Provectus enters supply agreement with airport for 10m litres of SAF

Canadian sustainable energy solutions company Provectus Biofuels said it has signed a non-binding letter of intent with a regional Alberta airport for the supply of 10m litres of sustainable aviation fuel (SAF).

Under the agreement, both parties intend to negotiate a definitive long-term offtake agreement for renewable SAF produced at Provectus’ Dobrojet Biofuels facility once operational.

The agreement is for the offtake of up to10m litres of SAF conforming to ASTM D1655 and fully certified for use as Jet A-1 after blending, meeting all additive and quality requirements applicable at the time of delivery.

The signed supply represents 10% of the total projected production capacity at Provectus’ planned Dobrojet Biofuels facility.

Provectus’ SAF site will be located in Vegreville, Alberta with deliveries expected to commence in 2029.

“Forward thinking airports and airlines, that are aware of the impact of global regulations and the current constraints on renewable sustainable jet fuel supply, recognize the urgent need to secure low-carbon aviation fuel for their future fuel supply portfolio,” said Jon Jaque, CEO of Provectus.

“The growth in low-carbon aviation fuel volumes under binding contract continue to outpace the addition of actual production capacity globally. As the growing gap between supply and demand causes the price premium on forward volumes to expand further, we expect to add additional offtake agreements to our portfolio.”

Provectus, earlier in August, announced the signing of an agreement with the Town of Vegreville to develop the facility that will convert wheat straw feedstock available in the area into SAF.