Multibillion-pound Lighthouse Green Fuels project set to drive jobs and industrial growth across Teesside

Lighthouse Green Fuels (LGF) has published new independent analysis revealing the economic impact its proposed multibillion-pound Sustainable Aviation Fuel (SAF) facility could generate for Teesside and the wider UK.

Undertaken by Arup, the analysis forecasts that the project could generate more than £8 billion in Gross Value Added (GVA) across the UK throughout construction and operations.

For Teesside, the project is expected to deliver:

• £700 million in GVA during construction  

• £61 million in GVA each year once operational  

• 2,200 peak on-site construction jobs  

• More than 320 permanent skilled roles at the facility  

LGF is also expected to support 1,200 off-site jobs during peak construction and invest more than £1.9 billion in UK supply chains.

The findings have been published on a new Impact section of the Lighthouse Green Fuels website, setting out how the investment could support jobs, skills, businesses and the long-term reindustrialisation of Teesside.

Ben Houchen, Mayor of Tees Valley Combined Authority, said:

"Teesside is showing exactly what can be achieved by backing the industries that will drive Britain’s economy in the years ahead. Lighthouse Green Fuels is exactly the sort of investment our region has fought hard to attract - creating skilled jobs, supporting local businesses and reinforcing Teesside’s reputation as the UK’s home of advanced manufacturing and clean industry.

This project will help ensure our region continues to lead Britain’s industrial renaissance for decades to come.”

Developed by global manufacturing and infrastructure group Alfanar, Lighthouse Green Fuels will be located on a 270-acre brownfield site at Seal Sands. It represents one of the largest proposed industrial investments in Teesside in a generation.

Once operational, the facility will convert around 1.5 million tonnes of sustainably sourced biomass each year into approximately 180 million litres of SAF and 30 million litres of renewable naphtha, helping establish new domestic fuel-manufacturing capability for the UK aviation industry.

The project is already at an advanced stage. Front End Engineering Design was completed in May 2026, confirming the engineering configuration and delivery strategy for the facility. Its Development Consent Order application has also been prepared as planning and permitting continue to progress.

In parallel, the project has submitted its application for connection into the Teesside carbon capture and storage network, while commercial discussions continue with major biomass suppliers and SAF offtake partners.

Chris McDonald MP, Member of Parliament for Stockton North, said:

“Billingham is becoming the centre of Teesside’s, and Britain’s, industrial resurgence. Lighthouse Green Fuels is another hugely ambitious project that will drive us further.

This investment will create thousands of jobs through construction, hundreds of permanent skilled roles and generational opportunities for young people to build careers in the industries of the future. Just as importantly, it is a major boost to local businesses and supply chains across Teesside, keeping more of that investment and prosperity here in our communities.

Not for the first time, Billingham is at the forefront of a new industry. From chemicals and manufacturing to the next generation of cleaner fuels, this is a place with the skills, infrastructure and industrial heritage to lead.

A new refinery of this scale puts Billingham and Teesside firmly on the map, while strengthening Britain’s industrial capability for decades to come.”

The facility is expected to operate for more than 30 years, creating a long-term industrial asset at Seal Sands and supporting continued employment, investment and supply-chain opportunities across the region.

The full findings are available on the new Impact section of the Lighthouse Green Fuels website.