United making stronger commitment towards biofuel use
United Airlines says it is investing $30 million in a biofuels company to reduce its vulnerability to oil-price shocks and limits on carbon emissions from planes.
July 6, 2015 By The Associated Press
United officials said Tuesday that they expect to begin receiving fuel from Fulcrum BioEnergy Inc. in 2018 and could be taking 90 million gallons a year by 2021.
That’s enough fuel for 20,000 flights a year but just a drop in United’s fuel bucket. The nation’s second-biggest airline burned 3.9 billion gallons last year, including United Express flights.
United officials declined to disclose the airline’s ownership stake in privately held Fulcrum, but the investment is a tiny fraction of United Continental Holdings Inc.’s $1.1 billion profit last year.
Still, Chicago-based United touted the deal as the biggest single investment in biofuels by a U.S. airline so far. Hong Kong-based Cathay Pacific announced an investment in Fulcrum last year. | READ MORE