TerraNova engaged as placement agent for Sugar Valley Energy’s SAF project


Sugar Valley Energy (SVE) announced that it has partnered with New York-based TerraNova Capital Equities to lead marketing and placement of equity capital for the $1bn sustainable aviation fuel (SAF) project.

With this agreement, the IAG has now secured one-third of the SAF needed to reach its 2030 target of flying with 10% SAF.

Earlier this year, California Ethanol + Power (CE+P) announced the SVE project in California to produce sustainable aviation fuel (SAF) for the airline industry using the alcohol-to-jet (ATJ) technology.

“TerraNova is a premier investment bank and advisory firm with global reach, and we welcome their contributions to our team as we work to structure financing that will enable Sugar Valley Energy to begin construction,” said David Rubenstein, president and  CEO, CE+P.

The company said that SVE project is now in the final stage of development and is comprised of a sugarcane-to-ethanol production facility, a bioelectric power island and a wastewater treatment facility.

At the SVE, CE+P is targeting annual production of 76m gallons of low-carbon ethanol that can be used for SAF or transportation fuels blending, renewable natural gas (RNG), 42MW of bioelectricity, and local wastewater treatment connections to benefit regional businesses and residents.

The company plans to source sugarcane feedstock through contract arrangements with local Imperial Valley, California farmers.

“Sugar Valley’s success in bringing a sustainable energy project of this magnitude so far along in its development schedule made a strong impression on TerraNova. Along with their significant investment to date, the team’s ability to execute on the key development milestones demonstrates their unparalleled commitment to this project.  We are excited to work with such a diligent and tenacious team to bring this project to fruition,” said Todd Coffin, TerraNova’s head of structured finance.