Montana Renewables Delivers First Shipment of Sustainable Aviation Fuel for Detroit Metropolitan Airport

Rhea-AI Summary

Montana Renewables (MRL), North America's largest SAF producer, has delivered its first 7,000-gallon shipment of Sustainable Aviation Fuel to Detroit Metropolitan Airport (DTW) via Dearborn's Buckeye Pipeline facility. The fuel, produced and blended by MRL, will be used by Delta Air Lines. This milestone marks the introduction of SAF at DTW and highlights the use of camelina oil as a non-food renewable feedstock, providing additional crop opportunities for farmers. MRL, an unrestricted subsidiary of Calumet (NASDAQ: CLMT), produces SAF, Renewable Diesel, Renewable Hydrogen, and Renewable Naphtha using sustainable feedstocks from Pacific Northwest farm operations.

Positive

• First delivery of SAF to Detroit Metropolitan Airport, expanding market presence
• Status as largest SAF producer in North America (2024)
• Strategic partnership with Delta Air Lines for SAF supply
• Diversification of feedstock through camelina oil, creating new agricultural opportunities

Negative

• None.

Insights

Energy Industry Analyst

This inaugural SAF delivery to Detroit Metropolitan Airport represents a significant market expansion for Montana Renewables and Calumet. The 7,000-gallon shipment establishes a new distribution channel in a major aviation hub, potentially leading to recurring revenue streams. MRL's position as North America's largest SAF producer in 2024 gives it a competitive advantage in the rapidly growing sustainable aviation fuel market.

The use of camelina oil as a feedstock is particularly noteworthy, as it diversifies MRL's supply chain and creates additional revenue opportunities for farmers without competing with food crops. This strategic positioning in the renewable fuels sector aligns with increasing regulatory pressure and industry commitments to reduce aviation emissions, suggesting strong growth potential for Calumet's renewable fuel segment.

Agriculture Market Analyst

The introduction of camelina oil as a SAF feedstock opens new opportunities in the agricultural sector. Camelina is a low-input crop that can be grown on marginal lands and as a rotation crop, providing farmers with an additional revenue stream without displacing food production. This development could create a significant new market for agricultural producers in the Pacific Northwest region, where MRL sources its feedstocks.

The establishment of this supply chain demonstrates MRL's commitment to developing sustainable agricultural partnerships, which could provide a competitive advantage as demand for SAF increases. The diversification of feedstock sources also helps mitigate supply chain risks and potential price volatility in the renewable fuels market.

GREAT FALLS, Mont., Oct. 24, 2024 /PRNewswire/ -- For the first time, the Detroit Metropolitan Airport (DTW) will have the opportunity to use Sustainable Aviation Fuel (SAF), thanks to Montana Renewables, LLC (MRL), the largest SAF producer in North America (2024). MRL has delivered its first shipment of 7,000 gallons of SAF to Dearborn, Michigan's Buckeye Pipeline facility. From there, the fuel will be transported to the airport via pipeline. MRL produced and blended the SAF, which will be used by Delta Air Lines.

"Supplying the SAF to DTW marks another significant milestone in the decarbonization of air travel," said Bruce Fleming, CEO of MRL. "Not only does it bring SAF to Detroit flights, but we are especially pleased to pioneer camelina oil as a non-food renewable that provides additional cash crop potential for farmers."

About Calumet
Calumet, Inc. (NASDAQ: CLMT) manufactures, formulates, and markets a diversified slate of specialty branded products and renewable fuels to customers across a broad range of consumer-facing and industrial markets. Calumet is headquartered in Indianapolis, Indiana and operates twelve facilities throughout North America.

About Montana Renewables
Montana Renewables, LLC (MRL) is a leading renewable fuel company located in Great Falls, Montana. We produce Sustainable Aviation Fuel (SAF), Renewable Diesel, Renewable Hydrogen, and Renewable Naphtha. As the largest SAF producer in North America (2024), we are dedicated to meeting the increasing demand for sustainable fuels and to supporting a greener future. As a Great Falls business leader, MRL offers high-paying jobs and career opportunities while supporting the local economy and contributing to the community's overall well-being.  Pacific Northwest farm and ranch operations ultimately provide MRL with sustainable, renewable, low-carbon feedstocks and agricultural byproducts including tallow, distillers corn oil, canola oil, used cooking oil and camelina oil.  These are converted to renewable transportation fuels which have lower emissions compared to conventional fossil fuels.  MRL is an unrestricted subsidiary of Calumet, Inc.

About SAF
Sustainable Aviation Fuel (SAF) is a combination of synthetic paraffinic kerosene (SPK) and conventional jet fuel which meets ASTM D7566 and ASTM D1655 specifications.  Designed to reduce the aviation industry's carbon footprint, SAF is drop-in compatible with existing aviation fueling infrastructure and aircraft engine technology. 

View original content to download multimedia:https://www.prnewswire.com/news-releases/montana-renewables-delivers-first-shipment-of-sustainable-aviation-fuel-for-detroit-metropolitan-airport-302286145.html

SOURCE Calumet, Inc.

FAQ

How many gallons of SAF did Montana Renewables deliver to Detroit Metropolitan Airport?

Montana Renewables delivered 7,000 gallons of Sustainable Aviation Fuel (SAF) to Detroit Metropolitan Airport through the Buckeye Pipeline facility in Dearborn, Michigan.

Which airline will use Montana Renewables' SAF at Detroit Metropolitan Airport?

Delta Air Lines will be using the Sustainable Aviation Fuel (SAF) delivered by Montana Renewables at Detroit Metropolitan Airport.

What types of renewable fuels does Montana Renewables (CLMT subsidiary) produce?

Montana Renewables produces Sustainable Aviation Fuel (SAF), Renewable Diesel, Renewable Hydrogen, and Renewable Naphtha.

What feedstocks does Montana Renewables use for SAF production?

Montana Renewables uses tallow, distillers corn oil, canola oil, used cooking oil, and camelina oil as feedstocks from Pacific Northwest farm and ranch operations.