Comstock Fuels partners with SACL to develop three biofuel plants in Australia

Comstock, a company that commercializes decarbonization technologies, signed a collaboration agreement with Southern Asian Carbon Limited (SACL), a Singapore-based renewable fuel project developer, to establish three biofuel production facilities in Australia, Comstock said in a statement on September 19.

The collaboration will focus on the production of Sustainable Aviation Fuel (SAF) and other renewable fuels.

SACL has identified three strategic sites for the construction of biofuel refineries. These include a 250,000 mt/year facility in southeastern Australia, another 250,000 mt/year site in northwest Australia, and a larger 750,000 mt/ year refinery on the east coast in northern Australia.

The total estimated construction cost for these projects is approximately $2.4 billion, with an expected annual production of over 160 million gallons of gasoline, SAF, and other renewable fuels from lignocellulosic biomass, alongside 140 million gallons from vegetable oils.

Innovative technology and economic impact

Comstock Fuels' advanced lignocellulosic biomass refining technology is at the heart of these projects. This innovative process converts woody biomass into renewable fuels with market-leading yields and low carbon intensities.

The technology involves several stages, including the digestion and fractionation of biomass, conversion of cellulose into ethanol, and refining of oils into ASTM-compliant renewable fuels.

This approach promises to yield up to 125 gasoline gallon equivalents (GGE) per dry metric ton of feedstock, significantly contributing to decarbonization efforts.

Under the terms of the agreement, Comstock Fuels will receive a 20% equity stake in each refinery, along with a royalty fee of 6% on sales and engineering fees of 6% of construction costs.

This partnership not only positions Comstock as a leader in renewable fuel technology but also promises substantial economic benefits with projected sales exceeding $1.5 billion annually.

Future prospects and global expansion

Beyond Australia, Comstock is advancing plans to build, own, and operate additional facilities in the United States.

These include a commercial demonstration facility and three large-scale commercial facilities, collectively expected to produce up to 700 million GGE of renewable fuels annually.

David Winsness, president of Comstock Fuels, said: "We are concurrently executing on our own plan to build, own, and operate our first four facilities in the US, including an initial 50,000 mt/year Commercial Demonstration Scale Facility followed rapidly by three 1 million mt/year Commercial Scale Facilities. Collectively, our planned US facilities will produce upwards of 700 million GGE per year of renewable fuels, including approximately 400 million GGE from woody biomass and another approximately 300 million GGE from vegetable oils."

This ambitious expansion aligns with Comstock's vision of producing nearly 1 billion GGE per year, reinforcing its leadership in the renewable energy sector.

Platts, part of S&P Global Commodity Insights, assessed SAF production costs (palm fatty acid distillate) in Southeast Asia at $1,624.36/mt Sept. 19, up $14.86/mt from the previous assessment.