Shell departs Altalto SAF project with Velocys, British Airways
Shell has cut ties with the 20 MMgy Altalto sustainable aviation fuel (SAF) project in Immingham, UK, but project partners Velocys and British Airways plan to move forward as planned. Shell’s departure from the project will have no direct financial impact on Altalto, according to Velocys.
“We have decided to focus our resources on other lower-carbon fuels opportunities, which leverage our own technology,” said Matthew Tipper, Shell vice president of new fuels.
Velocys owns proprietary Fischer-Tropsch technology to make SAF and on-road fuel from municipal solid waste and residual woody biomass. According to Velocys, the Altalto project will continue according to its existing development plan. Velocys and British Airways will continue to work to secure financing for the Altalto plant in Immingham, UK. The companies are targeting to close financing in 2022.
“We are looking forward to moving Altalto Immingham to the next stage of development in 2021,” said Henrik Wareborn, Velocys CEO. “Altalto Immingham is the most advanced commercial SAF project in the UK and is ready to take advantage of the strong push from both government and industry for the decarbonization of aviation, especially using waste feedstocks.”
Velocys and British Airways are preparing to apply for government funding for Altalto Immingham.