Transforming images to another format

I’m using Sage with bud-imagemin installed. Is it not possible to use it in Blade templates? Is something more required to add to bud config? I have specified:`webp`, {
    options: {
      encodeOptions: {
        quality: 80,

Otherwise, the image never transforms to webp after running build. There’s nothing in the manifest regarding the image asset, and type still remains as jpeg.

Example: <img src="@asset('/images/avatar.jpg?as=webp')" />

Without setting options, it works. So do I need to use encode instead of setGenerator in order to pass in my options?