DG Fuels, the sustainable aviation fuel producer, has reached a long-term agreement to sell up to 46 million gallons of SAF per year from its initial plant in Louisiana, according to a press release.
The undisclosed industrial buyer will also purchase all state of California low carbon fuel standard credits and all US Federal renewable identification number carbon credits produced by the Louisiana facility.
At current market prices, total purchases under the initial five-year minimum term of this combined SAF and carbon credit purchase agreement exceeds $4bn.
Delivery of SAF and carbon credits under the agreement are expected to begin in late 2026 or early 2027.
In total, the offtake agreement covers up to 230 million gallons of SAF.
DG fuels reached an offtake agreement with Delta Airlines in September.
