BC Forest Waste Fuels Canada's First SAF Breakthrough

A patch of boreal forest in north-central British Columbia is quietly becoming ground zero for one of Canada's most promising sustainable aviation fuel projects. Expander Energy Inc. has just announced a letter of intent with East Fraser Fiber Co. Ltd. to secure both the land and biomass feedstock needed to build the Mackenzie Biofuel Project, a facility that would convert forestry wood waste into low-carbon synthetic fuels, including SAF.

This isn't just another MOU. Land and feedstock secured before a FEED study is complete signals real commitment, not just momentum. It means the project design can evolve alongside community input from the start, rather than retrofitting agreements around a pre-built plan.

The Mackenzie facility would be the first-of-its-kind low-carbon clean-fuel production plant in Canada using cellulosic forestry wood waste as feedstock. For a sector that urgently needs new SAF supply pathways, that matters a great deal.

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The Technology Behind the Fuel

Expander's patented BETL (Biomass Electrolysis to Liquids) process was co-developed with Canadian Nuclear Laboratories (CNL). It converts biogenic carbon into a synthetic fuel molecule using a hybrid of biomass gasification and high-temperature electrolysis, eliminating the fossil component entirely. The resulting fuels include synthetic diesel, naphtha, and kerosene-grade jet fuel, known commercially as Bio-SynJet.

The process achieves a lifecycle carbon intensity as low as 14 gCO2e/MJ, roughly 80% lower than fossil-derived equivalents under BC's GHGenius model. That puts it firmly in the BECCS-adjacent territory that climate analysts increasingly identify as critical to net-zero aviation targets.

At Phase 1, the proposed facility would process 84,000 dry tonnes of forestry wood waste per year to produce 30 million liters of renewable fuels annually. SAF would account for up to 18 million liters of that output, with a potential expansion to 72 million liters per year if market demand warrants it.

The Clean Fuels Fund, administered by Natural Resources Canada, is backing the CAD$8 million (USD$5.7 million) FEED study. As of the November 2025 announcement, completion was targeted for Q1 2026, with funding secured and production planned for 2029.

Why Mackenzie, BC Makes Sense

The area surrounding Mackenzie has substantial fiber resources within a 100-kilometer radius, giving the project a strong supply chain foundation. Forestry residues, the kind of slash and waste wood that would otherwise be left to decay or become wildfire fuel, are the primary feedstock. This is a waste-to-value story with a dual benefit: cleaner skies and reduced wildfire risk.

The community context also matters. Mackenzie has seen its resource economy contract over recent years, and the project represents a tangible economic recovery opportunity. Mayor Joan Atkinson's office has issued a letter of support, as has the McLeod Lake Indian Band (MLIB), an important step given that Indigenous land rights govern forest management in the region.

By co-developing the facility design with MLIB from the outset, Expander avoids the permitting friction that has slowed or stalled other biomass-to-SAF projects at later stages. It's a smarter approach, and the industry is taking note.

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SAF's Feedstock Problem, and How This Helps Solve It

The global SAF industry has a well-documented feedstock bottleneck. Most current production relies on fats, oils, and greases that are already in high demand across multiple sectors. Forest residues like those in Mackenzie represent a largely untapped alternative, and the BETL technology is specifically designed to process cellulosic biomass that other platforms can't efficiently handle.

BC has its own short-term SAF targets to meet. Expander says this facility, even at Phase 1 scale, could meet a meaningful share of the province's near-term demand. Scaling to the full 336,000 dry tonnes per year of biomass input would push annual SAF production to 72 million liters and eliminate up to 360,000 tonnes of CO2 annually.

Canada's Clean Fuel Ambitions, Getting Real

The Mackenzie Biofuel Project fits neatly into a broader picture of Canada's clean energy investment push. Federal programs like the Clean Fuels Fund and the CCUS Investment Tax Credit have helped create a pipeline of projects that are moving from feasibility to execution. This one has an edge: it's not just studying the opportunity, it's locking in the inputs.

Expander is now in active conversations with aviation sector partners to gauge commercial interest in the SAF output. The company is also working to finalize project financing, with a goal to secure funding by early 2026 and commercial production targeted for 2029. Given the FEED study progress and feedstock agreements already in place, the Mackenzie project is further de-risked than most at this stage.

For an industry watching BECCS and biomass-to-fuel projects scale up globally, Canada is increasingly showing up as a serious player, and Mackenzie, BC is where the next chapter may be written.