Nova Pangaea Partnered to Build Latvian Ethanol Plant
The facility will convert local wood waste into sustainable aviation fuel for the Baltic region.
Updated on Oct. 2, 2026 in Oil and Gas
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Nova Pangaea Technologies has entered a collaboration with NorSAF to construct an ethanol production facility in Latvia. The plant aims to stabilize the regional sustainable aviation fuel (SAF) supply chain by utilizing locally sourced forestry waste.
Why it matters
This partnership addresses the tightening regulatory environment in the EU, which mandates increasing proportions of SAF in aviation fuel to lower carbon footprints. By sourcing feedstocks locally, the project intends to reduce reliance on overseas inputs.
EU regulations require SAF proportions to climb from 2% in 2025 to 6% by 2030 and 20% by 2035. The new facility will use REFNOVA technology to process local biomass.
The players
Nova Pangaea Technologies
A Redcar-based company focused on converting waste biomass into biofuels using proprietary technology.
NorSAF
A project entity focused on developing sustainable aviation fuel infrastructure in the Baltic region.
The details
The facility will deploy REFNOVA technology to process wood waste into ethanol and biochar. This conversion mechanism allows for the creation of feedstock for sustainable aviation fuel, effectively repurposing agricultural and forestry residues. By shifting away from imported feedstocks, the project aims to create a more resilient European supply chain.
Timeline
2025: SAF mandate in EU airports reaches two per cent.
2030: SAF mandate in EU airports reaches six per cent.
2031: Production at the Latvian facility is expected to begin.
2035: SAF mandate in EU airports reaches 20 per cent.
Market Landscape
This project aligns with the mandatory transition pathways set by the EU RefuelEU Aviation regulation. It follows a growing industry trend of integrating localized waste-to-fuel technologies to meet tightening regional emission standards.
Operators in the biomass and aviation fuel sectors should monitor the 2030 and 2035 mandate thresholds, as these dates will likely spur further infrastructure investment. Firms should also evaluate the viability of local wood waste supply chains as competitive alternatives to imported feedstocks.
The takeaway
The move demonstrates how technology providers are positioning themselves to capitalize on mandatory emission targets through decentralized production. Keep the 2031 production start date in mind as a signal for when regional SAF supply capacity is slated to increase.
Further reading
For more on evolving fuel production strategies, visit the Oil and Gas section.
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Should nations prioritize domestic production of sustainable aviation fuels to improve energy security?
