Securing offtake and investment – Norsk e-Fuel closes milestone agreements
17th January 2024, Oslo/Mosjøen (Norway) / Luxembourg (Luxembourg)
Norsk e-Fuel is proud to announce major partnership milestones by closing significant agreements on offtake and investment. Two international airlines – Norwegian Air Shuttle and Cargolux Airlines International S.A. have committed to purchase fossil free aviation fuel. Norwegian will in addition join Norsk e-Fuel’s shareholder group, which will as of now be led by the existing shareholder and renowned engineering, procurement, and construction company Paul Wurth, a subsidiary of SMS group.
E-Fuel project developer Norsk e-Fuel has signed several landmark agreements. By securing long-term offtake agreements with Norwegian and Cargolux in addition to strengthening the shareholder group around Paul Wurth, the company is moving ahead with large steps. Norsk e-Fuel is starting the industrialization of e-Fuel production in Mosjøen, Norway and will start to provide e-Fuels to the aviation industry after 2026. Backed by a strong shareholder and partner network, the company looks to increasing production with two additional plants by 2030.
“We have ambitious plans to ramp-up e-Fuel production as soon as possible to deliver fossil-free fuels to the aviation industry. The commitment of our new partners Cargolux and Norwegian and the reaffirmed support of the founding member and shareholder Paul Wurth are not only a sign of trust into our mission, our business concept and our team. They also show the understanding of the critical role of e-Fuels in shaping a future for aviation that is free from fossil fuels—both in Norway and across Europe.”, says Karl Hauptmeier, CEO of Norsk e-Fuel.
Reflecting a shared vision for a more sustainable future of aviation, the passenger airline Norwegian and the cargo airline Cargolux have committed to the offtake of e-SAF (Sustainable Aviation Fuel). The total volume of the offtake agreements covers more than 140.000 tons of fuel supply. In addition, the two companies will provide strategic support for the development of two additional production facilities by 2030.
“Cargolux is proud to join the Norsk e-Fuel project. E-Fuel will be a major pillar to achieve net zero carbon emissions by 2050 in aviation. E-Fuels are based on abundant feedstock such as carbon dioxide and when produced with green electricity, this project will provide one of the highest greenhouse gas savings compared to conventional jet fuel. We look forward to offering our customers the option to have the ability to voluntarily enhance their sustainability initiatives through the use of e-Fuels for their shipments as of late 2026.”, says Richard Forson, CEO and President of Cargolux.
“We welcome the collaboration opportunities with Norsk e-Fuel. Together, we now embark on a journey towards the next generation of fossil free jet fuels. Such sustainable aviation fuels will be in high demand in the years to come. The agreement entails that we will invest a total of around € 5 million and will secure Norwegian early access to the product. The use of fossil free aviation fuels is key to achieving our goal of reduced carbon emissions by 45 percent in 2030,” adds Geir Karlsen, CEO of Norwegian.
The shareholder group now extended by Norwegian will from now on be led by Paul Wurth. It has been backing Norsk e-Fuel since its inception and has now decided to raise their investment in the company by an additional € 5.5 million. The commitment has been welcomed by existing shareholders as much as by the management and team of Norsk e-Fuel.
“We strongly welcome the collaboration with Norwegian. Through the execution of the offtake agreement, we have fortified our position for upcoming projects. We now anticipate launching the next phase, focusing on the FEED study to bring the project up to its realization”, says Thomas Hansmann, CTO of SMS group.
Georges Rassel, Chairman of the Board of Directors in Norsk e-Fuel, adds: "I am truly honored to lead this exceptional team and delighted to announce our new partnerships with two esteemed airlines. Bringing together Norwegian, Cargolux and Paul Wurth, we are committed to ensuring the success of Norsk e-Fuel, where we can now enter the next phase of the project."
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Norsk e-Fuel in brief
Norsk e-Fuel was founded in 2019 to drive the transition to renewable aviation by establishing the industrial production of sustainable fuels based on CO2 and water.
Supported by strategic investors and carefully selected partners, Norsk e-Fuel is set to bring Power-to-Liquid production to industrial scale. As project developer, Norsk e-Fuel is establishing large-scale production sites to deliver synthetic fuels to the aviation industry. The company is determined to develop a new value-chain for sustainable fuels, starting with a first production facility to be located in Mosjøen, Norway.
Contact: Luisa Wagner, Communications & Corporate Development, +49 176 84639058, [email protected]
Learn more on our website, and follow us on LinkedIn.
Paul Wurth (SMS group) in brief
SMS group is renowned worldwide for its future-oriented technologies and outstanding service for the metals industry. The company applies its 150 years of experience and its digital know-how to provide the industry continuously with innovative products and processes – even beyond its core business. Paving the way for a carbon-neutral and sustainable metals industry is the company’s stated goal.
As a member of SMS group, Paul Wurth is an established technology provider and plant builder for the global ironmaking industry. Presently, the company is focusing on the development of innovative solutions to lead the green transformation of the (steel) industry, as well as actively shaping the production of e-Fuels in order to enable the aviation industry to reach its net-zero emission targets.
Contact: [email protected]
Learn more on our website, and follow us on LinkedIn.
Norwegian in brief
Norwegian Air Shuttle is the largest Norwegian airline and one of Europe’s leading low-cost carriers. The company has around 4,500 employees and offers a comprehensive route network between Nordic countries and destinations in Europe. Since 2002, more than 300 million passengers have flown with Norwegian. The most important task has been to offer affordable plane tickets to all and to offer more freedom of choice along the journey.
Norwegian is a driving force for sustainable solutions and the transformation of the aviation industry. The company’s goal is to reduce its CO2 emissions by 45 percent within 2030. To this means, the company is renewing its fleet, promoting sustainable aviation fuel, reducing its waste, and using wind and weather data to calculate the most efficient fuel-saving flights routes. Norwegian wants to become the sustainable choice for its passengers.
Contact: Esben Tuman, Senior Vice President Communications, +47 90508400, [email protected]
For more information, visit https://www.norwegian.com/