XCF Global, Southern Energy Renewables and DevvStream agree to three-party Merger

Sustainable aviation fuel (SAF) producer XCF Global and carbon management and environmental-asset monetization firm DevvStream announced an agreement to a binding term sheet to combine Southern Energy Renewables in a three-party merger.

If the negotiations are successful, the parties believe the combined entity will form an integrated platform of complementary assets, with the opportunity to deploy a proprietary environmental attribute and credit generation strategy across North America and emerging markets.

The proposed transaction is intended to reinforce the development of a low-carbon fuels platform designed to accelerate SAF via HEFA, e-methanol, e-methanol-to-jet fuel pathways, expand domestic production capacity, and integrate environmental-attribute monetization into a unified customer offering.

As part of the evaluation and negotiation of the definitive transaction agreement, the three firms plan to explore opportunities for integrating small modular reactor nuclear power with electro-sustainable aviation fuel (eSAF), AI data center power and associated environmental attribute structures.

As part of the binding term sheet, an investor has also agreed to purchase shares of XCF to fund near-term operations. These funds are intended to be used to complete required mechanical, electrical, and process upgrades; procure catalyst, utilities, and supporting infrastructure,; finalise commissioning and reliability improvements, and conduct certain shareholder relations activities related to the updates and modifications at XCF’s New Rise Reno refinery.

The ultimate objective of the incremental funding is to bring the New Rise Reno facility into sustained commercial production and support the ramp-up of SAF output.