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Today a new aviation industry roadmap forecasts that sustainable aviation fuels could meet 32% of aviation fuel demand by 2050. This formed part of a wider announcement by the industry coalition Sustainable Aviation who committed to net zero carbon emissions by 2050 at an event in central London.

Commenting on the report, Velocys CEO Henrik Wareborn, said: 
“This report shows how commercialising sustainable aviation fuel production will be a game-changing industrial, economic and environmental opportunity for the UK.

“Of all modes of transport, aviation is the most challenging to decarbonise because the energy density and performance of battery and fuel cell technologies cannot come close to matching liquid hydrocarbon fuel, particularly over longer distances. Therefore, if we are to reach net zero emissions and continue flying, innovative fuel-based solutions like ours will be essential.

“Sustainable aviation fuel produced at the Immingham facility will be used in existing aircraft engines without any modifications and deliver a net CO2 saving of around 70%. With CCUS technology it will be able to go one step further – producing negative emission fuels.

“To do this we need the UK Government to establish a CCUS investment framework and ensure projects like ours can link into a CO2 transport and storage infrastructure network in the region.”

Download the full Sustainable Aviation Fuels Roadmap report

Velocys plc (VLS.L), the sustainable fuels technology company, is pleased to announce the appointment of Worley (ASX: WOR) to manage the delivery of its fully integrated technology package.

Worley, a world-class engineering contractor, is the partner in the development of pre-feasibility, feasibility and FEED packages for all projects in the Velocys portfolio. This allows Velocys to leverage synergies across multiple projects and geographies. Worley’s global reach allows an effective collaborative partnership to deliver projects worldwide.

The fully integrated technology package converts waste feedstocks into sustainable aviation and road transport fuels. Velocys has selected all the technology suppliers for its Bayou Fuels woody-biomass-to-fuels project in Natchez, Mississippi, USA. The same technology package will be used for the Altalto Immingham waste-to-fuels project in the UK.

The industry leading licensors were selected, after extensive due diligence and engineering assessment, to create an integrated technology solution consisting of five process steps (including Velocys’ own technology), each of which has been demonstrated at commercial scale on similar feedstocks:

The careful selection and combination of the above technologies provides a de-risked solution enabling the processing of different solid feedstocks (including both woody biomass and municipal solid waste), and sufficient flexibility to allow production of multiple products including Synthetic Paraffinic Kerosene (SPK) and diesel. A capture-ready carbon dioxide stream is also produced, enabling negative-emissions fuels wherever CO2 usage or storage options are available, as is the case for the Bayou Fuels project.

StepProcessLicensor
1GasificationTRI (ThermoChem Recovery International)
2Syngas partial oxidation and coolingArvos Schmidtsche-Schack (SCS), with Linde’s Hot Oxygen Burner Technology
3Syngas clean-up & conditioningAir Liquide Engineering & Construction
4Fisher Tropsch (FT) hydrocarbon synthesisVelocys
5Product upgradingHaldor Topsoe

Velocys has also successfully concluded an integrated piloting programme culminating in the production of SPK, diesel and naphtha from representative Fischer Tropsch liquids.

Aviation and heavy goods transport remain the hardest sectors to decarbonise. Passenger vehicles can be electrified but aeroplanes and trucks require much higher energy density, therefore a liquid fuel remains the more viable choice. The technology package provides a robust solution to help these industries to unlock a decarbonised future, through access to abundant, sustainable, but difficult-to-process feedstocks such as municipal solid waste and woody biomass residues. Critically, the fuels produced meet all required regulatory standards, and can be used without any modification to engines.

Paul Seaton, Worley President, E&C Services, Europe & Central Asia said:
“We are pleased to have been selected as the global engineering partner for these sustainable fuels projects. As a major player in the energy, chemicals and resources sectors, energy transition projects are already a fast-growing part of our business. Worley is determined to work with Velocys to find solutions for a lower carbon world.”

Henrik Wareborn, Velocys CEO, said:
“We are delighted to have appointed Worley as our engineering contractor and to partner with our selected technology providers, who bring complementary skills and command excellent reputations. Our unique combination of technologies allows Velocys to offer a robust process solution that will be vital to the decarbonisation of challenging sectors and the achievement of net zero targets.”

Licensor comments include:

 Daniel A. Burciaga, TRI CEO, said:
“TRI is extremely pleased to be part of the world-class technical team that Velocys has assembled for these important and exciting projects. Having already worked closely with Velocys to integrate our system with their FT technology unit and demonstrated that over a long duration run at our process demonstration facility, we are very confident about the robust commercial applications of this powerful configuration.”

Todd Skare, Linde Chief Technology Officer said:
“Linde is pleased to have been selected by Velocys to supply its proprietary Hot Oxygen Burner (HOB) Technology. Our commercially proven partial oxidation technology will be used to increase the quality and yield of syngas generation. Our HOB technology is widely recognised in the industry for its ability to handle a wide range of variation in both raw syngas and fuel compositions thus helping our customers ensure a reliable waste to fuels process.”

Michael Schoetz, Head of Sales & Tendering at Arvos Schmidtsche Schack Düsseldorf said:
“We are excited to get the opportunity to apply our 50 years of experience from Gasification in the emerging renewable field. SCS will apply our knowledge to reduce risk and increase availability in the first process block, the complete Gasification Island.”

Dominique Rouge, Vice President, Sales & Technology at Air Liquide Engineering & Construction said:
“Air Liquide Engineering & Construction is pleased to bring its extensive experience and world renowned and referenced Lurgi™ capture-ready syngas conditioning technology to the project, supporting the new generation of sustainable fuels and the transition to clean energies.”

Johan Mogensen, Vice President, Haldor Topsoe, said:
“We are very proud to be part of this project together with Velocys. Haldor Topsoe is determined to be a driving force in the global push towards renewable fuels. This project is a notable addition to our extensive portfolio in the area.”

For further information, please contact:

Velocys
Henrik Wareborn, CEO
Andrew Morris, CFO
Lak Siriwardene, Head of Communications & Sustainability
+44 1865 800821

Numis Securities (Nomad and joint broker)
Stuart Skinner
Tom Ballard
+44 20 7260 1000

Canaccord Genuity (Joint broker)
Henry Fitzgerald-O’Connor
James Asensio
+44 20 7523 8000

Radnor Capital (Investor relations)
Joshua Cryer
Iain Daly
+44 20 3897 1830

Field Consulting (PR)
Robert Jeffery
+44 20 7096 7730

Notes to Editors

Velocys is an international UK-based sustainable fuels technology company. Velocys designed, developed and now licences proprietary Fischer-Tropsch technology for the generation of clean, low carbon, synthetic drop-in aviation and transport fuel from municipal solid waste and waste woody biomass.

Velocys is currently developing projects in Natchez, Mississippi, USA (incorporating Carbon Capture Use and Storage) and Immingham, UK to produce fuels that significantly reduce both greenhouse gas emissions and key exhaust pollutants for aviation and road transport. Originally a spin-out from Oxford University, in 2008 the company acquired a US company based on complementary technology developed at the Pacific Northwest National Laboratory. Velocys is headquartered in Oxford in the United Kingdom.

Worley globally delivers projects, provides expertise in engineering, procurement and construction and offers a wide range of consulting and advisory services. Headquartered in Sydney Australia, the company covers the full lifecycle, from creating new assets to sustaining and enhancing operating assets, in the hydrocarbons, mining, mineral, metals, chemicals, power and infrastructure sectors. www.worleyparsons.com

ThermoChem Recovery International (TRI) was founded in 1996 in Baltimore, Maryland, USA. TRI has developed two stage steam reforming gasification technology which enables the conversion of a diverse range of feedstocks, including municipal solid waste and woody biomass feedstocks, into syngas. TRI’s gasifier has been successfully constructed, commissioned and operated at commercial scale in a plant in Trenton, Ontario, Canada. Velocys and TRI have carried out over 2,000 hours of integrated gasifier and FT testing at TRI’s process demonstration facility in Durham, North Carolina, USA. www.tri-inc.net

Linde is a leading industrial gases and engineering company with 2018 pro forma sales of USD 28 billion (EUR 24 billion). The company employs approximately 80,000 people globally and serves customers in more than 100 countries worldwide. Linde delivers innovative and sustainable solutions to its customers and creates long-term value for all stakeholders. The company is making our world more productive by providing products, technologies and services that help customers improve their economic and environmental performance in a connected world. www.linde.com

ARVOS Group has been supplying specialist heat transfer equipment in power, petrochemical chemical and metallurgical industries for over 100 years. The Partial Oxidation unit will be supplied from the Schmidtsche Schack’s Düsseldorf division, integrating the TRI supply into the Gasification Island. SCS is headquartered in Kassel, Germany and has manufacturing locations in Germany, and Offices in USA, Japan and China and India. The partial oxidation system with burner and syngas cooling have tens of thousands of operating hours in similar applications worldwide. www.arvos-group.com

Air Liquide Engineering & Construction builds Air Liquide Group production units (mainly air gas separation and hydrogen production units) and provides external customers with efficient, sustainable, customized technology and process solutions. Air Liquide Engineering & Construction’s core expertise in industrial gases, energy conversion and gas purification, enables customers to optimize natural resources. As a technology partner, customers benefit from our research and development to contribute to energy transition. www.airliquide.com

Haldor Topsoe is a globally recognised catalyst and technology company headquartered in Lyngby, Denmark, suppling high-performance catalysts, proprietary technologies, process design, engineering, and services for use in the chemical and oil & gas industries. It has more than 200 licensed units in hydroprocessing technology. www.topsoe.com

Velocys, the sustainable fuels technology company, joined Kwasi Kwarteng MP, the UK’s Clean Growth Minister, at Drax Power Station to discuss the opportunities for carbon capture usage and storage (CCUS) technology in the Humber region.

Dr Neville Hargreaves, VP Waste to Fuels at Velocys, alongside other businesses including Drax, made the case to establish the Humber as a hub for negative emissions technologies.

Following news last Autumn of the agreement with Oxy in the US, Velocys now has the capability to capture and store underground emissions from its waste-to-fuels process. This means the Velocys project planned in nearby Immingham, which will be Europe’s first waste-to-jet fuel facility, could produce negative emission aviation fuel.

Commenting on the Minister’s visit, Dr Neville Hargreaves said:
“The UK, and in particular the Humber’s Energy Estuary, has the opportunity to become a world leader in the production of sustainable aviation fuel – something that will be highly desirable in a net zero world.

“We have developed a process for producing negative emissions aviation fuel from everyday household waste. Our first facility, subject to planning and financing, could be fuelling aircraft from 2024, cutting lifecycle emissions by as much as 200%.

“But in order to realise the benefits of negative emissions technologies, we need the UK Government to establish a CCUS investment framework and ensure projects like ours can link into a CO2 transport and storage infrastructure network in the region.

“We look forward to continuing discussions with the Minister and his Department over the coming months to ensure the Humber can become a hub for negative emissions technologies.”

Dr Neville Hargreaves and Rt Hon Kwasi Kwarteng

In a global web conference, Velocys VP of Waste to Fuel, Dr Neville Hargreaves, discussed the potential for sustainable hydrocarbon fuel to be blended with marine diesel.

Velocys took part in a global web conference on ‘Future Fuels for shipping: Hydrogen & Fischer-Tropsch Drop-in Fuels.’ Dr Neville Hargreaves, Velocys Vice President of Waste to Fuels, made the case for sustainable hydrocarbon fuels, how they were made through Velocys’ Fischer-Tropsch process, and the commercial applications for the fuel.

Velocys’ fuel will primarily be used in aircraft and heavy goods vehicles, but Dr Hargreaves discussed the potential for the fuel to be blended with marine diesel. The significance of this for maritime industries would be immediate CO2 reductions with no change required to engines or bunkering infrastructure. He said, “this would act as a transitional fuel; it has a huge role to play” but would require supportive regulation and a concerted drive to implement.”

Tammy Klein, Principal Consultant at Future Fuel Strategies – the host of the webinar who provide market and policy intelligence for the fuels industry  – said, “the type of fuel that Velocys is looking to commercialise is really exciting, it hits the boxes, it’s not only carbon neutral, but heading into carbon negativity.”

The full webinar is available here and a summary of the session can be found here.

Velocys, the sustainable fuels technology company, has met with the team at Drax Power Station in North Yorkshire which is behind plans to use bioenergy with carbon capture and storage (BECCS) technology to enable their business to become carbon negative by 2030.

In August 2019 Velocys’ subsidiary Altalto Immingham Limited, a collaboration with British Airways and Shell, submitted plans for Europe’s first commercial waste-to-jet-fuel plant near Immingham on the South Bank of the Humber. The company is in support of the Zero Carbon Humber campaign, which is seeking to develop a large-scale carbon dioxide transport and storage network in the Humber that would significantly reduce emissions and create new job opportunities for the region.

Dr Neville Hargreaves, VP Waste to Fuels, Velocys, said:
“Subject to planning consent and financing, our Altalto Immingham project could be producing sustainable aviation fuel as soon as 2024. Velocys has a robust technological solution for this challenging sector which addresses one of the hardest sectors to decarbonise and can help the UK meet its net zero target.

“Furthermore, we’ll also produce a capture-ready stream of carbon dioxide, and thus a transport and storage network in the Humber would allow us to make negative emission fuels, delivering a further environmental benefit.”

Steve Drayton, Director of Innovation at Drax, said:
“There are some interesting synergies between our ambitions at Drax to become the world’s first carbon negative company and Velocys’ plans to produce carbon negative fuels in the Humber.

“Having innovative businesses like Velocys in the Humber region makes a zero carbon industrial cluster here an exciting possibility, which will result in new jobs and clean growth delivering for the environment as well as the economy.”

The Zero Carbon Humber campaign aims to create the UK’s first net zero industrial cluster in the region which could make a bigger contribution to UK’s climate goals than any other industrial cluster – capturing 15% of the UK’s current annual CO2 emissions.

By using bioenergy with carbon capture and storage (BECCS) Drax will be able to remove more carbon dioxide from the atmosphere than it produces, creating a negative carbon footprint for the company.

Steve Drayton (Director of Innovation, Drax), Dr Neville Hargreaves (VP Waste to Fuels, Velocys), Brian Greensmith (Drax), Richard Gwilliam (Drax), Martin Hopkins (Velocys)

Velocys featured on Panorama, as part of the programme’s investigation into ‘Can Flying Go Green?’

During the show in autumn 2019 Dr Neville Hargreaves, Velocys Vice President of Waste to Fuels, outlined the role that Velocys’ technology can play in greening the aviation industry. Velocys are developing the Altalto project in collaboration with British Airways and Shell, which will utilise unwanted household waste by unlocking its trapped energy to turn it into sustainable aviation fuel. This will be the first project of its kind in Europe.

Hargreaves told the BBC’s Chief Environment Correspondent Justin Rowlett “anything you throw in your black bag, nappies, plastic, cardboard, food, anything that can’t be recycled, we’ll take that and turn it into sustainable aviation fuel.” Rowlett described the benefits of the project further, saying “This fuel will avoid the polluting process needed to produce kerosene, and lots of the waste would emit greenhouse gases in landfill, so why not use it to power aircraft instead?”

You can watch the full programme on BBC iPlayer. Velocys’ segment can be found at 07:48.