Avia Solutions Group to construct the biggest and technologically advanced Synthetic Aviation Fuel (SAF) manufacturing facility in North Europe

Avia Solutions Group and NorSAF to Build Largest Sustainable Aviation Fuel Plant in Northern Europe

Avia Solutions Group, in partnership with NorSAF, is set to launch a groundbreaking project in the Liepaja Free Economic Zone, Latvia. The project aims to construct the largest sustainable aviation fuel (SAF) plant in Northern Europe.

The new facility will utilise PureSAF technology, developed by Swedish Biofuels AB and exclusively licensed via the US engineering firm KBR. This technology has been proven to reduce greenhouse gas emissions (GHG) by up to 93% compared to conventional jet fuels, making it a significant step towards a more sustainable aviation industry.

NorSAF plans to start breaking ground in 2027 and to be producing SAF fuel by 2030. Upon completion, the plant is estimated to produce 100,000 tons of SAF annually. However, the company aims to produce much more SAF fuel than will be needed for the entire Baltic countries' market, intending to export the majority of their produced SAF.

Currently, approximately 400,000 tons of aviation fuel are consumed across airports in the three Baltic states. With the European Union (EU) mandating at least 2% of all fuel consumed at larger airports to be SAF, starting this year, and gradual increases to 6% by 2030, 20% by 2035, and 70% by 2050, the demand for SAF is expected to grow significantly.

The project's success depends on aid and support from the EU, institutional investors, and local authorities. The estimated cost of the project is between 500-600 million euros.

The new plant will also use captured CO2 in the production of the fuel, which will be beneficial to the environment. NorSAF has considered institutions such as industrial CO2 emitters, biogas plants, and carbon capture and storage (CCS) facilities as potential suppliers of carbon dioxide for the synthesis of SAF.

Green electricity will power the green hydrogen production for the project. The local market currently needs only about 8,000 tons of SAF due to the current 2% EU mandate. However, with the increasing demand for SAF and NorSAF's plans to export a significant portion of their produced SAF, the plant is expected to play a crucial role in the transition to a more sustainable aviation industry.

The Group's subsidiary, Baltic Ground Services, has been chosen to implement the technological part of the project due to their extensive experience with SAF supply and distribution. KBR is conducting the feasibility study for the project, expected to be completed by the second half of 2025. Work on the project is expected to commence shortly after the feasibility study is completed.

By 2030, 1.2% of all supplied SAF will have to be synthetic, and this requirement will gradually increase, with half of all SAF fuel required to be synthetic by 2050. SAF generates significantly less greenhouse gas emissions than conventional jet fuel, making it a key component in the aviation industry's efforts to reduce its carbon footprint.

This project marks a significant step forward in the Baltic states' commitment to a more sustainable aviation industry and underscores the growing global trend towards the use of SAF.