APG Invests in SkyNRG to Boost Sustainable Aviation Fuel Production Globally
Key Ideas
- APG invests up to €250mn in SkyNRG to accelerate global development of sustainable aviation fuel production facilities.
- The funding, part of a larger €300mn round with support from Macquarie Asset Management, will aid SkyNRG's infrastructure expansion in the Netherlands, Sweden, and the US.
- SkyNRG is set to construct new SAF facilities in the Netherlands, Sweden, and the US, with production expected to begin in 2029.
- The push for dedicated SAF facilities is driven by mandates like ReFuelEU, which requires increasing proportions of SAF and synthetic aviation fuels like e-kerosene and hydrogen in jet fuel deliveries by 2050.
Dutch pension services provider APG is investing €250mn in SkyNRG, a Dutch sustainable aviation fuel distributor, to accelerate the global development of sustainable aviation fuel production facilities. This investment, on behalf of pension fund ABP, is part of a larger €300mn round that includes an additional €50m from Macquarie Asset Management. The capital injection will support SkyNRG's infrastructure expansion in the Netherlands, Sweden, and the US. In the Netherlands, SkyNRG is developing a 100,000 t/yr SAF plant, while in Sweden, a joint venture with Skelleftea Kraft aims to establish a 100,000 t/yr e-SAF plant. In the US, SkyNRG plans to build a 150,000 t/yr facility producing SAF and renewable diesel. The company aims to meet increasing demand driven by mandates like ReFuelEU, which requires fuel suppliers to include a growing proportion of SAF and synthetic aviation fuels like e-kerosene and hydrogen in jet fuel deliveries by 2050. European SAF prices have recently risen, reflecting stronger demand ahead of the summer flying season.