HAMR Energy plans Australia’s first major methanol-to-SAF facility

The project could unlock $800M investment, hundreds of jobs, and new momentum for clean aviation fuel production.

HAMR Energy has unveiled plans to construct Australia’s first large-scale methanol-to-jet fuel production facility. The initiative, valued between $700 million and $800 million, aims to help decarbonise the aviation industry through sustainable aviation fuel (SAF) production and generate jobs across the construction and operational phases.

The facility forms part of HAMR Energy’s broader strategy to capitalise on new international regulations that enable methanol as a SAF feedstock. Methanol, produced from sources like forestry residues and hydrogen, offers a scalable and flexible pathway to cut aviation emissions. The move also seeks to address a global SAF shortfall expected to reach 10 million tonnes by 2030.

The company’s recent feasibility study found that its technology offers a commercially viable way to produce SAF from methanol, with South Australia and Victoria identified as ideal locations.

“With the right policy settings, Australia has the opportunity to build a world-class LCLF industry,” said Jon Stribley, Co-founder of HAMR Energy. “This methanol to jet feasibility study demonstrates our ability to deliver competitive, bankable, projects to help hard to abate industries like aviation decarbonise, whilst attracting significant investment and improving national fuel security.”

The proposed site will convert 300,000 tonnes of methanol into about 125 million litres of SAF annually, enough to offset emissions from roughly 3.5 million economy-class flights between Sydney and Melbourne.

HAMR Energy is currently finalising a $10 million Series A funding round, drawing strong interest from strategic partners and private investors. The company sees this project as a cornerstone for positioning Australia as a leader in clean aviation fuel production and energy security.