HAMR Plans $520 Million Methanol SAF Facility 125 Million Liters Output to Cut Airline Emissions

HAMR Energy has unveiled plans to build Australia’s first large-scale methanol-to-sustainable aviation fuel (SAF) plant, with an investment estimated between AUD 700-800 million (USD 455-520 million). The project, located in Portland, aims to leverage forestry residues and hydrogen to produce 300,000 tons of low-carbon methanol annually—enough for about 125 million liters of SAF.

This innovative approach could enable roughly 3.5 million Sydney-Melbourne economy passengers per year to fly carbon-neutral. HAMR’s vertically integrated “biomass-to-fuel” strategy promises lower costs and appeals to airlines seeking long-term, reliable green fuel supplies.

Backed by new international rules allowing methanol as an SAF feedstock, HAMR’s project addresses a looming global shortage, with the company highlighting Australia’s potential to become a leader in low-carbon liquid fuels. South Australia and Victoria have been identified as prime locations, and a AUD 10 million Series A financing round is nearing completion, attracting multiple strategic partners.

Co-founder David Streibley emphasized the dual benefits: boosting regional jobs and strengthening national energy security while attracting significant investment.