US biomass refining specialist New Energy Blue has formed a new subsidiary, New Energy Chemicals, to produce bio-sourced ethylene for sustainable aviation fuel (SAF) and renewable plastics, World Bio Market Insights reported.
After initially producing bio-based ethylene for the renewable plastics sector, the new biochemical subsidiary would expand operations at its Texas facility to produce SAF, the 22 March report said.
“New Energy Chemicals opens multiple pathways to our … growth in bio-based fuels and chemicals,” New Energy Blue president Albury Fleitas was quoted as saying.
“Our new end-to-end alternative to Brazilian ethanol for making SAF … will begin in the American Midwest by refining agricultural waste.”
In late 2025, the New Energy Freedom biomass refinery in Mason City, Iowa, was scheduled to begin converting corn stalks into 16-20M gallons/year (60.56M-75.70M litres/year) of cellulosic ethanol and 120,000 tonnes/year of lignin.
After conversion into bio-based ethylene at the company’s facility in Texas, the product would be transported via pipeline to US material science company Dow’s US Gulf Coast operations for use in renewable plastics production, the report said.
Dow’s use of bio-based feedstocks from New Energy Blue was expected to be certified by ISCC Plus, an international sustainability certification programme with a focus on traceability of raw materials within the supply chain, World Bio Market Insights wrote.
Although Dow planned to mix agriculture-based ethylene into its existing manufacturing process, ISCC Plus’s chain of custody certification would allow Dow’s customers to account for bio-based materials in their supply chains, the report said.
Looking ahead at SAF production, the ethanol-to-ethylene process used by New Energy Chemicals was expected to be compatible with conventional jet fuel methods of production, using a similar technology pathway used in Brazilian ethanol-to-SAF conversion.
The company is currently developing partnerships with governments, customers and developers in Canada, Europe, Asia and Africa, according to the report.
