McDermott has secured a master services agreement (MSA) from Gevo Inc., to provide front end engineering and early planning services for Gevo's development of multiple sustainable aviation fuel (SAF) facilities in North America.
The first facility, ‘Net-Zero 1’, is expected to be constructed near Lake Preston, South Dakota, US. The Net-Zero 1 plant is expected to produce up to 65 million gal. of SAF, diesel and renewable gaso-line that, when consumed, is expected to have a lifecycle net zero greenhouse gas (GHG) footprint.
Vaseem Khan, Senior Vice President of McDermott, said: “This agreement marks the commencement of a collaborative relationship through which we will support Gevo's low-cost delivery and speed-to-market goals for its novel alcohol-to-jet process design which in-corporates Axens’ ethanol-to-jet process."
Under the scope of the MSA, McDermott will provide engineering, execution planning and pricing for the engineering, procurement, and construction (EPC) phase of Gevo's Net-Zero 1 project. The MSA is expected to lead to a final EPC agreement with Gevo for its Net-Zero 1 project to be finalised in coordination with the timing of Gevo's financing activities.
Dr. Chris Ryan, President and Chief Operating Officer of Gevo, said: "Gevo's Net-Zero Plant Design with its focus on carbohy-drates as feedstock, has been carefully chosen for its exceptional cost-effectiveness, reliability, and scalability to meet the surging demand for SAF and renewable hydrocarbons.”
The Net-Zero 1 plant will not only contribute to SAF production but also has the potential to generate 550 million lb of high-value nutri-tional products annually. The electricity needed to power the plant will come from wind energy, ensuring a sustainable and environ-mentally friendly approach to fuel production. Additionally, the ther-mal energy needs of the plant are expected to be met by renewable natural gas (RNG), sourced from upstream facilities that produce RNG using manure from dairy cattle and livestock.
The project will be led by McDermott's team in Houston, Texas, US, with support from its engineering team in Gurugram, India.