TOKYO, Oct 5 — Petroliam Nasional Bhd (Petronas) has collaborated with Idemitsu Kosan Co Ltd “to enhance capabilities across the supply chain and optimise the route to market for sustainable aviation fuel (SAF).”
This marked a significant step in both companies’ ongoing commitment to producing lower carbon energy solutions for customers worldwide, the national oil company said in a statement.
Under the memorandum of understanding (MOU) signed between both parties, Petronas said they will “focus on a feasibility study to scale up bio feedstock possibilities, production cost analysis and security in ensuring a steady and efficient supply chain for the sustainable development of SAF.”
This includes exploring the supply potential of non-edible oil feedstock trees suitable to produce SAF, such as Pongamia and Jatropha, it added.
“Our partnership with Idemitsu builds on a legacy of almost five decades of shared ambition to address the everchanging energy needs worldwide.
“In the latest collaboration, our valued partner will continue to have access to our distinctive advantage, enabling us to collectively deliver impactful outcomes for the benefits of our end customers,” said Datuk Sazali Hamzah, Petronas executive vice-president and chief executive officer of downstream.
Petronas said both companies would also work on establishing a robust SAF sales and distribution network to ensure SAF accessibility to airlines.
Idemitsu director and managing executive officer Masahiko Sawa said both companies expect the new initiative to contribute to the achievement of carbon neutrality in the aviation industry through the early implementation and deployment of SAF.
“Idemitsu is engaged in the development of various raw materials and marketing for SAF, and we will utilise and further develop them in this joint study,” he said.
Petronas said with ongoing endeavours in the space of cleaner energy solutions, the company will soon have the capacity for large scale production of SAF and other types of biofuels by 2026 through its biorefinery in Pengerang, Johor and co-processing facility in Melaka.
This would enable Petronas to capture markets beyond aviation to include transportation as well as Formula One and its logistics team, it added.
— Bernama
