Wednesday, February 28, 2024
Southwest Airlines® (NYSE: LUV) is excited to announce the formation of Southwest Airlines Renewable Ventures (SARV), a fully owned subsidiary aimed at enhancing Southwest’s access to scalable sustainable aviation fuel (SAF). This initiative is pivotal to achieving Southwest’s ambitious objective to substitute 10% of its total jet fuel consumption with SAF by 2030. As part of this strategic move, the airline has also committed $30 million to LanzaJet, Inc., a leader in SAF technology and production, known for its innovative ethanol-to-SAF technology and the operation of the globe’s inaugural commercial ethanol-to-SAF facility, which will be included in the SARV investment portfolio.
“Our launch of SARV and our investment in LanzaJet demonstrate that we are not sitting on the sidelines. Rather, we’re in the game by taking proactive, disciplined steps toward securing affordable SAF for Southwest, as we continue to march toward our goal of net zero by 2050,” said Bob Jordan, President & CEO of Southwest Airlines. “We look forward to working with companies and organizations developing important technology, like LanzaJet, which could help us meet our SAF goals.”
Southwest intends to further its collaborations with SAF suppliers to secure SAF supply agreements. Meanwhile, SARV will be tasked with overseeing Southwest’s investments in SAF, including the airline’s prior investment in SAFFiRE Renewables (SAFFiRE). SAFFiRE is engaged in a partnership with the U.S. Department of Energy’s National Renewable Energy Laboratory (NREL) and holds a license, along with exclusive rights, for a groundbreaking technology that transforms corn stover, a readily available agricultural byproduct in the U.S., into cellulosic ethanol. This process is vital for producing SAF using LanzaJet’s technology.
“SARV’s goal is to help scale SAF through strategic investments, better positioning Southwest to have access to high quality, affordable SAF in accordance with the robust standards of Southwest’s SAF policy,” said Tom Nealon, President of SARV and CEO of SAFFiRE. “Through SARV’s investment in LanzaJet, we’re also entering the next phase in the commercialization of SAFFiRE technology, which is designed to support the production of cellulosic ethanol that can be converted to SAF.”
“LanzaJet’s ethanol-to-SAF technology represents the next generation of sustainable aviation fuel and will transform global aviation’s ability to meet its 2050 net zero targets. We’re proud to be working with Southwest Airlines to build out this industry as well as working with SAFFiRE Renewables to use ethanol made right here in the U.S.,” said Jimmy Samartzis, CEO of LanzaJet. “Southwest’s equity investment in LanzaJet will help us continue to grow and scale to meet the demands of the aviation industry, while unlocking the significant potential of the U.S. biofuels industry to benefit local communities and support the agriculture industry.”
In alignment with its partnership with Southwest, LanzaJet plans to construct an ethanol-to-SAF production facility dedicated to generating SAF predominantly for Southwest. This new facility will be equipped to process SAFFiRE’s cellulosic ethanol into SAF, thereby increasing the potential SAF yield from SAFFiRE ethanol as time progresses.
This effort to secure more SAF is a cornerstone of Southwest’s Nonstop to Net Zero initiative, which details the airline’s sustainability strategy focused on carbon reduction, resource circularity, and collaborative efforts to attain net-zero carbon emissions by 2050.
Sunday, April 28, 2024
Sunday, April 28, 2024
Sunday, April 28, 2024
