UK-based Octopus Energy Generation is planning to invest up to $6 billion in a sustainable aviation fuel (SAF) facility in Canada, targeting growing demand across European markets.
The project will be developed through its Canadian subsidiary, Nova Sustainable Fuels, at a coastal industrial site in Goldboro, Nova Scotia.
Construction is expected to take approximately three years, with operations targeted to begin by 2031 following a final investment decision in 2028. The plant is designed to run for up to 50 years.
The facility will process around 750,000 tonnes of forestry residues, including branches and bark, each year using gasification technology that breaks the material down into hydrogen and carbon components. These will be combined with green hydrogen, produced via renewable energy and water electrolysis, to create methanol, which is then converted into SAF.
A dedicated wind and solar installation of more than one gigawatt capacity is also planned to meet the plant's energy requirements. Annual SAF output is expected to reach around 165,000 tonnes, which will be exported to Europe via new marine infrastructure at the site.
Europe has become a priority market for SAF producers following the introduction of blending mandates requiring airports to supply aviation fuel containing a minimum proportion of sustainable fuel. Demand is forecast to rise sharply in the coming years as these requirements increase.
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