International Airlines Group (IAG) announced a deal to source sustainable aviation fuel (SAF) from Infinium, a US power-to-liquid e-SAF producer.
Under the terms of the contract, which was announced during Aviation Carbon 2024, which is taking place at London-Heathrow (LHR) from November 25 to 26, 2024, IAG will pay a set price for this SAF over a 10-year period.
While the volume involved in the contract has not yet been revealed, Jonathon Counsell, IAG’s Group head of Sustainability, qualified it as “significant”.
e-SAF is synthetic aviation fuel produced from waste CO2, water, and renewable energy, of which there is plenty in West Texas, United States, where Infinium’s Project Roadrunner facility is located. The production site is being developed at a brownfield site in West Texas and will be the largest e-SAF plant in the world once it is at full capacity.
Since IAG must comply with both European Union (EU) and United Kingdom (UK) SAF mandates, which specify that the fuel must be delivered to airports located within their respective jurisdictions, e-SAF from Infinium’s plant will be shipped from Texas to Europe for use by all five of IAG’s airlines (British Airways, Iberia, Vueling, Aer Lingus and LEVEL).
This is IAG’s second commercial deal with an e-SAF developer, but is likely not to be the last. The first was signed in February 2024 with Twelve, another US-based e-fuels startup.
Jonathon Counsell, IAG’s Group Head of Sustainability, confirmed that, while the company is on track to fulfill its goal of 10% SAF use by 2030, it will continue to scout the market for additional potential e-SAF procurement deals.