Dallas, Texas — Southwest Airlines Company (NYSE: LUV) today announced a 15-year agreement with Velocys Renewables LLC for 219 million gallons of sustainable aviation fuel (SAF). Once blended with conventional jet fuel, the SAF could produce the equivalent of 575 million gallons of net zero fuel and avoid 6.5 million metric tons of CO2 over the term of the agreement. Southwest plans to begin purchasing SAF from the Velocys Bayou Fuels facility in Natchez, Mississippi, as early as 2026.
Additionally, as part of the offtake agreement, Southwest and Velocys have established a long-term strategic relationship, offering Southwest the opportunity to purchase significant volumes of SAF from future Velocys facilities.
Southwest recognizes the critical role that commercially viable SAF will play in the carrier’s strategy to achieve carbon neutrality by 2050. Southwest is one of the most honored airlines in the world and strives to maintain a steadfast focus on a triple bottom line.