Rayonier Advanced Materials Inc. (NYSE: RYAM), a global leader in cellulose specialty products, has entered into a Memorandum of Understanding (MoU) with GranBio LLC, a recognized innovator in biochemicals and biofuels, to explore the development of a small-scale commercial facility producing Sustainable Aviation Fuel (SAF). The proposed facility would be co-located at RYAM’s existing plant in Jesup, Georgia.
As outlined in the MoU, GranBio will lead the project and utilize its proprietary AVAP® technology, which converts lignocellulosic biomass into second-generation ethanol. That ethanol would then be upgraded into SAF and supplied to a third-party offtaker. The Jesup site would provide key infrastructure—such as biomass feedstock, utilities, and logistics—creating operational synergies for the new plant. GranBio’s $100 million grant from the U.S. Department of Energy will support part of the project’s financing.
In addition to supporting RYAM’s broader strategy of optimizing asset value, the agreement could provide RYAM with access to GranBio’s advanced Celer2L™ yeast and AVAP® technologies for ethanol and sugar production. This would mark a significant step toward diversifying RYAM’s operations into emerging biofuel and biochemical markets.
“This MoU aligns with our strategy to unlock new value from our core assets and expand into renewable markets where our infrastructure and technical capabilities create a competitive advantage,” said De Lyle Bloomquist, President and CEO of RYAM. “GranBio brings world-class technology to this partnership, and together we’re exploring practical, scalable solutions to help decarbonize global aviation fuel markets.”
Luiz Oliveira, CEO of GranBio, added, “I am very pleased to strengthen our collaboration with RYAM and work toward our joint goal of developing clean energy solutions, while improving the communities in which we work. At Jesup, we will leverage our complementary capabilities in the development of a cost-effective, scalable solution for the production of Sustainable Aviation Fuels.”
The initiative marks a significant milestone in GranBio’s mission to scale up SAF production and lays the groundwork for future replication. Due diligence for the project is expected to be completed by the end of the year, after which both companies will determine the next phase of development.
The partnership highlights a shared commitment to innovation, sustainability, and the advancement of next-generation bio-based fuels and materials.
