Argus Launches First Methanol-to-Jet Cost Indexes to Support Aviation Decarbonisation

Global energy and commodity price reporting agency Argus has launched the first-ever methanol-to-jet (MtJ) cost indexes, marking a significant step forward in the development of transparent pricing infrastructure for sustainable aviation fuel (SAF) derived from methanol. According to a PR Newswire release dated 14 July 2026, the new indexes cover nine major production locations worldwide and are designed to help aviation sector market participants navigate the rapidly evolving landscape of electro-sustainable aviation fuel (e-SAF) procurement and investment. ## Why This Matters The methanol-to-jet pathway is gaining increasing attention as a viable route to producing e-SAF at scale. Methanol, which can itself be produced from renewable electricity and captured carbon dioxide — commonly referred to as e-methanol — serves as an intermediate feedstock that can be further processed into drop-in aviation fuel. This pathway is of particular relevance to the maritime sector, where e-methanol is already emerging as a leading alternative marine fuel, creating potential synergies between shipping and aviation decarbonisation supply chains. The absence of standardised, transparent pricing benchmarks has been widely cited as a barrier to long-term offtake agreements and investment decisions in the SAF sector. By publishing dedicated MtJ cost indexes, Argus aims to provide the market with the reference data needed to underpin commercial contracts, hedging strategies, and policy compliance frameworks. ## Broader Decarbonisation Context The launch comes as both the aviation and shipping industries face mounting regulatory pressure to reduce greenhouse gas emissions. The International Maritime Organization's (IMO) revised GHG strategy and the European Union's FuelEU Maritime and ReFuelEU Aviation regulations are driving demand for credible, auditable fuel cost data across the alternative fuels spectrum. For maritime industry stakeholders, the development of robust methanol pricing infrastructure — whether for marine or aviation applications — is a positive signal for the broader e-methanol market. Greater price transparency and liquidity in adjacent sectors can support the business case for scaling up green methanol production capacity, ultimately benefiting shipping's own energy transition. Argus, which is headquartered in London and operates as a leading independent price reporting agency across energy and commodity markets, has been progressively expanding its coverage of alternative and low-carbon fuels in response to industry demand. The publication of these indexes represents a maturing of the e-SAF market and reinforces the role that credible price discovery plays in accelerating the energy transition across transport sectors.