Blue Blade Energy: A Joint Venture Between United Airlines, Tallgrass & Green Plains Inc.

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SAF (Credit: United Airlines)

United Airlines, Tallgrass, and Green Plains Inc. have announced the formation of a new joint venture, Blue Blade Energy, to develop and commercialize a new Sustainable Aviation Fuel (SAF) technology that uses ethanol. If the technology is successful, Blue Blade is expected to proceed with the construction of a pilot facility in 2024, followed by a full-scale facility that could begin commercial operations by 2028. The offtake agreement could provide for enough SAF to fly more than 50,000 flights annually between United's hub airports in Chicago and Denver.

With the drive toward sustainable air travel intensifying, airlines and other air transportation companies are ramping up their use of sustainable aviation fuel. But as the demand for SAF grows, the aviation industry will be challenged by limited supplies of traditional SAF feedstocks like inedible animal fats and waste oils.

To meet demand in the face of limited supplies of these traditional SAF feedstocks, technology companies are competing to create new forms of SAF.

Blue Blade's new SAF technology was developed by researchers at the US Department of Energy's Pacific Northwest National Laboratory (PNNL), a leading center for technological innovation in sustainable energy. SAF, which uses non-petroleum feedstock, is a low-carbon alternative to traditional jet fuel that offers up to 85% lower lifecycle greenhouse gas emissions.

United, Tallgrass, and Green Plains will each provide their unique industry expertise in the joint venture. Under this collaborative approach, Tallgrass will manage research and development of the technology, including the pilot plant development, and will manage the construction of the production facility. Green Plains will supply the low-carbon ethanol feedstock, and use its ethanol industry experience to manage operations once the pilot facility is constructed.

United Airlines will assist with SAF development, fuel certification, and into-wing logistics. The airline has also agreed to purchase up to 2.7 billion gallons of SAF produced from the joint venture.

If the technology is commercialized, the location of Blue Blade's initial plant would allow easy access to low-carbon feedstock from Green Plains' Midwest ethanol production facilities. While the initial SAF facility intends to use ethanol, the technology has the capability to work with any alcohol-based feedstock as its fuel source.

Environment + Energy Leader