Varhad Capital has signed an MoU with UK-based sustainable fuel technology company Velocys to jointly develop cost-competitive, Make-in-India biomass-to-Sustainable Aviation Fuel (SAF) projects.
The collaboration aims to leverage India’s abundant agricultural residues, growing aviation demand, and strong policy push for domestic clean fuel production. The companies will focus on engineering and designing scalable SAF facilities using locally sourced biomass as feedstock.
Under the agreement, Varhad will utilise its existing gasification platform, which produces syngas and biochar from agricultural residues. This will be integrated with Velocys’ proven Fischer-Tropsch (FT) technology to create an efficient pathway for converting biomass into aviation fuel.
The initial phase will involve establishing a scalable hub-and-spoke model for SAF production across India, aimed at optimising logistics and improving cost efficiency.
Prasad Dahapute, Founder and Managing Director of Varhad Capital, said the company is moving quickly with its operational capabilities and sees the partnership as a strategic step toward fuel production using proven technologies.
Sachin Joshi, Chief Commercial Officer at Velocys, stated that the collaboration brings together two commercially proven technologies to deliver a technically robust and economically competitive solution in India’s emerging SAF market.
