Syntroleum to Deliver Fuel to Defense Department

Syntroleum Corporation announced today that it has signed a contract to provide synthetic jet fuel made from renewable feedstock to the U.S. Department of Defense.

Syntroleum will provide a first-of-its-kind renewable fuel for evaluation by the DOD as part of a larger program aimed at long-term prospects for the domestic manufacture and supply of synthetic aviation fuels.

Under terms of the contract, Syntroleum will provide 500 gallons of ultra-clean renewable synthetic jet fuel produced entirely from fats supplied by Tyson Foods, Inc., using the company’s recently announced Biofining technology.

The fuel will be used for research development and performance testing in military turbine applications as part of the DOD’s Assured Fuels Program, aimed at evaluating the possibility of utilizing renewable alternative jet fuel made from bio feedstocks. The U.S. Air Force has expressed its desire to source 50 percent of its fuel needs from domestic alternative sources by 2016, and plans to certify its entire fleet of aircraft for alternative fuel use by 2010.

In 2006, Syntroleum supplied 100,000 gallons of synthetic Fischer-Tropsch jet fuel to the DOD, which used the fuel in a 50/50 blend with conventional jet fuel in several test flights of a B-52 bomber.

The synthetic fuel blend was used to successfully power all eight engines of the aircraft in a final test flight on December 15, 2006.

“This contract with the U.S. Department of Defense is another significant milestone for Syntroleum,” said Jack Holmes, CEO of Syntroleum. “When the contract is completed, we would be the first company to provide both renewable synthetic aviation fuel and FT aviation fuel to the Department of Defense for its certification and weapon system testing program. This acceptance of our alternative synthetic fuels once again validates the quality and integrity of our product, and the successful completion of this program will provide Syntroleum with an opportunity for other long-term supply contracts with the Department of Defense.”

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