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USA BioEnergy, Southwest Airlines pairing up for 20 years in Bon Wier making sustainable jet fuel

This $2.8 billion investment will bring over 100 permanent jobs to the area.

BON WIER, Texas — A Newton County bio-refinery project just got bigger thanks to a deal the company made with a big name airline.

USA BioEnergy revealed a 20-year sustainable fuel contract with Southwest Airlines. This will bring over 100 permanent jobs to the area.

In 2022 BioEnergy announced it was building a $1.7 billion facility in Bon Wier. Now with Southwest Airlines the project has expanded to be a $2.8 billion investment.

BioEnergy CEO Nick Andrews says the expansion will bring 150 high paying permanent jobs and 538 construction jobs along with it.

The company specializes in making sustainable fuel and is expected to break ground in Bon Wier next year.

"Purchase all of the fuel from our first location. And also gives them the first option to purchase all of the fuel from our future locations. And so we look forward to working with Southwest Airlines for decades," said Andrews.

BioEnergy makes their sustainable aviation fuel out of forestry thinnings.

"For every single gallon of sustainable aviation fuel that we produce. We are able to offset 4 gallons of traditional jet," Andrews said.

USA BioEnergy stores the left over carbon dioxide from it's sustainable fuel underground.

"We instead sequester it geologically. And this is our strategy to make sure as sustainability company that in fact, we're creating a net negative fuel with extra low carbon intensity," Andrews told 12News.

 Bon Wier is the perfect spot for this  project, according to Andrews.

"It's right in the middle of Newton County, which is the most densely populated county of southern yellow pine plantations in east Texas," he said.

They are looking to hire. The pay is competitive.

"I'd say just over $80,000 on average for those jobs. We're also doing a very large wood to power facility, and a hydrogen production facility," said Andrews.

The economic impact has a domino effect, because annually the company will spend $75 million on forestry.

"It goes to the land owners, the loggers, the haulers. Everybody that's actually bringing that wood to us. And all of those are considered indirect jobs," Andrews said.

Andrews calls this deal historic.

"And it took a long time, but we're really happy about this. And we're very thankful. And we're really a big fan of Southwest Airlines," said Andrews.

The plant is expected to be running by 2028 and fully functioning by 2029.

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