SkyNRG launches construction on major Dutch SAF plant to boost green fuel supply

SkyNRG has officially commenced construction on its first dedicated Sustainable Aviation Fuel (SAF) production facility in Delfzijl, Netherlands. The project, named DSL-01, represents a significant milestone in Europe's strategy to decarbonize the aviation sector and meet ambitious environmental targets.

When it becomes operational in mid-2028, the plant is expected to produce 100,000 metric tons of SAF each year. This volume will make a substantial contribution to the availability of lower-carbon fuels for airlines operating in the region.

Key Project Details

The facility will utilize a proven production pathway known as Hydroprocessed Esters and Fatty Acids (HEFA) to convert waste and residue feedstocks, such as used cooking oil, into jet fuel. According to SkyNRG, the SAF produced is expected to achieve a lifecycle greenhouse gas emission reduction of approximately 80-90% compared to conventional fossil jet fuel. In addition to SAF, the plant will generate 35,000 metric tons of sustainable by-products, including biobased propane and naphtha.

A crucial element of the project is the partnership with KLM Royal Dutch Airlines, which has been secured as the primary offtaker for the fuel. This long-term agreement provides the financial stability needed for such a large-scale industrial project and guarantees a market for the plant's output.

Driving Decarbonization Efforts

The development of the DSL-01 plant is directly supported by a strong regulatory framework from the European Union. The EU's ReFuelEU Aviation initiative, part of the broader 'Fit for 55' climate package, mandates increasing levels of SAF to be blended with conventional jet fuel at EU airports. These mandates start at 2% in 2025 and rise to 70% by 2050, creating a clear demand signal for producers like SkyNRG.

This investment is critical, as SAF production currently meets only a fraction of global demand. According to the European Union Aviation Safety Agency (EASA), SAF accounted for just 0.53% of total jet fuel usage in 2024. Scaling up production through facilities like DSL-01 is essential for the industry to meet its long-term goals, including the target set by the International Air Transport Association (IATA) to achieve net-zero carbon emissions by 2050.

Industry Impact and Outlook

The SkyNRG project highlights a key industry trend: direct collaboration between fuel producers, airlines, and investors to de-risk and accelerate the energy transition. By securing offtake agreements and direct investment, SAF producers can move forward with capital-intensive projects, while airlines can secure a future supply of the fuel needed to comply with regulations and meet their own sustainability targets.

While the HEFA pathway is the most mature technology today, the industry continues to explore other methods, such as Alcohol-to-Jet (AtJ) and Power-to-Liquid (PtL), to diversify feedstocks and further scale production. The successful launch and operation of the DSL-01 plant will serve as a vital blueprint for future SAF facilities across Europe and globally.

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