CITGO Petroleum in East Chicago was awarded a $18,334,500 grant to establish the Chicago Area SAF Blending Hub – CITGO Terminal.
The funding will help enable the delivery, unloading, blending and use of up to 42,000 gallons per day of sustainable aviation fuel. The project will facilitate SAF blending and rail logistics services at CITGO's East Chicago terminal. The end goal is to produce lower carbon aviation fuels that will reduce emissions.
The funding was awarded by the U.S. Department of Transportation – Federal Aviation Administration's Fueling Aviation's Sustainable Transition grant program.
“This award is the first step in our efforts to enter the sustainable aviation fuel market, which requires a significant investment,” said Karl Schmidt, CITGO vice president of supply and marketing, in a press release.
Schmidt noted that CITGO’s East Chicago terminal is one of their largest and is strategically located in the Midwest, making it an ideal SAF installation.
“Congratulations to CITGO Petroleum on this initiative to further lead Northwest Indiana in the development of sustainable aviation fuels that will reduce emissions and create more economic activity in our region,” U.S. Rep. Frank Mrvan said.
The FAST grant program was established under the Inflation Reduction Act of 2022. The ACT was signed into law during the 117th Congress.
