Government Funding Drives Clean Aviation Fuel Initiative

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NWBLT has been a strong advocate for Sustainable Aviation Fuels (SAF), and we are delighted that Essar Energy Transition (EET), which plans to create the world’s leading low carbon process refinery at Stanlow, in Cheshire, has been awarded £2.5m from the Government’s Department for Transport , towards it plans. The funding, part of the Government’s Advanced Fuels Fund (AFF) scheme, is to develop one of the UK’s largest advanced Sustainable Aviation Fuels  production hubs.

EET plans to establish a Methanol-to-Jet production hub capable of producing 200,000 tonnes per annum (tpa) of advanced SAF, using approximately 550,000 tpa of renewable e-methanol and bio-methanol sourced domestically in the UK and internationally, including from EET’s sister company, Essar Future Energies, which is developing an e-methanol project in Gujarat, India.

Having completed a feasibility study earlier in 2025, the receipt of the AFF grant enables EET to advance to the Pre-Front-End Engineering Design stage (PreFEED). It is targeting completion of pre-FEED by March 2026, with full FEED commencing in Q2 2026 and final investment decision by the end of 2027.

The MtJ production hub’s location at Stanlow has advantages by leveraging the existing import infrastructure of the Stanlow Terminal, enabling access to the most competitive, low cost and low carbon intensity (CI) methanol feedstocks.

The existing refinery processing facilities, combined with low-carbon power, hydrogen and carbon capture facilities under development, also offer unique integration opportunities to create one of the lowest CI SAF production facilities in the UK.

Advanced SAF produced at the hub will use EET’s established UK jet export infrastructure – including the Manchester Jet, Midlands, and UKOP oil pipeline systems – as well as existing road and marine distribution routes, allowing supply to regions across the UK. This infrastructure already supplies 10 UK airports including nearby Manchester International Airport.

The hub will be the most direct SAF supply point to the UK aviation sector, blending SAF on-site into the existing jet fuel stream at Stanlow. Stanlow’s location allows for future scaling of SAF production as demand grows, with the recent feasibility study highlighting strong integration opportunities with EET Fuels, Stanlow Terminals, EET Hydrogen and EET Hydrogen Power’s broader low-carbon initiatives, already in development at the site. This positions the facility to play a central role in the UK’s evolving energy transition landscape.

Tony Fountain, EET managing director, said: “We welcome the UK Government’s support, which enables us to carry out a detailed pre-front-end engineering design process and accelerate this flagship UK advanced sustainable aviation fuels project towards final investment decision. At Stanlow, we have major decarbonisation ambitions, aiming to become a leading energy transition hub and home to the world’s first low-carbon process refinery.”

He added: “Domestic advanced SAF production is central to our long term vision and a key catalyst for decarbonising aviation. With SAF still making up only a tiny fraction of global jet fuel use, our MtJ plant will play a critical role in closing that gap and helping the UK meet its Jet Zero targets.”

The UK’s SAF Mandate, effective from January 1, 2025, sets progressive targets for aviation fuel suppliers to incorporate SAF into jet fuel for flights departing from the UK. The targets are designed to support the UK’s Jet Zero Strategy to achieve net-zero aviation emissions by 2050.

By 2040, 22% of total jet fuel demand must be SAF, up from two per cent today. The proposed MtJ facility will enable EET Fuels to meet their own advanced SAF obligations under the UK SAF Mandate by 2035.

Further funding support is anticipated from the AFF beyond March 2026 and, combined with the Government introducing legislative measures to implement a revenue certainty mechanism to support SAF production in the UK, this will enable UK advanced SAF market projects to reach FID and start-up.

Manchester Airport managing director, Chris Woodroofe, said: “This funding will mean airlines using Manchester Airport will have direct access to SAF via the existing pipeline to the Stanlow fuel plant. I am proud to see the North West playing a leading role in the creation of a domestic SAF industry that will support aviation decarbonisation whilst also creating thousands of new green jobs. Alongside the introduction of the SAF Mandate and Parliament’s support for a Revenue Certainty Mechanism, this is an important step towards aviation becoming net zero by 2050.”