United Airlines Announces $30m Investment In Fulcrum BioEnergy

United Airlines has revealed purchasing a $30 million stake in US-based alternative fuels developer Fulcrum BioEnergy, a pioneer in the field of converting municipal solid waste into airline fuel, more exactly low-cost sustainable biofuel.

The decision sets United apart in the aviation industry and in the advancement of biofuels and carbon emission reductions, and marks the largest investment by a US airline in alternative fuels.

United and Fulcrum are have also agreed on the joint development of up to five projects located near United's hubs that could produce up to 180 million gallons of fuel per year.

Brett Hart, United executive vice president, said: "We know alternative fuels is an emerging industry, a crucial one for the future of aviation and this is just one of our projects to help make these fuels saleable and scalable."

"Investing in alternative fuels is not only good for the environment, but also a smart move for our company as biofuels can hedge against future oil price volatility and carbon regulations."

In addition to the investment, United will buy at least 90 million gallons of sustainable aviation fuel per year from Fulcrum, for a period of at least of 10 years.

United's deal with Fulcrum comes as the carrier is trying to reduce its carbon footprint through the use of sustainable aviation biofuel, while also creating new jobs in those communities with Fulcrum facilities.