Malaysia Aviation Group inks sustainable aviation fuel deal with Petronas Dagangan
(Reuters) - Malaysia Aviation Group has signed a sustainable aviation fuel (SAF) offtake agreement with Petronas Dagangan, as part of efforts to develop the green fuel on a commercial scale in Malaysia, the two firms said on Friday.
Petronas Dagangan will supply more than 230,000 tons of SAF to MAG's airlines - national carrier Malaysia Airlines, and Firefly and MASwings - with the first delivery expected from 2027 at the Kuala Lumpur International Airport, the two companies said in a joint statement.
"Moving forward, we target to introduce SAF on selected scheduled services gradually from 2027 onwards," said Philip See, MAG's chief sustainability officer.
The SAF will be produced at Petronas' co-processing plant in the state of Malacca, the statement said.