Lufthansa Group has signed a Memorandum of Understanding (MoU) with Shell to explore a supply of sustainable aviation fuel (SAF) at airports around the world. The agreement could see the SAF supply reach up to 594 million gallons in total from 2024 until 2030. The agreement could mark one of the most significant collaborations for SAF in the aviation sector and Shell’s largest SAF commitment to date.
The potential SAF to be supplied by Shell will be produced by up to four different approved technology pathways and a broad range of sustainable feedstocks.
Jan Toschka, President Shell Aviation, commented: “It is encouraging to see large flagship carriers coming to us to discuss SAF supply deals, knowing there will be a lot of things to be defined and determined at a later stage, including established price markers. SAF is the most significant way to decarbonise aviation over the decades to come. Our relationship goes beyond commercial arrangements – it is strategic and aligned regarding the view that SAF holds the key to achieving a sustainable aviation future. The potential SAF purchase agreement contemplated under the MoU, by its anticipated volume size, term period and geographic scope, is expected to be a milestone if concluded and shows the way forward for decarbonisation in the aviation industry.”
Katja Kleffman, Head of Fuel Management Supply Lufthansa Group added: “As an industry we have to work jointly towards making flying more sustainable and to achieve net-zero carbon emissions by 2050. Shell is very experienced with the global handling of Jet fuel and that is one key element for our trust for smooth operations of SAF, too.”
The agreement is part of Shell’s ambition to have at least 10% of its global aviation fuel sales as SAF by 2030 and on the Lufthansa Group’s ambition to drive the availability, the market ramp-up and the use of SAF as a core element of its sustainability strategy.