Montana Renewables Receives First Drawdown from $1.44 Billion DOE Loan Facility

Core Viewpoint - Calumet, Inc. announced that its subsidiary Montana Renewables, LLC has received a $782 million drawdown from a$1.44 billion loan facility with the U.S. Department of Energy to fund the construction and expansion of a renewable fuels facility, positioning it as a leading producer of Sustainable Aviation Fuel (SAF) globally [1][2][3] Loan Details - The loan guarantee is structured in two tranches, with the first tranche of approximately $782 million released for eligible expenses, while an additional$150 million equity investment was made by Calumet [4] - The remaining balance of approximately $658 million is expected to be disbursed during construction from 2025 to 2028, with disbursements subject to certain conditions [4] - The loan has a 15-year tenor with an interest rate at the U.S. Treasury rate plus 3/8%, and servicing of principal and interest will be deferred until the MaxSAF™ project is commissioned [4] Production Capacity and Expansion - The expansion will increase annual production capacity to approximately 300 million gallons of SAF and 330 million gallons of combined SAF and renewable diesel [2] - A second renewable fuels reactor is a key component of the expansion, expected to bring half of the SAF capability online by 2026 [2] Economic Impact - An economic impact study predicts that by 2028, the Great Falls site will support a population of 4,400 Montanans, primarily working-aged families [5] - The expansion is expected to create 450 construction jobs and up to 40 operations jobs [8] Regional Development - The expansion is anticipated to catalyze additional regional development, particularly for renewable feedstocks sourced from local farms and ranches [6] - MRL aims to create a large-scale, end-to-end SAF industry in Montana and the Pacific Northwest, similar to the Minnesota SAF Hub [6] Company Overview - Montana Renewables is a leading renewable fuel company in Great Falls, Montana, producing SAF, Renewable Diesel, Renewable Hydrogen, and Renewable Naphtha [9] - As the largest SAF producer in North America, MRL is committed to meeting the growing demand for sustainable fuels and supporting local economic development [9]