Calumet has successfully secured a $1.44 billion guaranteed loan from the U.S. Department of Energy’s Loan Programs Office to build and expand the renewable fuels facility operated by its Montana Renewables subsidiary.
The expansion will transform Montana Renewables into one of the largest producers of sustainable aviation fuel (SAF) globally, increasing production capacity to 300 million gallons per year of SAF and 330 million gallons per year of combined SAF and renewable diesel.
The company stated that an initial $782 million of the loan proceeds is expected to be disbursed this month, with the remaining funds released throughout the planned construction period.
“Following our conversion to a C-corporation, we emphasized the importance of the DoE loan as the next major step in Calumet’s vision, and achieving that milestone is a tremendous accomplishment,” said CEO Todd Borgmann.