DG Fuels To Open Production Facility In Nebraska

The company is locating in Phelps County with plans to produce nearly 200 million gallons of sustainable aviation fuel annually.

DG Fuels, a U.S.-owned sustainable aviation fuel company, in cooperation with the Nebraska BioEconomy has selected Phelps County, for its first Midwest production facility. The plant will produce 193 million gallons of zero or low CO2 lifecycle emissions sustainable aviation fuel per year and meet ASTM fuel standards. Production is expected to begin in 2030.

The DG Fuels’ manufacturing process uses cellulosic biomass in the form of lower value agricultural by-products such as corn stover as its carbon feedstock along with various forms of clean hydrogen feedstock to produce near zero carbon fuel.

“DG Fuels’ baseline process differs from other systems by having little or no environmental emissions either to the atmosphere or waters, while at the same time providing a significant economic value to the agricultural communities and farmers that we partner with,” said Michael C. Darcy, Chief Executive Officer of DG Fuels.

Phelps County
DG Fuels will build its first Midwest production facility in Phelps County, NE. (Photo: Phelps County Development Corporation)

The Phelps County, Nebraska region known for its consistently productive farm ground and abundant yields, stands to generate millions of dollars per year in additional on-farm income by converting corn stover into a high value sustainable aviation fuel. The partnership will provide 650 quality careers, and offset aquifer demand by railing in water required for production.

“Adding value to our region’s farm economy is a top priority and fits perfectly within Phelps county’s wheelhouse,” said Ron Tillery, Executive Director of Phelps County Development Corporation.

“The Nebraska BioEconomy strategic plan focuses on delivering value at every level to Nebraskans, our aquifer and the next seven generations who will call our great State home. This project is expected to deliver nearly $55 billion of economic impact across the State over the next 30 years,” stated Governor Jim Pillen.

“This project sets the tone for the types of partnerships Nebraska can and will continue to pursue” continued Julie Bushell, who leads the Nebraska BioEconomy initiative.

“Our relationship with DG Fuels fully aligns with PCDC’s targeted industry strategy while protecting our County’s most valuable resources: the next generation of family farmers and our aquifer” said Shane Westcott, President, Phelps County Development Corporation. “DG Fuels’ willingness to listen and address our most critical interests exemplifies the quality of activity we hope to attract to our region. We’re open for business.”

Check out all the latest news related to Nebraska economic development, corporate relocation, corporate expansion and site selection.

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