Oxford’s Velocys signs sustainable aviation fuel project delivery agreement with Bechtel
The two firms have agreed to work together to develop a plan for carrying out Velocys’ sustainable fuels projects, with the MRA laying out how they should collaborate towards this goal.
Dependent on the terms of future contracts, the partnership will begin by focusing on Velocys’ two main projects, Altalto Project in Immingham, UK and Bayou Fuels Project in the US, as well as the recently announced UK power-to-liquids project, e-Alto. The MRA also covers the introduction of future third-party projects by both companies.
A separate agreement sees Bechtel providing engineering and other technical services in support of Velocys’ Sustainable Aviation Fuel project portfolio, with particular focus from Bechtel on delivery of the Altalto Project Front-End Engineering and Design phase, which was boosted by a recent government grant funding of up to £27 million.
Henrik Wareborn, CEO of Velocys, said: "The master relationship agreement with Bechtel is an important step towards the provision of world class EPC capability and capacity to the expanding Velocys project portfolio. Working with Bechtel will give added value to current and future clients with respect to successful project delivery."
Paul Marsden, President, Bechtel Energy, said: "We are committed to supporting revolutionary energy transition projects designed to reduce global carbon emissions. As part of Bechtel's portfolio in sustainable fuels, we are excited to collaborate with Velocys and look forward to realising the potential of these facilities to introduce sustainable fuel options for global markets."