Alder Fuels Secures Investments from United and Honeywell

Decarbonizing Aviation: A Significant Challenge

The aviation industry faces substantial hurdles in its efforts to reduce carbon emissions, largely due to its reliance on petroleum-based fuels for flight.

Alder Fuels' Innovative Approach

Alder Fuels, a new clean technology company led by Bryan Sherbacow, is actively working to address this challenge. They are developing a low-carbon jet fuel designed as a complete, 100% substitute for traditional petroleum fuel.

This is a key advancement, as current commercially available sustainable aviation fuel (SAF) typically requires blending with conventional fuel in a 50-50 ratio.

Major Investment and Purchase Agreement

The potential of this technology has garnered significant attention within the aviation sector. Alder Fuels announced on Thursday a multimillion-dollar investment from industry leaders United Airlines and Honeywell.

Alongside this investment, United has entered into a purchase agreement for 1.5 billion gallons of fuel – representing the largest SAF commitment in aviation history to date.

Impact on United Airlines' Fuel Consumption

A spokesperson for United indicated to TechCrunch that the airline consumes approximately 4 billion gallons of fuel annually.

Therefore, this agreement would cover nearly 40% of the airline’s total yearly fuel needs.

Commercialization Timeline and Standards

Before deployment in United aircraft, the fuel must meet stringent specifications set by ASTM International, a globally recognized standards organization.

Alder Fuels and Honeywell anticipate the commercial availability of this technology by 2025.

Development and Scalability

While formally launched earlier this year, Bryan Sherbacow has been evaluating this technology for around five years.

His research highlighted the necessity for both scalability and widespread availability of the fuel’s underlying raw materials.

Addressing Carbon Oil Precursors

“The central question is how to efficiently access these carbon oil precursors and convert them into a usable product within existing refining infrastructure,” Sherbacow explained in a recent TechCrunch interview.

Utilizing Woody Biomass

To overcome this obstacle, Alder Fuels is focusing on carbon-rich woody biomass, such as agricultural waste.

This biomass is transformed into crude oil, which can then be processed into aviation fuel using a pyrolysis-based technology.

Initially, the company will leverage Honeywell’s proprietary Ecofining hydroprocessing technology, with the long-term goal of compatibility with all existing refining facilities.

Economic Opportunities in Biowaste

“A substantial amount of woody biomass is already collected industrially but currently has limited or no economic value,” Sherbacow noted.

“This presents a valuable opportunity to utilize a readily available carbon store.”

This approach could also create new revenue streams for industries like forestry, agriculture, and paper production, which generate significant biowaste.

Government Support and Partnerships

Alder Fuels’ research receives support from the U.S. Defense Logistics Agency and the Department of Energy, emphasizing the importance of public-private collaboration in decarbonizing aviation.

The Biden administration has prioritized climate change, and incentives for SAF are likely to be included in the current $3.5 trillion spending bill under consideration by Congress.