XCF Global and Axens Partner on Modular SAF Tech in North America

Sustainable Aviation Fuel (SAF) producer XCF Global has entered a commercial collaboration with Axens North America to accelerate the deployment of SAF production capacity. The partnership will integrate Axens' proven Vegan® technology into XCF Global's modular refinery design, aiming to create a standardized, scalable blueprint for new facilities.

The agreement pairs a leading process technology with a nimble deployment strategy, addressing a key bottleneck in the aviation industry's decarbonization efforts: the slow and capital-intensive nature of building large-scale biorefineries. By focusing on smaller, modular plants, XCF Global aims to reduce financial risk and shorten the time-to-market for new SAF supply, a critical component for airlines striving to meet net-zero emissions targets. According to XCF Global CEO Chris Cooper, the collaboration establishes a licensing framework that supports scalable SAF expansion globally.

Technology and Production Strategy

The core of the partnership is Axens' Vegan® technology, a process that uses Hydrotreated Vegetable Oil (HVO) pathways to convert lipids and waste oils into renewable fuels. According to Axens, this technology can reduce greenhouse gas emissions by up to 80% compared to conventional jet fuel. The resulting SAF must meet the rigorous specifications of ASTM D7566, the international standard for aviation turbine fuel containing synthesized hydrocarbons, as set by the American Society for Testing and Materials (ASTM).

XCF Global (Nasdaq: SAFX) will leverage this technology at its current and future facilities. The company's flagship New Rise Renewables Reno facility has a permitted production capacity of 38 million gallons per year. XCF Global Press Releases indicate the company plans a further $300 million investment for its New Rise Reno 2 facility, which is designed to double the company's total SAF production capacity to approximately 80 million gallons annually.

Axens Vegan® Technology vs Conventional Jet Fuel Refining

Regulatory and Market Drivers

The push for modular SAF facilities in the United States is heavily supported by federal incentives. The Clean Fuel Production Credit (CFPC), also known as Section 45Z, provides a tax credit of up to $1.75 per gallon for domestically produced SAF. This credit significantly improves the economic viability of projects like those planned by XCF Global.

Additionally, the Environmental Protection Agency's (EPA) Renewable Fuel Standard (RFS) creates market demand by setting annual targets for blending renewable fuels. This program generates valuable Renewable Identification Number (RIN) credits for SAF producers, further bolstering the business case for expanding domestic production capacity.

Industry Impact and Precedent

This collaboration is indicative of a broader industry trend toward technology licensing partnerships to de-risk and accelerate SAF projects. The impacts are significant for several stakeholders:

• US Airlines: For air carriers, the primary beneficiaries, this model promises an increase in domestic SAF supply needed to meet corporate sustainability goals and potential federal mandates.
• SAF Project Developers: The partnership provides a repeatable refinery blueprint, which lowers capital execution risk and accelerates construction timelines.
• Axens North America: The deal expands the company's licensing revenue and solidifies the market position of its Vegan® technology in the rapidly growing North American renewable fuels sector.

The commercial viability of Axens' technology has historical precedent. In August 2023, Haike Chemicals selected the Vegan process to retrofit an existing facility, creating Asia's first SAF-only production unit. This successful deployment demonstrates the technology's proven application and international scalability, a pattern that supports the current collaboration with XCF Global.

Technical Analysis

This development indicates a strategic shift in the SAF production landscape, moving away from massive, multi-billion-dollar greenfield projects toward a more agile, distributed model. The partnership between a technology licensor (Axens) and a modular deployment specialist (XCF Global) represents a capital-efficient approach to scaling production in a high-interest-rate environment. By standardizing the design around a proven process, the collaboration mitigates both technological and financial risks, making projects more attractive to investors. This model directly addresses the industry's most pressing challenge: building sufficient SAF capacity at a pace that can meaningfully contribute to aviation's 2050 net-zero targets. The success of this modular approach could create a new industry standard for rapid SAF infrastructure build-out.

What Comes Next

Based on guidance from XCF Global, the company is expected to begin construction on its New Rise Reno 2 facility in 2026. The completion of this new modular plant, which will utilize the Axens Vegan® technology, is anticipated in 2027. This expansion will be a critical step in demonstrating the efficacy of the partnership's scalable model.

Why This Matters

This collaboration is significant because it provides a tangible, repeatable template for scaling up SAF production. By combining proven technology with a modular design, XCF Global and Axens are tackling the critical barriers of high capital costs and long construction timelines that have historically slowed the industry's growth. If successful, this model could significantly accelerate the availability of SAF, providing airlines with a more accessible pathway to reduce their carbon footprint.