitions towards low-carbon, low-emission, renewable fuels.
“Sustainable aviation fuel has a vital role in meeting aviation’s decarbonization targets, so we are pleased to complete another milestone in the drive toward SAF use at commercial scale,” said Eric McAfee, the founder, chairman and CEO of Aemetis. “The Aemetis plant-process design for the Riverbank plant utilizes renewable oils, renewable hydrogen and renewable power to produce advanced renewable fuels that reduce greenhouse-gas emissions and improve air quality.”
Aemetis is developing the Carbon Zero SAF and renewable diesel fuel biorefineries in California to utilize distillers corn oil and other renewable oils to produce low carbon-intensity renewable jet and diesel fuel using cellulosic hydrogen from waste orchard and forest wood, while pre-extracting cellulosic sugars from the waste wood to be processed into high-value cellulosic ethanol at the Keyes plant. Aemetis holds a portfolio of patents and exclusive technology licenses to produce renewable fuels and biochemicals.