As Canada accelerates its efforts to decarbonize its aviation sector, the Calgary region rapidly emerges as a pivotal player in the global Sustainable Aviation Fuel (SAF) landscape. Situated east of the majestic Rocky Mountains, Calgary is widely recognized as Canada’s energy capital, excelling in finance and EPC services for the energy sector. In 2024, Calgary made significant progress toward becoming a major hub for SAF, laying the groundwork for both short-term growth and long-term sustainability in the aviation industry.
Strategic Partnerships and Technological Advancements
In March 2024, Calgary witnessed a noteworthy collaboration between ABB and Cap Clean Energy, a Calgary-based firm dedicated to transforming aviation fuel production. The partnership aims to enhance SAF production through ABB’s cutting-edge automation, electrical, and digital technologies. This collaboration focuses on improving efficiency at biofuel facilities, where ultra-low-carbon SAF will be produced from non-food crop feedstocks. Cap Clean Energy’s commitment to reducing aviation’s carbon impact by over 90%, or even achieving negative emissions through the integration of carbon capture and storage (CCS), positions Calgary’s biofuel sector as a leader in sustainable aviation solutions.
Cielo Waste Solutions’ Acquisition and Regional Synergies
In September 2024, Calgary-based Cielo Waste Solutions Corp., a leader in the wood by-products-to-fuels industry, announced plans to acquire a synthetic fuel facility in Carseland, Alberta, previously owned by Rocky Mountain Clean Fuels. The facility specializes in converting natural gas into synthetic diesel and jet fuels, further enhancing the Calgary region’s growing SAF production capacity. With this acquisition, Cielo aims to bolster the region’s SAF infrastructure, supporting its goal of delivering a reliable and sustainable fuel supply for aviation.
Azure Sustainable Fuels’ Investment
In January 2024, Azure Sustainable Fuels, a Calgary-based renewable fuel developer, announced plans to construct a large-scale SAF production facility in Cherryvale, Kansas. This facility is projected to produce approximately 20,000 barrels of SAF per day, utilizing primarily agricultural feedstocks such as canola and soybean oil. Azure has secured significant investment and is partnering with industry leaders like Shell Catalysts & Technologies to bring this project to fruition.
The planned SAF production facility represents a crucial step towards decarbonizing the aviation sector. With a projected annual output of roughly 3.2 million barrels, it will significantly contribute to North America’s SAF production capacity. Azure is targeting a final investment decision (FID) by early 2025, with initial production anticipated in 2027. This project underscores a strong commitment to sustainable aviation and aligns with the growing global demand for low-carbon transportation fuels.
WestJet’s SAF Milestone
In April 2024, Calgary-based WestJet, Canada’s second-largest airline, took a significant step toward sustainability by purchasing its first SAF supply from Shell Aviation. This acquisition marked a major milestone in WestJet’s broader strategy to achieve net-zero emissions by 2050.
By incorporating SAF into its operations, WestJet actively contributes to decarbonizing the aviation industry and demonstrates leadership in environmental responsibility. This partnership with Shell Aviation allows WestJet to access a reliable and sustainable source of SAF while supporting the development of a robust SAF supply chain in Canada.
A Bright Future for Calgary’s SAF Sector
The Calgary region is poised to become a global leader in SAF production, with initiatives positioning it to capture a significant market share as global demand rises. The region’s regulatory environment and strategic investments are fostering innovation in the SAF sector, supporting Canada’s climate targets.
The SAF sector in Calgary offers considerable opportunities for technology developers, investors, and professionals. As the region accelerates its SAF production, its model provides valuable insights for other areas seeking to capitalize on the expanding SAF market. With the right regulatory frameworks and investments, Calgary is positioned to make a substantial contribution to the global push for sustainable aviation fuels.nd its share of the growing SAF market while supporting aviation’s transition to cleaner energy.
Disclaimer: This news article is based on publicly available information and is intended for general informational purposes only.