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PTT Global Chemical (GC) Plc, the petrochemical arm of the national oil and gas conglomerate, vows to enter the sustainable aviation fuel (SAF) market, aiming to produce the biofuel for aircraft next year to support the global campaign to reduce carbon dioxide emissions.
Energy conglomerate Bangchak Corporation earlier announced it would produce SAF in 2025.
SAF, which can be produced from used cooking oil and agricultural waste, is a suitable replacement for regular jet fuel as their properties are similar. However, SAF has a much smaller carbon footprint than regular jet fuel.
GC’s new biofuel refinery is scheduled to conduct trial production run of SAF from used cooking oil in December before commencing commercial operations next year, said GC president Toasaporn Boonyapipat.
The company plans to produce 500,000 litres of SAF per month, using up to 1,700 tonnes of used cooking oil a month.
The amount of used cooking oil sourced domestically should be sufficient to serve the company’s production requirements, said Mr Toasaporn.
GC will work with its Japanese and Singaporean partners to purchase additional used cooking oil if the domestic supply is insufficient, he said.
The company is conducting a feasibility study of other raw materials, notably ethanol produced from sugar and cassava, for the production of SAF.
Biofuels, including gasohol and SAF, are expected to help generate new investment worth nearly 114 billion baht in the oil sector over the next 13 years as Thailand shifts towards cleaner fuels for all forms of transport, according to the newly revised oil plan, set to be enforced from 2024 to 2037.
SAF production is part of GC’s plan to put a greater focus on producing bio-based materials that are feedstocks for products used daily, stemming from a variety of business sectors ranging from food and beverages to medicine and body care.
Bangchak is pushing ahead with its SAF project, with plans to deliver SAF via pipelines to Suvarnabhumi and Don Mueang airports, according to Chaiwat Kovavisarach, group chief executive and president of Bangchak.
SAF production is part of Bangchak’s efforts to achieve carbon neutrality, a balance between carbon dioxide emissions and absorption, by 2030, aligning with the International Air Transport Association’s “Fly Net Zero” campaign.
SAF will be blended with Jet-A1 fuel for commercial aircraft.
Bangchak is developing an SAF production facility near its oil refinery in Bangkok’s Phra Khanong district under a newly revised budget of 8.5 billion baht.
The investment budget for this facility was earlier estimated at 10 billion baht.
The company plans to produce up to 1 million litres of SAF per day from used cooking oil. Its commercial operation date is scheduled for the second quarter of 2025.