NEWSROOM |
|
|
|
||||
By |
|||||
December 16, 2009 - Rentech, Inc. announced that it has signed a
Memorandum of Understanding ("MOU") with thirteen domestic and
international passenger and cargo carriers that is intended to serve as
a framework for a future definitive supply agreement for certified jet
fuel from Rentech's proposed synthetic fuels and power facility in
The non-binding MOU signed by Rentech and Air Canada, AirTran Airways,
American Airlines, Atlas Air, Delta Air Lines, FedEx Express, JetBlue
Airways, Lufthansa German Airlines, Mexicana Airlines, Polar Air Cargo,
United Airlines, UPS Airlines and US Airways includes terms that are
anticipated to serve as the basis of a possible definitive purchase
agreement by these carriers for the Natchez Project's entire synthetic
jet fuel production of approximately 250 million gallons per year.
|
|||||
Fuel based on the Fischer-Tropsch process, including Rentech's RenJet(R), is the only alternative jet fuel currently certified for use in commercial aviation at up to a 50/50 blend with traditional jet fuel. RenJet(R) has a lower carbon footprint as well as lower regulated emissions compared to traditional jet fuel.
The Natchez Project has the potential to contribute significantly to
domestic energy security and economic growth within the state of
D. Hunt Ramsbottom, President and Chief Executive Officer of Rentech,
said, "This agreement is a significant step forward, representing nearly
two years of negotiations between Rentech and our airline partners,
establishing a framework for a large group of diverse carriers to
negotiate a definitive fuel purchase agreement." Mr. Ramsbottom
continued, "We believe that successful relationships with our airline
partners, suppliers and the government can advance what is expected to
be the nation's first large-scale synthetic fuels facility for
environmentally superior alternative sources of domestic energy and
significant new jobs that will help our economy grow. Rentech is leading
Glenn Tilton, Air Transport Association of America, Inc. ("ATA") Board
Chairman and UAL Corporation and United Airlines Chairman, President and
Chief Executive Officer, said, "Today's announcement reinforces the
proactive steps that airlines are taking to stimulate competition in the
aviation fuel supply chain, contribute to the creation of green jobs,
and promote energy security through economically viable alternatives
that also demonstrate environmental benefits." Mr. Tilton continued,
"Our intention as an airline industry is to continue to do our part by
supporting the use of alternative fuels. We urge the |
Mississippi Governor Haley Barbour, said, "I am very pleased with the
progress being made by Rentech in development of the Rentech Strategic
Fuels and Chemicals facility in Adams County. It is a long road to
developing a project of this magnitude, and Rentech's agreement with the
airlines is a strong step forward in the effort to make this
groundbreaking project a reality and create good paying careers for many
residents of southwest Mississippi."
Using Rentech's patented and proprietary synthetic fuels technology
based on Fischer-Tropsch chemistry, the Natchez Project as currently
contemplated would produce approximately 400 million gallons per year of
synthetic fuels and chemicals and over 120 megawatts of clean power from
fossil feedstocks, with the possible integration of renewable feedstocks
processed with Rentech's biomass gasification technologies.
Rentech has contracted to sell all of the carbon dioxide to be captured
at this proposed facility to Denbury Onshore, LLC, a wholly owned
subsidiary of Denbury Resources Inc. ("Denbury"). Carbon dioxide
purchased under the long-term contract would be used for enhanced oil
recovery to produce otherwise unrecoverable oil at Denbury's Cranfield
oil field in Southwest Mississippi as well as at the company's oil
fields within the greater Gulf Coast area.
The Cranfield oil field is currently hosting a U.S. Department of Energy
("DOE")-sponsored carbon dioxide sequestration project that is the first
in the nation to inject more than 1 million tons of carbon dioxide into
an underground rock formation followed by additional injections into the
saline portion of the reservoir, more than 10,000 feet below the
surface. The sequestration of carbon dioxide captured at the
Rentech owns an approximately 450-acre property located adjacent to the
Mississippi River near
Rentech, Inc. incorporated in 1981, provides clean energy solutions. The
Company's Rentech-SilvaGas biomass gasification process can convert
multiple biomass feedstocks into synthesis gas (syngas) for production
of renewable fuels and power. Combining the gasification process with
Rentech's unique application of proven syngas conditioning and clean-up
technology and the patented Rentech Process based on Fischer-Tropsch
chemistry, Rentech offers an integrated solution for production of
synthetic fuels from biomass.
The Rentech Process can also convert syngas from fossil resources into
ultra-clean synthetic jet and diesel fuels, specialty waxes and
chemicals. Final product upgrading is provided under an alliance with
UOP, a Honeywell company. Rentech develops projects and licenses these
technologies for application in synthetic fuels and power facilities
worldwide. Rentech Energy Midwest Corporation, the Company's
wholly-owned subsidiary, manufactures and sells nitrogen fertilizer
products including ammonia, urea ammonia nitrate, urea granule, and urea
solution in the corn-belt region of the central
Founded in 1936, ATA is the nation's oldest and largest airline trade
association, representing the nation's leading airlines. Since its
inception, it has played a major role in all of the significant
government decisions regarding aviation, including the creation of the
Civil Aeronautics Board and the Federal Aviation Administration, the
creation of the air traffic control system, airline deregulation and,
more recently, with the aftermath of the 9/11 attack on America.
ATA airline members and their affiliates transport more than 90 percent
of all |
?AvStop Online Magazine Contact Us Return To News |
|