Calumet, Inc. announced the closing of a $1.44 billion guaranteed loan facility with the U.S. Department of Energy (DOE) Loan Programs Office for its unrestricted subsidiary, Montana Renewables, LLC (MRL). This loan will fund the construction and expansion of MRL's renewable fuels facility.
The expansion is designed to increase MRL's annual production capacity to approximately 300 million gallons of Sustainable Aviation Fuel (SAF) and 330 million gallons of combined SAF and renewable diesel. This positions MRL as one of the largest SAF producers globally.
The loan facility is structured with a first tranche of approximately $782 million to fund eligible expenses previously incurred by MRL, alongside an additional $150 million equity investment from Calumet. The remaining balance will be disbursed through a delayed draw construction facility from 2025 through 2028, with a 15-year tenor and an annual interest rate at the U.S. Treasury rate plus 3/8%.
The content on BeyondSPX is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.