$820 Million Investment Sparks Clean Fuel Boom
Avina Clean Hydrogen plans to build an alcohol-to-jet fuel plant producing up to 120 million gallons of sustainable aviation fuel (SAF) a year in St. Clair County in southwest Illinois.
The SAF plant, which will be located at a specific site yet to be announced, will use KBR’s SAF technology in alliance with Swedish Biofuels AB. Avina has licensed the technology from KBR, according to Avina CEO Visal Shah, who founded the company in 2019.
Shah tells Processing Journal that the company plans to raise $820 million from what he calls “strategic and infrastructure investors” for the project. A final investment decision is scheduled to be made by third quarter 2025 with construction starting in 2028.
“This location offers proximity to a reliable ethanol feedstock supply chain, cost-effective logistics, and proximity to demand centers, making it an ideal location for efficient SAF production,” Shah states. “The site is serviced by six Class I railroads and is located near existing jet fuel pipelines. Additionally, it has access to the Mississippi River, providing opportunities for barge transport.”
The plant’s proximity to the existing rail and pipeline infrastructure will provide efficient delivery of ASTM-certified SAF to Chicago O’Hare International Airport and other major airports around the Midwest region, Shah says. “We are excited to bring jobs, investment, and clean energy innovation to Illinois while supporting the aviation industry’s decarbonization efforts.”
Avina plans to secure 240 million gallons of ethanol a year to produce 120 million gallons of SAF. Avina will process ethanol from corn, sugarcane, and cellulosic corn kernel fibers that have been produced with a significantly low carbon-intensity (CI), Shah says, the SAF Avina produces also will have a significantly low CI.
Avina is “actively engaging with several airlines to finalize offtake agreements and have already signed term sheets covering half of our (120 million gallons of) production capacity,” he states.
KBR Lands Key Tech Deal
In August 2024, KBR announced that Avina Clean Hydrogen had selected the SAF technology PureSAFSM for the southwestern Illinois project. The technology, KRB said in the announcement, was developed by Swedish Biofuels and is exclusively licensed by KBR worldwide.
Under the terms of the contract, KBR will provide technology licensing, proprietary engineering design, and front-end engineering design (FEED) for the Avina plant. “PureSAF is an innovative, advanced technology that produces jet fuel that is fully fungible with conventional jet fuel, from a variety of feedstocks at low cost and on an industrial scale,” said Angelica Hull, managing director of Swedish Biofuels, in the announcement. “In addition to processing ethanol, our technology can also convert mixed alcohols, carbon dioxide, and synthesis gas to SAF, creating pathways for utilizing captured carbon for a cleaner, more sustainable future.”
When the agreement with KBR was announced, Shah said: “We are delighted to select the innovative aviation fuel technology offered by KBR for our ethanol-to-sustainable jet fuel project in Illinois. PureSAF’s project-economic advantages, low CI, and environmental benefits make it an ideal choice compared to other technologies.”
According to its website, avinah2.com, Avina also builds, owns, and operates plants that produce green hydrogen and hydrogen derivative fuels.
Green hydrogen is a zero-emission fuel produced via electrolysis using renewable electricity and is used in multiple industries, Shah says, including:
- Industrial processes such as methanol, SAF, and ammonia production.
- Transportation fuel for hydrogen-powered vehicles and aviation.
- Power generation and storage for grid balancing and fuel cells.
- Refining and chemicals.
Hydrogen derivative fuels are produced using hydrogen as a key feedstock, Shah adds, and are often combined with carbon, nitrogen, or other elements to create liquid or gaseous fuels suitable for various applications.
State Backs Next-Gen Energy
Illinois Gov. J.B. Pritzker praised Avina’s selection of southwestern Illinois as the site for its proposed plant which, he said, will help Illinois meet its clean energy goals and support the state’s growing clean energy economy.
“Illinois is proud to be a leader in the nation’s clean energy industry, and we’ve seen record growth over the past few years as companies choose to relocate to or expand across our state,” Pritzker said when it was announced that Avina will receive Reimagining Energy and Vehicles (REV) incentives from the Illinois Department of Commerce and Economic Opportunity (DCEO). REV provides competitive incentives for manufacturers of electric vehicles and other renewable sectors that decide to expand in or move to Illinois.
“Avina Clean Hydrogen’s new SAF production facility will support our ambitious goals for a clean energy economy by substantially reducing carbon emissions and creating new jobs for southwest Illinois,” Pritzker added.
Avina’s commitment to invest $820 million will create 157 jobs, the announcement said, adding that the project “is anticipated to prevent an estimated 25 million metric tons of carbon emissions annually in aviation, with the project estimated to create at least 150 full-time jobs in Illinois, along with 1,000 construction jobs.”