WASHINGTON, March 18 (Reuters) - The head of the U.S.

government's energy loans office that has provided financing to

projects from nuclear power to a sustainable aviation fuel plant

supported by one of President Donald Trump's fellow Republicans

will depart the agency this week, the U.S. Department of Energy

said on Tuesday.

John Sneed, who headed the Loan Programs Office, or LPO, in

the Trump's first administration, was re-appointed on January 20

to head it for 30 days to work on the transition to new

administration. His appointment was extended by about another

month through March 21.

Sneed said in a release he will return home to Texas, and

his family, without giving more detail.

In the first Trump administration, Sneed was also a chief of

staff to then Energy Secretary Rick Perry, a former Texas

governor of Texas.

The LPO's capacity to offer low-cost loans and loan

guarantees to emerging energy technologies was vastly expanded

to hundreds of billions of dollars under the administration of

former President Joe Biden, a Democrat.

Technologies, such as advanced vehicles, batteries, and

solar power arrays, that struggle to get financing from private

banks, were among the beneficiaries, during Biden's presidency.

Trump only used the LPO to finance nuclear power in his

first term and it has been uncertain how he will use the agency

in his second administration.

So far this term, Trump's LPO has provided part of a loan

guarantee for Holtec's Palisades nuclear plant in Michigan,

which is aiming to be the first commercial reactor resurrected

after a complete shutdown.

Last month, his LPO also approved disbursement of a $1.67

billion loan guarantee finalized days before Trump took office

for a Calumet sustainable aviation fuel refinery in

Montana, after pressure from Senator Steve Daines, a Republican.

DOE said it will announce the incoming LPO director in

weeks.