PETRONAS and Idemitsu join forces to boost SAF development

In a significant move towards a greener aviation industry, PETRONAS, Malaysia’s state-owned oil and gas company, and Japan’s Idemitsu Kosan Co., Ltd. have inked a memorandum of understanding (MoU) to fast-track the development and distribution of sustainable aviation fuel (SAF). This alliance is set to explore innovative solutions in enhancing the supply chain and broadening the bio feedstock base, focusing on non-edible oil sources like Pongamia and Jatropha.

Datuk Sazali Hamzah, executive vice president and CEO of downstream at PETRONAS, expressed enthusiasm about the collaboration, underscoring the nearly five decades of partnership with Idemitsu. He highlighted the joint venture’s potential to deliver impactful solutions for global energy needs, particularly in the aviation sector.

The collaboration is not just about producing SAF but also ensuring its accessibility to airlines through a well-established sales and distribution network. Both companies are committed to making strides in the cleaner energy space, with PETRONAS gearing up for large-scale SAF production by 2026.

Idemitsu brings to the table its technological prowess in transforming non-fossil renewables into SAF, a crucial step towards a competitive and sustainable future for aviation. The company is on track to establish a domestic SAF production system to meet the Japanese government and aviation industry’s goal of substituting 10% of jet fuel with SAF by 2030.