Air France-KLM announced it is investing $4.7 million in DG Fuels, a sustainable aviation fuel (SAF) producer. The funding, according to the announcement, will support the completion of the development work necessary to reach the final investment decision on DG Fuels’ first sustainable aviation fuel plant, which will be located in Louisiana. 

In addition to this investment, Air France-KLM has acquired a new option to purchase up to 75,000 tons of SAF per year from DG Fuels, with deliveries planned to start as early as 2029.

Air France-KLM Group has said it aims to reduce its CO2 emissions per passenger/kilometer by 30% by 2030 compared with 2019. Its decarbonization trajectory factors in the incorporation of a minimum of 10% SAF by 2030, alongside fleet renewal and eco-piloting (the way aircraft are operated).

Constance Thio, executive vice president-human resources and sustainability for Air France-KLM, said that supporting the scale-up of advanced waste-to-aviation fuel technology is a crucial step to growing the SAF industry. This is the first time Air France-KLM has made a financial investment in a SAF producer, she said,  “and we look forward to further reinforcing our long-term partnership with DG Fuels.”