2,000 tons over one year
Fuel certified under ISCC EU
GS Caltex announced Wednesday that it will supply sustainable aviation fuel, or SAF, to global logistics firm DHL Express.
The company signed an MOU on Tuesday at GS Tower in Gangnam-gu, Seoul, to build a partnership for carbon reduction based on sustainable aviation fuel. GS Caltex Mobility & Marketing Division Vice President Kim Chang-soo and DHL Express CEO John Pearson attended the signing, among others.
Under the agreement, GS Caltex will supply SAF for one year to aircraft that DHL Express refuels in South Korea. The volume amounts to 2,000 tons on a neat SAF (100 percent SAF) basis.
SAF is an alternative aviation fuel produced from raw materials such as used cooking oil and household waste, and it can cut carbon emissions by up to 80 percent compared with fossil fuel-based jet fuel.
The SAF that GS Caltex will supply to DHL Express is produced through a co-processing method and has received ISCC EU certification, which meets the EU's renewable energy directive.
GS Caltex plans to build a dedicated co-processing production line to expand its SAF output and supply to airlines in line with market demand.
The plan involves installing dedicated piping to connect tanks for biomass feedstock with the company's refining process, enabling commercial-scale SAF production. GS Caltex aims to complete the dedicated co-processing production line and expand SAF output within this year.
GS Caltex also agreed to join DHL Express' GoGreen Plus program. Going forward, all shipments that GS Caltex sends overseas through DHL Express will be covered under the program and recognized for their carbon reduction.
Meanwhile, according to the International Air Transport Association, this year's global SAF output stands at about 0.8 percent of total aviation fuel consumption worldwide. Starting next year, South Korea will require international flights departing from the country to use a SAF blend, with a mandatory blending ratio of 1 percent.
keg@heraldcorp.com
