Montana Renewables Locks 70M-Gallon SAF Deal Ahead of MaxSAF Launch

North America's largest sustainable aviation fuel producer just made a big move. Montana Renewables (MRL) and World Energy announced a three-year agreement to deliver more than 70 million gallons of SAF to the market, with an estimated CO2 reduction of up to 600,000 metric tons.

The deal comes at a pivotal moment. MRL's MaxSAF™ 150 expansion is on track for a spring 2026 launch, and the contract signals strong demand for domestically produced sustainable aviation fuel even as policy uncertainty swirls around the 45Z Clean Fuel Production Tax Credit.

MRL is an unrestricted subsidiary of Calumet, Inc. (NASDAQ: CLMT). World Energy has operated in advanced bioenergy and low-carbon solutions for over three decades and is the world's first commercial-scale SAF producer.

>> In Other News: Climeworks Establishes Canadian Headquarters in Calgary

What This Deal Actually Looks Like

Under the agreement, MRL will supply SAF to World Energy, which specializes in carbon insets for corporate aviation clients. Carbon insets allow companies to acquire the environmental attributes derived from SAF to decarbonize global aviation operations, a market growing fast as airlines and corporate customers pursue net-zero targets.

The partnership pairs MRL's production muscle with World Energy's deep corporate relationships. World Energy serves clients in tech, pharma, finance, and business services, all of whom are looking for credible ways to reduce aviation-related emissions.

MaxSAF 150: The Expansion That Changes the Math

MRL's Great Falls, Montana facility has been operational since late 2022, producing approximately 140 million gallons per year of biofuels. The MaxSAF™ 150 expansion, backed by a $1.67 billion DOE loan guarantee announced in January 2025, will push capacity to a projected 315 million gallons per year, with the majority being SAF.

If MRL hits its targets, it would produce roughly half of all North American SAF and about 12% of global supply through 2030.

>> RELATED: The Overlooked Step To Max Out Your 45Z Credit

The feedstock story matters too. MRL sources agricultural byproducts from Pacific Northwest farms, including tallow, distillers corn oil, canola oil, used cooking oil, and camelina oil. That makes this expansion directly tied to rural agricultural communities and domestic supply chains.

World Energy's Corporate Play

World Energy brings something different to the table. As a pioneer in the carbon insets market, the company connects SAF supply with corporate demand from some of the world's biggest brands. Corporate buyers acquire the environmental attributes of SAF to offset their own aviation carbon footprints, and World Energy has been building this business for years.

World Energy's long-term contract also validates MRL's capital investments. When you're building out a facility backed by a billion-dollar-plus DOE loan guarantee, having contracted offtake agreements makes the financial picture considerably stronger.

How MRL's Expansion Stacks Up

Why This Matters Right Now

The timing is telling. The SAF market is at an inflection point. Global production doubled in 2025 to 1.9 million tonnes, but that still accounts for less than 1% of total jet fuel consumption. Demand keeps climbing, driven by corporate sustainability commitments and the CORSIA mandatory compliance phase approaching in 2027.

This contract shows that even amid uncertainty around the 45Z credit, the private sector is moving forward. Real contracts, real gallons, real infrastructure, all backed by American agriculture.

For the SAF industry, this is the kind of proof point that matters. Not memoranda of understanding, but binding supply agreements tied to a facility under construction and approaching commercial operation. The spring 2026 MaxSAF 150 launch will be one to watch.