Shell has become the first supplier of sustainable aviation fuel (SAF) to customers in Singapore. Shell has also completed the upgrading of its facility in Singapore which will enable blending of SAF in Singapore.
SAF is approved for use in aircraft operating today only when blended in a ratio of up to 50% with conventional jet fuel. Having a blending facility in the region enables a more efficient operation by moving neat SAF in bulk from production sources to the blending facility and then delivering blended SAF parcels to where it is needed.
The announcement represents a significant milestone for the aviation industry in Asia, as the enhanced SAF supply chain capabilities increase customer’s access to SAF. For the first time in Singapore, customers can now reduce emissions by flying on SAF.
The SAF supplied is made from waste products and sustainable feedstocks and will be blended with conventional jet fuel. The first batch of SAF is blended in Europe and aims to test and verify the supply chain for SAF that Shell has established in Asia. The SAF is being supplied by Shell Aviation, as part of Shell Aviation’s SAF supply agreement with Neste, the producer of SAF. (Earlier post.) Shell seeks to commence blending at its Singapore facilities for subsequent batches.
Building supply chain capabilities to blend, handle and distribute SAF is critical in enabling more customers access to SAF, SHell said. In its neat form, SAF can reduce lifecycle emissions by up to 80% compared to conventional fuel.
Shell has announced its ambition to produce around 2 million tonnes of SAF a year by 2025 globally. (Earlier post.) To support this, Shell outlined plans for a biofuels facility, subject to final investment decision, at the Shell Energy and Chemicals Park Singapore. The facility has the ability to produce 550,000 tonnes of low-carbon fuels a year, including SAF.