Gevo and SAS agree to increase SAF supply
Gevo and Scandinavian Airlines System have signed an amendment to increase its minimum purchase of sustainable aviation fuel (SAF) to 5,000,000 gallons per year.
Gevo and SAS signed the original fuel sales agreement in October 2019.
Gevo expects to supply SAS with SAF at the beginning of 2024 from Gevo’s Net-Zero 2 Project.
The value of the deal is estimated at more than $100 million (€82 million) over the entire term of the agreement.
“With this amendment, SAS has significantly increased the amount of SAF that it is willing to purchase from Gevo. This amendment is evidence of the strong and growing demand for Gevo’s renewable hydrocarbon products. We expect to ink additional offtake agreements later this year,” said Patrick Gruber, CEO of Gevo.
“SAS have a vision and plan that they are executing, even in spite of the global pandemic. This additional volume will help Gevo grow its business and hopefully accelerate making real Gevo’s Net-Zero 2 plant.”
“SAS has an ambitious goal in reducing its’ absolute climate affecting emissions by 25% from 2005 levels by 2025. This increase of Gevo SAF will help us to reach at least 20% of the SAF needed to reach our emission reductions goal. SAS chooses partners like Gevo that have the vision and ambition to support the aviation industry’s transition to net zero emission,” added Lars Andersen Resare, head of Sustainability at SAS.
The Net-Zero Projects are being designed to produce liquid hydrocarbons in the form of SAF and renewable gasoline.
Gevo expects that each Net-Zero Project will have the capability to produce approximately 45 million gallons per year of liquid hydrocarbons and are also expected to produce at least 350,000,000 lbs/yr of high protein animal feed.
Gevo and SAS signed the original fuel sales agreement in October 2019.
Gevo expects to supply SAS with SAF at the beginning of 2024 from Gevo’s Net-Zero 2 Project.
The value of the deal is estimated at more than $100 million (€82 million) over the entire term of the agreement.
“With this amendment, SAS has significantly increased the amount of SAF that it is willing to purchase from Gevo. This amendment is evidence of the strong and growing demand for Gevo’s renewable hydrocarbon products. We expect to ink additional offtake agreements later this year,” said Patrick Gruber, CEO of Gevo.
“SAS have a vision and plan that they are executing, even in spite of the global pandemic. This additional volume will help Gevo grow its business and hopefully accelerate making real Gevo’s Net-Zero 2 plant.”
“SAS has an ambitious goal in reducing its’ absolute climate affecting emissions by 25% from 2005 levels by 2025. This increase of Gevo SAF will help us to reach at least 20% of the SAF needed to reach our emission reductions goal. SAS chooses partners like Gevo that have the vision and ambition to support the aviation industry’s transition to net zero emission,” added Lars Andersen Resare, head of Sustainability at SAS.
The Net-Zero Projects are being designed to produce liquid hydrocarbons in the form of SAF and renewable gasoline.
Gevo expects that each Net-Zero Project will have the capability to produce approximately 45 million gallons per year of liquid hydrocarbons and are also expected to produce at least 350,000,000 lbs/yr of high protein animal feed.
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