Trump Administration Greenlights Loan for Montana's Biofuel Expansion

The U.S. energy department under President Trump approved a loan guarantee for Calumet's expansion of a sustainable aviation fuel refinery in Montana. This expansion aims to increase North American sustainable fuel production, but concerns lingered about potential funding clawbacks amid spending cuts. The move supports job creation and energy goals.

The Energy Department under President Donald Trump recently approved a significant loan guarantee for the expansion of a sustainable aviation fuel refinery in Montana, finalized just before he took office. This decision supports Calumet's endeavor to step up production of biofuels at the Montana Renewables refinery in Great Falls.

With the backing of the loan, production at the refinery is set to skyrocket from 140 million gallons to 315 million gallons annually. This expansion will bolster the production of sustainable aviation fuel made from seed oils and tallow, which releases fewer greenhouse gases compared to conventional jet fuels.

Despite ongoing concerns about potential rollbacks due to efforts to reduce government spending, the finalized loan aligns with initiatives for energy independence. Notably, it promises to create nearly 500 jobs, aligning with President Trump's objectives for energy dominance, as emphasized by Montana Senator Steve Daines.

(With inputs from agencies.)