Bangchak signs SAF supply agreement with Shell

Bangkok based Bangchak Corporation announced that it has signed a sustainable aviation fuel (SAF) supply agreement with Singapore-based Shell International Eastern Trading Company.

“This agreement reinforces Bangchak’s strategic vision to lead the way in sustainable energy innovation. Working with a trusted partner like Shell allows us to expand our footprint in delivering cleaner aviation fuels to the market. This partnership is an essential step in achieving our goal of net-zero greenhouse gas emissions by 2050, as we continue to pioneer sustainable energy solutions that support a low-carbon future,” said Chaiwat Kovavisarach, CEO and president, Bangchak Corporation.

Under the agreement, the company will supply ISCC EU/CORSIA certified SAF to Shell produced at the company’s refinery.

“Shell and Bangchak have a long-established and close collaboration in Thailand, and I am very happy to see the relationship grow,” said Tan Chee Chung, president, Shell International Eastern Trading Company (Shell).

The company is working on construction of a SAF production facility in Bangkok, which will have a capacity of one million liters per day, using used cooking oil as its primary feedstock.

Commercial operations are expected to begin in the second quarter of 2025. Bangchak began developing SAF manufacturing business plan in September 2022.