UK awards £53m grant to nine SAF developers
The UK government announced a multi-million pound investment in the development of sustainable aviation fuels (SAF) through its Advanced Fuels Fund (AFF) competition.
Following a competitive selection process, several projects have been awarded a share of £53m in funding for the second round of the initiative, adding to the £82m already awarded in the first round back in December 2022.
The UK government has allocated over £135m to develop sustainable aviation fuel (SAF) production plants in the UK.
To be eligible for funding from the AFF, projects must be located in the UK, be led by a UK-registered company or charity, have a Technology Readiness Level (TRL) of 6-8, have not yet commenced construction, and not be using previously funded activities or replacing private sector investment. In addition, projects will also be assessed on their potential to reduce greenhouse gas emissions, their economic viability, and their contribution to the UK’s advanced fuels industry.
Following is the list of winners in the AFF’s second window:
Abundia Biomass-to-Liquids (A-Jet UK) – Award: £4.5m
Based in Teesside, the project is developing a demonstration plant that uses pyrolysis and hydrotreatment technology to convert sawmill and forestry residues into SAF. The plant is expected to be operational in 2026 and produce 2.6 kt/y of SAF when at full operational capacity.
Alfanar Energy (Lighthouse Green Fuels) – Award: £8.7m
Based in the Industrial Cluster at Teesside, the project is developing a commercial scale plant that uses gasification and Fischer-Tropsch technology to convert biogenic and non-biogenic wastes and residues into SAF. The plant is expected to be under construction in 2025, operational in 2028, and produce 124.2 kt/y of SAF when at full operational capacity. This plant was supported in earlier development stages by the Green Fuels, Green Skies competition that made £15m available over the 2021 to 2022 financial year. Alfanar was also supported in the first window of the AFF. Their second window award is focused on the third funding year for activity that is not covered by their first window award.
Arcadia e-Fuels (NABOO) – Award: £12.3m
Based in Teesside, the project is developing a commercial scale plant that uses power-to-liquid technology to convert biogenic carbon dioxide (CO2) and green hydrogen into SAF. The plant is expected to be operational in 2028 and produce 67.7 kt/y of SAF when at full operational capacity.
Carbon Neutral Fuels (ASAP-DAC) – Award: £1.4m
This project is developing a demonstration plant that uses power-to-liquid technology to convert direct air capture CO2 and green hydrogen into SAF. The plant is expected to be operational in 2027 and scale up to 12 kt/y of SAF when at full operational capacity.
Esso Petroleum Company (Solent SAF) – Award: £6.1m
Based in the Solent, the project is conducting a feasibility study into a commercial scale plant that uses gasification and methanol-to-jet technology to convert non-recyclable waste into SAF. The plant is expected to be operational in 2030 and produce 179 kt/y of SAF when at full operational capacity.
Nova Pangaea Technologies (Project Speedbird) – Award: £9.1m
Based in Wilton at Teesside, the project is developing a commercial scale plant that uses pyrolysis and ethanol-to-jet technology to convert agricultural and wood waste into SAF. The plant is expected to be operational in 2025 and produce 2.7 kt/y of SAF when at full operational capacity.
Project Speedbird is a partnership between Nova Pangaea Technologies, LanzaJet and British Airways.
Commenting on the award, Sarah Ellerby, CEO, Nova Pangaea Technologies, said: “Nova Pangaea Technologies are delighted to have secured this multi-million-pound investment. With support from the government, and in partnership with British Airways and LanzaJet, we can now accelerate our next phase of development and the commercialisation of our technology, to help take the UK one step closer to becoming a global leader in SAF. Our first commercial-scale production facility will be the first of its kind in the UK, and will use wood residues and non-food derived agricultural waste as its feedstocks.”
In addition, Carrie Harris, director of sustainability, British Airways, said: “Sustainable aviation fuel will play a critical role in meeting our net zero targets and is currently the only realistic low carbon solution for long-haul flights, so it is vital that we continue to invest and develop SAF technology in order to create enough supply.”
Jimmy Samartzis, CEO, LanzaJet, said: “The aviation industry has set ambitious and necessary targets to address the urgency of climate change, and this next generation of sustainable aviation fuels will be critical to meeting the industry’s goals. Project Speedbird is a tremendous example of what it takes to scale the industry and meet this moment.”
OXCCU Tech (OXEFUEL BIOGENIC) – Award: £2.8m
Based in Sheffield’s Translational Energy Research Centre, the project is developing a demonstration plant that uses power-to-liquid technology to convert biogenic CO2 and green hydrogen into SAF. The project also includes the design of a commercial scale plant, expected to be operational in 2026 and produce 7.4 kt/y of SAF when at full operational capacity.
Andrew Symes, CEO, OXCCU, said: “We’re proud to be part of the UK’s journey to cement itself as a leader in clean aviation and to help scale world-first technologies in sustainable aviation fuel. This new investment from the AFF will be a welcome contribution to our efforts to help the industry meet the high targets it has set.”
Willis Sustainable Fuels (Carbonshift PtL) – Award: £4.7m
Based in Teesside, the project is developing a commercial scale plant that uses power-to-liquid technology to convert CO2 and green hydrogen into SAF. The plant is expected to be operational in 2026 and produce 14 kt/y of SAF when at full operational capacity.
“The aviation industry is at a critical juncture, with a pressing need to transition towards more environmentally friendly energy sources. SAF represents one of the most promising pathways to achieving sizeable reductions in carbon emissions,” said Austin C. Willis, CEO, WLFC. “We genuinely appreciate the UK government’s commitment to develop a robust UK SAF industry.”
Zero Petroleum (PMZ.2) – Award: £3.5m
This project is developing both a demonstration production module operating in Orkney and a commercial scale plant that uses power-to-liquid technology to convert biogenic and direct air capture CO2 and green hydrogen into SAF. The commercial scale plant is expected to be operational in 2026 and produce 6.1 kt/y of SAF when at full operational capacity.
