Dallas-based Southwest Airlines has announced a significant long-term agreement to procure sustainable aviation fuel (SAF) from a forthcoming biorefinery being constructed by USA BioEnergy LLC near Bon Wier, Texas.
This 20-year agreement encompasses a supply of up to 680 million gallons (equivalent to 2.57 million liters) of pure SAF. When blended with traditional jet fuel, this contracted volume will generate the equivalent of 2.59 billion gallons of net-zero fuel, as confirmed in an official statement. Initial deliveries from the Texas site to Southwest Airlines are anticipated to commence as early as 2028.
Furthermore, this agreement provides Southwest Airlines with the option to purchase an additional 180 million gallons of SAF annually from future planned production facilities.
Michael AuBuchon, Managing Director of Fuel Strategy and Management at Southwest Airlines, highlighted the significance of this offtake agreement, stating, “This offtake agreement with USA BioEnergy marks important progress in the development of our SAF portfolio and furthers our goal to replace 10 percent of our total jet fuel consumption with SAF by 2030.”
The USA BioEnergy biorefinery in Bon Wier is slated to convert one million tons of wood waste into 34 million gallons of clean transportation fuel annually, including SAF, renewable diesel, and renewable naphtha. The project is expected to reach completion by late 2025, marking a substantial stride in Southwest Airlines' commitment to sustainable aviation solutions.
