Hydrogen-Based Aviation Fuels: Uniper and Arcadia Sign Long-Term Offtake Agreement

Uniper will purchase 40,000 tonnes of synthetic sustainable aviation fuel (eSAF) annually from Denmark for more than ten years. The agreement with Arcadia eFuels will support the development of industrial-scale production capacity and help grow the European market for hydrogen-based aviation fuels.

Uniper and Arcadia eFuels have signed a long-term offtake agreement for eSAF from the planned Endor project in Vordingborg, Denmark. According to the companies, it ranks among the largest eSAF offtake agreements announced in Europe to date. Deliveries are currently expected to begin in the early 2030s. The agreement is legally binding, although the start of deliveries remains subject to the fulfilment of agreed conditions and the commissioning of the plant.

According to the companies, the annual offtake volume of 40,000 tonnes is equivalent to the fuel required for around 1,000 Boeing 787-9 flights between Düsseldorf and Abu Dhabi per year. The agreement thus connects long-term demand with the development of new production capacity — a key requirement for scaling up the market for sustainable aviation fuels.

Green hydrogen as the basis for eSAF

Arcadia eFuels develops and produces synthetic sustainable aviation fuels using power-to-liquid technology. The eSAF from the Endor project is to be produced using renewable electricity, green hydrogen generated on site and captured CO₂. According to the company, this can reduce greenhouse gas emissions by up to 98 per cent over the entire lifecycle compared with conventional aviation fuel.

The fuel is designed to meet European requirements for sustainable aviation fuels, including those set out in the EU’s ReFuelEU Aviation Regulation. Through the agreement, Uniper secures access to eSAF intended to meet the requirements for renewable fuels of non-biological origin (RFNBO).

These fuels are particularly important for aviation: the sector will continue to depend on liquid fuels for many years, while the supply of sustainable alternatives remains limited. Sustainable aviation fuels are considered one of the few scalable options for reducing emissions, particularly on long-haul routes. Bringing projects into industrial-scale production is therefore essential.

“This agreement brings together long-term demand and new supply and creates the conditions for a competitive European eSAF market,” says Uniper CEO Michael Lewis. For Uniper, the agreement also expands its portfolio of low-carbon energy products and strengthens its position in a European market with significant growth potential.

Long-term offtake provides planning certainty

For Arcadia eFuels, the contract marks a commercial milestone towards delivering the Endor project. Securing long-term offtake is expected to reduce financing risks and provide planning certainty for construction and commissioning.

Arcadia CEO Amy Hebert emphasises: “The long-term offtake agreement with an experienced energy partner such as Uniper validates our concept, reduces financing risks and accelerates our progress towards industrial-scale production.” The project is intended to contribute to the expansion of European eSAF production and a more diversified fuel supply for aviation.

The agreement was signed in Düsseldorf in the presence of Mona Neubaur, Minister for Economic Affairs, Industry, Climate Action and Energy and Deputy Minister-President of North Rhine-Westphalia, and Anette Galskjøt, Consul General of the Kingdom of Denmark in Hamburg. The cross-border partnership also has wider European significance: it connects the development of new production capacity in Denmark with demand from an energy company headquartered in Germany, supporting the energy transition, competitiveness and the resilience of Europe’s energy supply.