Bayer and bp form strategic alliance to jointly scale camelina as intermediate crop for biofuels

Bayer, a life science company, and bp, a global integrated energy company, announced that they have entered into a long-term strategic alliance to jointly scale the crop camelina, under the brand name newgold^®.

The alliance will commercialize camelina starting in North America. bp brings expertise in fuels and refining, while Bayer will utilize its industry leading expertise in seed technology, as well as its extensive farmer customer base. The alliance aims to further develop a reliable intermediate oilseeds market to help meet the growing demand for biodiesel, renewable diesel (RD) and sustainable aviation fuel (SAF) markets which is estimated to increase from 14 billion to 40 billion gallons by 2040.¹

“This alliance will help us to connect the value chain necessary to bring camelina to market and provides our farmer customers greater market certainty as they consider camelina on their farm,” said Frank Terhorst, head of strategy and sustainability for Bayer’s Crop Science division. “We are utilizing our industry leading breeding program to enhance the crop, and its untapped potential globally to help meet the needs of this growing market. We see this as a win for our customers and their farms, as it creates potential new revenue streams, but also a win for the renewable fuels market.”

Philipp Schoelzel, senior vice president biofuels growth at bp, commented: “This collaboration represents bp at its best. Working with trusted partners with complementary capabilities to develop products customers want and need, while delivering value for our shareholders.”

This announcement follows Bayer’s acquisition of camelina assets in late 2024. As Bayer ramps up production in preparation of a full-scale launch, testing of long and short season biotypes is underway. Bayer has already introduced newgold camelina in the Northern Plains of the US and Southern Saskatchewan and Southern Alberta regions of Canada.

Camelina has a promising lower-carbon intensity for renewable fuel,^2,3,4 offering flexibility to grow in both spring and winter, and requires lower inputs. Camelina is winter hardy, offering pod shatter resistance and drought tolerant characteristics allowing it to be grown on idle or fallow land, or in-between traditional main crop rotations, allowing farmers to avoid potential competition with food production.

Camelina crops sold under the newgold^® seed brand will be designed with the goal of acting as a profit multiplier, giving growers the flexibility to decide how and where it fits best in their operation:

• As an intermediate crop, adding value between seasons
• Within rotations, contributing to good agronomic management while diversifying income
• On marginal or underutilized land, turning those acres into more productive assets

This flexibility will allow farmers to participate in the low-carbon fuel economy while maintaining control over their agronomic and financial decisions.

Sources:
1 Projections based on Bayer market research for Global biomass-based diesel (Biodiesel, Renewable Diesel and Sustainable Aviation Fuel) market size by 2040 based on multiple external sources: Biofuel Production and Greenhouse Gas Reduction Potential; Transport biofuels – Renewables 2023 – Analysis - IEA; Biofuels: OECD-FAO Agricultural Outlook 2025-2034 | OECD
2 https://www.mdpi.com/2071-1050/15/16/12574,
3 https://ww2.arb.ca.gov/sites/default/files/classic/fuels/lcfs/2a2b/apps/so-camelina-oil-sum-110714.pdf
4 https://pubs.acs.org/doi/10.1021/acssuschemeng.4c06429