SK Energy became the first South Korean oil refinery to export Sustainable Aviation Fuel (SAF) to Europe.
SK Energy announced on the 5th that it has exported Sustainable Aviation Fuel (SAF) to Europe, produced using a co-processing method. This approach involves processing bio-based materials such as used cooking oil and animal fats.
As of January this year, European countries have implemented regulations requiring that at least 2% of aviation fuel must be blended with Sustainable Aviation Fuel (SAF). Currently, Europe is the only global market where the use of SAF is mandatory.
SK Energy, which has established a leading large-scale production system for SAF, successfully commenced exports immediately after the European Union (EU) implemented its SAF usage mandate.
Previously, in September 2024, SK Energy established a production line using the co-processing method and began commercial production of SAF. Co-processing involves integrating a separate bio-feedstock supply pipeline into existing petroleum product production processes, enabling the simultaneous production of SAF, bio-naphtha, and other low-carbon products.
In particular, SK Energy has secured a competitive edge in exports by establishing a large-scale production system capable of producing approximately 100,000 tons annually of SAF and other low-carbon products.
An SK Energy representative stated, "Leveraging the R&D capabilities of the Environmental Science and Technology Institute and the engineering expertise of SK Innovation's Ulsan Complex (Ulsan CLX), we established a large-scale production system and activated commercial production lines, which proved instrumental in achieving successful exports."
Previously, SK On Trading International, a subsidiary of SK Innovation, invested in a waste-resource-based feedstock company. With SK Energy successfully producing and exporting SAF, the company has completed a global value chain encompassing raw material procurement, production, and sales.
Building on this foundation, SK Energy plans to expand its presence in the global SAF market while also supplying SAF domestically during the first half of this year.
Lee Chun-gil, head of SK Energy's Ulsan CLX, stated, "We plan to closely monitor market conditions, including changes in domestic and international SAF policies and demand fluctuations, while actively pursuing the expansion of SAF production and exports."
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