Hawaiian Airlines and Gevo Enter into Sustainable Aviation Fuel Sales Agreement

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Mar 23, 2023, 16:18 ET

HONOLULU, March 23, 2023 /PRNewswire/ -- Hawaiian Airlines today announced that it has reached an agreement with biofuel company Gevo, Inc. to purchase 50 million gallons of sustainable aviation fuel (SAF) over five years. Gevo expects to supply the SAF from a facility to be constructed in the Midwestern United States and begin deliveries to Hawaiian's gateway cities in California starting in 2029.

"This offtake agreement gets us one step closer to achieving our goal of net-zero carbon emissions by 2050," said Peter Ingram, Hawaiian's president and CEO. "We intend to continue to invest in SAF, which will be pivotal in reducing our impact on the environment."

"Gevo is pleased to welcome Hawaiian Airlines to our customer family of airlines that are working hard to achieve their net zero goals," said Gevo CEO Dr. Patrick Gruber. "By counting all of the carbon, analyzed using Argonne's GREET (Greenhouse Gases, Regulated Emissions, and Energy Use in Transportation) method, we are working to help airlines realize these goals."

Argonne National Laboratory's GREET model measures the greenhouse gas life cycle impacts of fuels, from feedstock to production through combustion.

Gevo will produce SAF using residual starch from inedible field corn, grown using regenerative farming practices. The production process also will utilize renewable electricity and renewable natural gas, resulting in low-carbon fuels with substantially reduced carbon intensity (the level of greenhouse gas emissions compared to standard petroleum fossil-based fuels across their life cycle). Gevo's process is designed to maximize value and minimize waste by using the same acre of farmland to produce both animal feed and renewable fuels while sequestering atmospheric carbon through photosynthesis.

The fuel sales agreement is subject to certain conditions precedent, including Gevo developing, financing, and constructing the facility to produce the SAF contemplated by the agreement.

Hawaiian has launched several sustainability initiatives in recent years including a partnership with Par Hawaii, the state's largest provider of energy products, to study the commercial viability of producing SAF in Hawaiʻi.

About Hawaiian Airlines

Now in its 94th year of continuous service, Hawaiian is Hawaiʻi's biggest and longest-serving airline. Hawaiian offers approximately 130 daily flights within the Hawaiian Islands, daily nonstop flights between Hawaiʻi and 15 U.S. gateway cities – more than any other airline – as well as service connecting Honolulu and American Samoa, Australia, Japan, New Zealand, South Korea and Tahiti.

Consumer surveys by Condé Nast Traveler and TripAdvisor have placed Hawaiian among the top of all domestic airlines serving Hawaiʻi. In 2022, the carrier topped Travel + Leisure's 2022 World's Best list as the No. 1 U.S. airline and was named Hawaiʻi's best employer by Forbes. Hawaiian^® led all U.S. carriers in on-time performance for 18 consecutive years (2004-2021) as reported by the U.S. Department of Transportation.

The airline is committed to connecting people with aloha by offering complimentary meals for all guests on transpacific routes and the convenience of no change fees on Main Cabin and Premium Cabin seats. HawaiianMiles members also enjoy flexibility with miles that never expire. As Hawai'i's hometown airline, Hawaiian encourages guests to Travel Pono and experience the islands safely and respectfully.

Hawaiian Airlines, Inc. is a subsidiary of Hawaiian Holdings, Inc. (NASDAQ: HA). Additional information is available at HawaiianAirlines.com. Follow Hawaiian's Twitter updates (@HawaiianAir), become a fan on Facebook (Hawaiian Airlines), and follow us on Instagram (hawaiianairlines). For career postings and updates, follow Hawaiian's LinkedIn page.

For media inquiries, please visit Hawaiian Airlines' online newsroom.

About Gevo, Inc.

Gevo's mission is to transform renewable energy and carbon into energy-dense liquid hydrocarbons. These liquid hydrocarbons can be used for drop-in transportation fuels such as gasoline, jet fuel and diesel fuel, which when burned have potential to yield net-zero greenhouse gas emissions when measured across the full life cycle of the products. Gevo uses low-carbon renewable resource-based carbohydrates as raw materials, and is in an advanced state of developing renewable electricity and renewable natural gas for use in production processes, resulting in low-carbon fuels with substantially reduced carbon intensity (the level of greenhouse gas emissions compared to standard petroleum fossil-based fuels across their life cycle). Gevo's products perform as well or better than traditional fossil-based fuels in infrastructure and engines, but with substantially reduced greenhouse gas emissions. In addition to addressing the problems of fuels, Gevo's technology also enables certain plastics, such as polyester, to be made with more sustainable ingredients. Gevo's ability to penetrate the growing low-carbon fuels market depends on the price of oil and the value of abating carbon emissions that would otherwise increase greenhouse gas emissions. Gevo believes that its proven, patented technology enabling the use of a variety of low-carbon sustainable feedstocks to produce price-competitive low-carbon products such as gasoline components, jet fuel and diesel fuel yields the potential to generate project and corporate returns that justify the build-out of a multi-billion-dollar business.

Gevo believes that the Argonne National Laboratory GREET model is the best available standard of scientific-based measurement for life cycle inventory or LCI. Learn more at Gevo's website: www.gevo.com

Forward-Looking Statements

Certain statements in this press release may constitute "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements relate to a variety of matters, without limitation, including Gevo's technology, the agreement with Hawaiian, Gevo's ability to develop, finance and construct one or more production facilities to produce the SAF contemplated by the Agreement with Hawaiian, the timing of Gevo producing the SAF for Hawaiian, Gevo's estimate of the expected value of the Agreement with Hawaiian, Gevo's production of SAF, the attributes of Gevo's products, Gevo's ability to create net-zero carbon intensity products, and other statements that are not purely statements of historical fact. These forward-looking statements are made on the basis of the current beliefs, expectations and assumptions of the management of Gevo and are subject to significant risks and uncertainty. Investors are cautioned not to place undue reliance on any such forward-looking statements. All such forward-looking statements speak only as of the date they are made, and Gevo undertakes no obligation to update or revise these statements, whether as a result of new information, future events or otherwise. Although Gevo believes that the expectations reflected in these forward-looking statements are reasonable, these statements involve many risks and uncertainties that may cause actual results to differ materially from what may be expressed or implied in these forward-looking statements. For a further discussion of risks and uncertainties that could cause actual results to differ from those expressed in these forward-looking statements, as well as risks relating to the business of Gevo in general, see the risk disclosures in the Annual Report on Form 10-K of Gevo for the year ended December 31, 2022, and in subsequent reports on Forms 10-Q and 8-K and other filings made with the U.S. Securities and Exchange Commission by Gevo.

SOURCE Hawaiian Airlines