• Major SAF Expansion: Loan approval enables Montana Renewables to boost biofuel production from 140M to 315M gallons annually.
• Policy Uncertainty: Green energy backers feared Trump’s administration might claw back Biden-approved clean energy loans.
• Political Influence: Montana Senator Steve Daines pushed for approval, aligning with Trump’s “energy dominance” goals.

The U.S. Energy Department has approved the disbursement of a loan guarantee for Calumet (CLMT.O) to expand the Montana Renewables sustainable aviation fuel (SAF) refinery in Great Falls.

Why It Matters:

The expansion will make the facility one of the largest SAF producers in North America, supplying nearly half of the region’s sustainable jet fuel. SAF, made from seed oils and tallow, emits fewer greenhouse gases than conventional jet fuel.

Related Article: TotalEnergies Steps up Sustainable Aviation Fuel Production at Grandpuits

Political Context:

The loan was finalized by President Biden’s administration on January 10, but concerns arose that Trump’s administration might revoke it as part of cost-cutting efforts led by Elon Musk’s Department of Government Efficiency.

Official Response:

The Energy Department confirmed the loan approval but stated it is conducting “a department-wide review of all funding, including grants and loans, to ensure all activities are consistent with the law and in accordance with President Trump’s executive orders and priorities.”

Senate Pressure:

Montana Republican Senator Steve Daines took credit for the approval, saying it aligned with Trump’s “energy dominance” strategy.

Looking Ahead:

While the loan survived the administration change, broader clean energy funding remains under scrutiny amid shifting policy priorities.

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