Bangchak Group breaks ground on 1mbpd SAF production unit in Thailand

Thailand’s largest oil refiner Bangchak Group announced that it has begun construction on the 1m barrels per day sustainable aviation fuel (SAF) production unit in Thailand.

The plant, first SAF production unit in Thailand, is expected to commence operations in the first quarter of 2025. The plant will be operated by BSGF Company and will consist of two main units including the used oil quality improvement unit (pre-treating unit) and the fuel production unit.

The company said it will source used cooking oil (UCO) from households and the business sector through the “Thod Mai Throw” project and other channels to produce SAF and sustainable naphtha oil.

Earlier, Bangchak Group signed a joint venture agreement to acquire additional shares in Thanachok Vegetable Oil (2012) Company, increasing its stake in the vegetable oil producer to 45%.

The joint venture is part of the strategy to manage UCO – key raw material for SAF.

Bangchak Group also entered in a partnership with Japan’s Cosmo Oil with significant portion of the SAF production slated for a 10-year import agreement with Cosmo Oil.