Media Release: Licella Secures ARENA Funding for Feasibility of SAF Biorefinery in Queensland
Published Wed 26 Feb 2025
Licella Secures ARENA Funding for Feasibility of SAF Biorefinery in Queensland
• Licella receive $8 million grant to support its feasibility study for a sustainable aviation fuel (SAF) biorefinery.
• The proposed Queensland biorefinery will target production of ~40 million litres of SAF annually.
• Project to advance domestic SAF production and support national fuel security.
Licella has secured an $8 million grant from the Australian Renewable Energy Agency (ARENA) to advance feasibility studies for a sustainable aviation fuel (SAF) biorefinery in the Bundaberg region of Queensland.
The proposed biorefinery will use Licella’s Australian-developed Cat-HTR™ (Catalytic Hydrothermal Reactor) technology to convert agricultural residues, such as bagasse, into advanced biofuels. With the potential to produce ~40 million litres of SAF annually, the project could supply about ~7% of the domestic airline industry’s 2030 SAF commitment. Licella is targeting a carbon intensity reduction of ~80% for its renewable fuels compared to conventional fossil fuels.
Feasibility studies, including Front-End Engineering Design (FEED), will run for 18-24 months, with the biorefinery deployment project commencing after a Final Investment Decision (FID). The study, referred to as Project Swift, represents a major step in diversifying and strengthening Queensland’s sugar industry and the regional economy.
The proposed biorefinery is expected to create around 300 construction jobs and 100 new operational roles, stimulating regional development and adding value to agricultural residues. Its modular design allows for rapid replication across Queensland, supporting the growth of a domestic SAF industry.
Licella’s CEO, Alan Nicholl, welcomed ARENA’s support as a key milestone for commercialising the Cat-HTR™ in Australia. “We are delighted to receive ARENA’s support as we advance our Queensland project. This project is a landmark step for Australia’s renewable fuel future. Our Australian-developed technology will deliver real impact - reducing emissions from hard to abate sectors such as aviation while creating new economic opportunities for regional Queensland,” Mr. Nicholl said.
“Through our global partnership with Shell, we are developing an integrated biomass-to-advanced biofuels solution targeting high volumes of low-cost, low-carbon SAF,” Mr Nicholl said.
Len Humphreys, Licella’s Executive Chairman, highlighted the broader impact of the project, “Our Cat-HTR™ technology represents a new approach designed for a carbon-constrained world, offering a scalable solution to produce SAF and other low carbon fuels from biomass residues. This project brings us closer to delivering a commercial-scale biorefinery in Australia using our pioneering Cat-HTR™ platform.”
ARENA CEO Darren Miller said this project represents an important step in the development of a pipeline of projects that could support the reduction of aviation sector emissions. “Aviation is a challenging industry from an emissions reduction perspective with domestic flights currently accounting for approximately 2 per cent of Australia’s greenhouse gas emissions,” Mr Miller said.
“With Australians being among the most prolific flyers in the world, decarbonising this high emissions industry will be vital for us to achieve our net zero targets.
“This project is an important step towards developing opportunities to cut emissions from Australian skies and ARENA will be working to ensure the lessons from it help to inform the broader development of a sustainable aviation fuels industry in Australia.”
Licella is working closely with the Isis Central Sugar Mill in the Bundaberg region, and other strategic partners along the value chain, to drive innovation and strengthen Australia’s renewable fuel capabilities. This project represents a critical step toward fuel security and a sustainable future for aviation.
Acknowledgement
This Project received funding from the Australian Renewable Energy Agency (ARENA) as part of ARENA's Advancing Renewables Program.
Disclaimer
The views expressed herein are not necessarily the views of the Australian Government, and the Australian Government does not accept responsibility for any information or advice contained herein.
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Media Contact
For further details, please contact:
Andrea Polson andrea.polson@licella.com
About Licella
Licella is an Australian-based global technology pioneer delivering the next generation of low carbon solutions. Our patented Catalytic Hydrothermal Reactor (Cat-HTR™) is the world’s leading hydrothermal liquefaction (HTL) technology, using water to sustainably transform abundant waste feedstocks into an advanced bio-intermediate, upgraded to advanced biofuels (including sustainable aviation fuel), biomaterials (such as green Naphtha) and circular plastic through advanced recycling. For over a decade, our technology has redefined what’s possible in the bioeconomy – unlocking future-proof feedstocks and driving down the cost of production. With breakthrough technology and world-leading partnerships, Licella offers scalable, cost-efficient, and low carbon solutions for a net zero future.
For more information, visit licella.com
For more information on Project Swift, visit www.licella.com/project-swift