October 28, 2020

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Neste signs supply agreement with Shell for sustainable aviation fuel
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Neste and Shell Aviation have entered into a sustainable aviation fuel (SAF) supply agreement. 

This agreement significantly increases the supply and availability of SAF for the aviation industry with effect from October 2020. It brings together Neste’s expertise in the production and supply of renewable diesel fuel and SAF with Shell Aviation’s world-class credentials in supplying and managing fuel around the world.

“To tackle climate change and reach net zero emissions, the aviation industry must act fast. Shell Aviation aims to reduce the carbon intensity of the fuels we sell which includes selling more lower-carbon fuels like sustainable aviation fuel, over time. Today’s agreement with Neste will help Shell Aviation customers to lower their emissions and demonstrates the kind of progress we can deliver by working in collaboration with others,” said Anna Mascolo, president, Shell Aviation.

“The aviation industry is essential for global business, generating growth and facilitating economic recovery. It also enables people to travel and goods to be transported rapidly across the globe. But if we are to address aviation-related emissions, we need to utilise all the available solutions. SAF offers the only viable alternative to fossil liquid fuels for powering commercial aircraft with an immediate potential to reduce aviation’s greenhouse gas emissions. We are fully committed to supporting the aviation industry, its customers and corporates with their emission reduction targets,” says Thorsten Lange, executive vice president for Renewable Aviation at Neste.

Neste MY Sustainable Aviation Fuel™ is made from sustainably sourced, renewable waste and residue raw materials. In its neat form and over the lifecycle it reduces greenhouse gas emissions by up to 80% compared to fossil jet fuels. The fuel gives an immediate solution for reducing the direct carbon emissions of flying. It can be used as a drop-in fuel with existing aircraft engines and airport infrastructure, requiring no extra investment. 

Prior to use, Neste MY Sustainable Aviation Fuel is blended with fossil jet fuel and is then certified to meet ASTM jet fuel specifications. Neste’s sustainable aviation fuel annual capacity is currently 100,000 tons. With the Singapore refinery expansion on the way, and with possible additional investment in the Rotterdam refinery, Finland’s Neste will have the capacity to produce some 1.5 million tons of SAF annually by 2023. Neste is actively working with partners throughout the supply chain to grow the availability of SAF for the aviation industry globally. 

About Shell Aviation

With one of the most extensive refuelling networks in the world, Shell Aviation supplies fuel, lubricants, and sustainable solutions in more than 60 countries. Customers range from the world’s largest airlines to private pilots. 

In April 2020 Shell updated investors on its ambition to become a net-zero emissions energy business by 2050 or sooner. We will do this in step with society. Shell aims to reduce the net carbon footprint of its energy products by around 65% by 2050 and by around 30% by 2035.  Shell Aviation is aligned with this ambition.  

Shell Aviation’s carbon management strategy aims to help customers decarbonise by avoiding emissions on the ground, reducing emissions principally through the use of sustainable aviation fuel, and offsetting emissions through the use of carbon credits, specifically nature-based solutions. Shell Aviation plays many different roles in this strategy; a fuel supplier (renewable and conventional), a technology partner, and proponent of energy solutions for airports. 

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