AIRPORT MANAGEMENT

British Airways and Phillips 66 Agree First-Ever UK-Produced Sustainable Aviation Fuel Supply

Enterprise Holdings, Inc. | December 03, 2021

Airport Brussell News
British Airways will become the first airline in the world to use sustainable aviation fuel produced in the UK after signing a multi-year agreement with Phillips 66 Limited.

The SAF will be produced at scale for the first time in the UK at the Phillips 66 Humber Refinery near Immingham and will be supplied to British Airways to power a number of its flights from early 2022.

The supply agreement between British Airways and Phillips 66 Limited, a wholly owned subsidiary of diversified energy manufacturing and logistics company Phillips 66, advances both companies’ commitments to a lower-carbon future. The airline, which is driving to achieve net zero carbon emissions by 2050, will purchase enough sustainable fuel to reduce lifecycle CO2 emissions by almost 100,000 tonnes, the equivalent of powering 700 net zero CO2 emissions flights between London and New York on its fuel-efficient Boeing 787 aircraft.

The SAF will be produced from sustainable waste feedstock at the Humber Refinery, which will deliver its SAF supply to British Airways via existing pipeline infrastructure that feeds directly into UK airports.

“This agreement marks another important step on our journey to net zero carbon emissions and forms part of our commitment, as part of International Airlines Group, to power 10% of flights with SAF by 2030. The UK has the resources and capabilities to be a global leader in the development of SAF and scaling up the production of SAF requires a truly collaborative approach between industry and government. We are excited to develop our relationship with Phillips 66 Limited further with a view to growing production capacity and using a wider range of sustainable waste feedstocks to supply our future flights. The development of sustainable aviation fuel is a major focus for us and forms part of our commitment to achieving net zero carbon emissions by 2050 through a series of short-, medium- and long-term initiatives.”

- Sean Doyle, British Airways’ Chairman and Chief Executive

The airline’s parent company, International Airlines Group (IAG), is investing $400 million over the next 20 years into the development of SAF and British Airways has existing partnerships with a number of technology and fuel companies to develop SAF plants and purchase the fuel. SAF can reduce lifecycle carbon emissions by over 80% compared to the traditional jet fuel it replaces.

Humber Refinery General Manager Darren Cunningham, the Lead Executive for Phillips 66 in the UK, said the announcement reflects the importance the aviation and energy industries are placing on sustainability and the continued development, adoption and scaling up of sustainable aviation fuel.

“The Humber Refinery was the first in the UK to co-process waste oils to produce renewable fuels and now we will be the first to produce SAF at scale, and we are delighted British Airways is our first UK customer, We’re currently refining almost half a million litres of sustainable waste feedstocks a day, and this is just a start. Markets for lower-carbon products are growing, and this agreement demonstrates our ability to supply them.”

- Humber Refinery General Manager Darren Cunningham

Last year Phillips 66 Limited invested significantly to expand its production of fuels from waste feedstocks. The investment is part of a broader energy transition plan to reduce the carbon intensity of its refinery operations and products that support 1,000 Humber Refinery jobs.

Phillips 66 and British Airways support government plans for a future SAF mandate and a business model for investing in advanced waste to jet fuel projects through participation in the Department for Transport’s Jet Zero Council Delivery Group, of which British Airways and Phillips 66 Limited are members..

About British Airways
International Airlines Group was the first airline group in the world to commit to achieving net zero carbon emissions by 2050. The airline is committed to achieving net zero carbon emissions through a series of short-, medium- and long-term initiatives. In the short-term this includes improving operational efficiency, introducing new fuel efficient aircraft, funding carbon offset and removal projects to mitigate emissions on UK domestic flights and progressively introducing sustainable aviation fuels using waste feedstocks, while in the medium to longer term the includes continuing to invest in the development and scale up of sustainable aviation fuel and looking at accelerating the growth of new technologies such as zero emissions hydrogen-powered aircraft and carbon capture technology.

About Phillips 66
Phillips 66 is a diversified energy manufacturing and logistics company. With a portfolio of Midstream, Chemicals, Refining, and Marketing and Specialties businesses, the company processes, transports, stores and markets fuels and products globally. Headquartered in Houston, the company has 14,100 employees committed to safety and operating excellence. Phillips 66 had $56 billion of assets as of Sept. 30, 2021. The Phillips 66 Humber Refinery in North Lincolnshire is considered one of the most sophisticated and energy efficient in the country. It is a leader in the production of specialty coke, a key component for electric vehicle batteries, and participates in the Gigastack long-term project to generate green hydrogen. The refinery also is a participant in the Humber Zero project, which combines carbon capture and storage technology with hydrogen production.

Spotlight

AIRLINES, aircraft operators and owners face one of the most demanding business environments needing, on the one hand, to have a clear view of the longest term with aircraft whose working lives are usually measured in decades rather than years; but, at the same time, needing to know what is happening to their asset right now. On one level, having to receive, record and act on a host of instructions and notices from OEMs, parts and components manufacturers, their own MRO teams and the regulators wherever they operate while, having to take note of what happened to a particular aircraft during its most recent flight.


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