XCF Global and BGN Expand Strategic Partnership for Renewable Fuel Tolling

Key Highlights

• Binding Term Sheet Signed: XCF Global, Inc. (Nasdaq: SAFX) has entered into a binding term sheet with BGN INT US LLC, a global leader in renewable fuels trading, marketing, and distribution.
• Renewable Fuel Tolling Framework: The agreement sets out plans for a tolling arrangement for the production of Sustainable Aviation Fuel (SAF) and renewable naphtha at XCF’s New Rise Renewables Reno facility, with an eye toward scaling to additional facilities in the future.
• Global Expansion: The collaboration aims to expand beyond the US, targeting Europe and the Middle East through production, offtake, and co-branded distribution agreements.
• Supply Chain & Commercialization: The partnership is designed to advance global renewable fuel supply chains and accelerate commercialization to meet rapidly rising demand for SAF.
• Industry Impact: The agreement seeks to leverage BGN’s trading strength, risk management expertise, and integrated logistics network to make SAF adoption practical and commercially viable for airlines facing stricter decarbonization targets.
• Large Market Opportunity: According to IATA, airlines will need approx. 165 billion gallons of SAF annually by 2050, requiring up to 7,000 new production facilities worldwide. Analysts project the global SAF market could exceed \$25 billion by 2030 and reach ~\$270 billion by 2050.
• Termination of Existing Agreement: Phillips 66 Company has delivered formal notice to New Rise Renewables Reno, LLC (wholly owned by XCF) of the termination of their Supply and Offtake Agreement, effective May 1, 2026. This could impact XCF’s supply chain and commercial arrangements.

Details for Shareholders and Potential Price Sensitivity

• Binding Nature of Term Sheet: The term sheet is binding, but a definitive agreement remains subject to customary due diligence, technical validation, and final agreements. This means that while the deal signals strong intent, there are still risks until the final contract is signed.
• Strategic Shift and New Partnerships: The termination of the Phillips 66 Supply and Offtake Agreement marks a significant change in XCF’s strategic partnerships and could affect revenue streams, supply security, and commercial risk profile.
• Production Capacity: XCF’s flagship facility, New Rise Renewables Reno, has a permitted nameplate capacity of 38 million gallons per year. Expansion plans are underway in Nevada, North Carolina, and Florida, signaling potential growth.
• BGN’s Role: BGN brings a global network and expertise, handling approx. 50 million metric tons of commodities annually, and is present throughout the energy value chain. This partnership could significantly enhance XCF’s ability to scale and distribute SAF.
• Risks and Uncertainties: The press release includes an extensive forward-looking statement disclaimer, highlighting numerous risks, including regulatory changes, supply chain disruptions, disputes with landlords and lenders, and the ability to produce SAF and renewable diesel at anticipated volumes.
• Nasdaq Listing Compliance: There is mention of XCF’s ability to regain and maintain compliance with Nasdaq’s continued listing standards, which may affect investor confidence and share price.

Comments from Leadership

Chris Cooper, CEO of XCF Global: “This collaboration represents a critical step in expanding the global reach of renewable fuels. Partnering with BGN would enable us to leverage our production platform, streamline logistics, and accelerate commercialization on a global scale with a world-class partner, as we prepare to meet surging demand for sustainable aviation fuel. This term sheet reflects a shared vision to advance a scalable, commercially viable framework for global renewable fuel production and distribution.”

Cenan Ozmeral, President of BGN Int. US, LLC: “We are pleased to be partnering with US based XCF in this exciting venture. BGN and XCF share a common goal to expand access to renewable fuels and accelerate the decarbonization of the aviation industry. Together, we aim to combine XCF’s scalable production model with BGN’s marketing and distribution network to create a seamless, efficient supply chain from feedstock to finished fuel.”

What Investors Should Watch

• The outcome of due diligence and finalization of the definitive agreement with BGN.
• Impacts from the termination of the Phillips 66 agreement, including any transition risks or supply chain disruption.
• Progress on expansion plans and new partnerships in Nevada, North Carolina, and Florida, as well as Europe and the Middle East.
• XCF’s ability to resolve current disputes with its landlord and primary lender for New Rise Reno, which could affect operations.
• Regulatory changes, compliance issues, and the availability of tax credits and government support.
• Ongoing ability to meet Nasdaq listing standards, which is vital for liquidity and investor confidence.

About XCF Global, Inc. and BGN Group

XCF Global, Inc. is an emerging sustainable aviation fuel company focused on the transition to net-zero emissions. Its New Rise Renewables Reno facility has a permitted production capacity of 38 million gallons per year. XCF is listed on Nasdaq Capital Market under the ticker SAFX.

BGN Group is an independent global energy and commodities group, trading, distributing, storing, and financing energy solutions globally. The company handles about 50 million metric tons of commodities annually and operates from regional hubs in Geneva, Dubai, Singapore, and Houston.

Contact Information

XCF Global: Corporate Communications
[email protected]

BGN Group: https://bgn-int.com/

Disclaimer

This article contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially from those expressed or implied due to a variety of factors including, but not limited to, regulatory changes, supply chain disruptions, disputes, and the ability to produce and distribute SAF and renewable diesel. Investors should not rely solely on these statements and are encouraged to review official filings and disclosures from XCF Global and BGN Group. The information herein is for informational purposes only and does not constitute investment advice.

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