Qatar Airways enters fuel-sales agreement with Gevo for 5 mgy of SAF over 5 years
Gevo Inc. announced Oct. 25 a new fuel-sales agreement with Qatar Airways.
The agreement sets forth the terms for the purchase of 5 million gallons per year (mgy) of sustainable aviation fuel (SAF) for five years from Gevo’s future commercial operations.
Gevo’s delivery of SAF under this agreement is expected to begin in 2028 at various airports in California.
Qatar Airways is a member of oneworld® Alliance, and this agreement falls within the purview of a memorandum of understanding (MOU) that oneworld Alliance members and Gevo signed in March, laying the groundwork for the associated world-class airlines in the alliance to purchase up to 200 mgy of SAF from Gevo’s future commercial operations.
The agreement with Qatar Airways will further enhance Gevo’s global footprint for its sustainable fuel products and also supports Gevo’s efforts in pursuit of its stated goal of producing and commercializing 1 billion gallons of SAF by 2030.
“By working with farmers on regenerative agricultural practices, Gevo can sustainability source feedstock to produce sustainable aviation fuel, while also increasing soil health, sequestering carbon, and providing nutritional products to the food chain,” said Patrick R. Gruber, CEO of Gevo. “By building sustainability into every step of our business system, from sustainably grown feedstock to using renewable energy for production, we are helping Qatar and other members of the oneworld Alliance to reach their emission-reduction goals.”
Akbar Al Baker, the chief executive of Qatar Airways Group, said, “Qatar Airways continues to prioritize our commitment to net-zero flying by the middle of this century. Decarbonizing aviation requires the gradual incorporation of lower carbon and sustainable aviation fuels, and we are proud to collaborate on this global effort for a better future.”
The agreement with Qatar is subject to certain conditions precedent, including Gevo developing, financing and constructing one or more production facilities to produce the SAF contemplated by the agreement.