£600m sustainable aviation fuel plant planned for Humber Freeport

Carbon recycling specialist LanzaTech has unveiled plans to invest £600m in a new sustainable aviation fuel (SAF) facility at Saltend Chemicals Park, within the Humber Freeport.

The proposed DRAGON II plant is expected to produce around 80,000 tonnes of SAF annually — equivalent to roughly 1% of the UK’s jet fuel demand — alongside 8,000 tonnes of renewable diesel.

The development will support around 300 jobs during construction and create 150 permanent roles once operational, providing a major boost to the region’s low-carbon economy.

The facility will be located within the Hull East tax site, allowing the project to benefit from a range of Freeport incentives, including business rates relief, National Insurance relief and enhanced capital allowances.

The scheme builds on growing investment at Saltend, where companies including Mitsubishi Chemical Group and Siemens Gamesa have already expanded operations, alongside plans for a green hydrogen facility led by Meld Energy.

LanzaTech’s technology converts captured carbon dioxide and green hydrogen into ethanol, which is then used to produce sustainable aviation fuel — supporting the UK’s wider net-zero and energy security ambitions.

Construction is expected to begin in the second half of 2027, with the facility targeted to become operational by 2030.

The project marks LanzaTech’s second UK SAF scheme, following a similar planned development in Port Talbot, as the company continues to scale its carbon recycling technology across key industrial regions.