DG Fuels Proposes $4.2b SAF Plant
DG Fuels, a prominent producer of cellulosic drop-in sustainable aviation fuel (SAF), is exploring the possibility of constructing a low-emission fuel manufacturing plant on a 3,000-acre site in St. James Parish.
The Southeast Region could see significant job growth with the proposed $3.1 billion investment from DG Fuels. The company has developed a patented system that uses renewable energy sources like agricultural and timber waste feedstock to reduce aviation fuel's carbon intensity score by 140 per cent when compared to industry standards.
The proposed facility is estimated to produce 120 million gallons of SAF per year and remove approximately 1.5 million tons of CO2 from the atmosphere annually.
If the project moves forward, DG Fuels' proposed site on the west bank of St. James Parish would create 1,055 new direct jobs, with an estimated average annual salary exceeding $72,000.
Louisiana Economic Development also estimates the project would result in 5,231 new indirect jobs. DG Fuels is currently undergoing a front-end engineering design (FEED) study for the proposed site, which is expected to be complete by August 2023. A final investment decision is expected by the end of the year, and construction and commissioning of the SAF plant would take approximately three years from that point.
LED Secretary Don Pierson is excited about the prospect of DG Fuels investing in Louisiana, stating that it demonstrates the state's emergence as a prime location for investors interested in energy transition opportunities.
DG Fuels CEO Michael C. Darcy added that the proposed process is unique because it has little to no environmental emissions, making it an attractive option for the region's agricultural community. St. James Parish President Pete Dufresne also expressed enthusiasm for the potential job growth and green facility.
Source: DG Fuels