In Korea, Korea JoongAng Daily reported that as the 2027 deadline for the government mandate to mix sustainable aviation fuel in all commercial flights nears, major refiners are hurrying to meet the demand for the growing market while also calling for government support for the large investment needed for early-stage infrastructure.
Under a road map announced by the Ministry of Land, Infrastructure and Transport and the Ministry of Trade, Industry and Energy on September 19, airlines must blend at least 1% SAF into aviation fuel supplied to international flights departing Korea beginning in 2027. The mandate will increase to 3-% by 2030 and reach 7-10% by 2035.
Korean refiners — SK Energy, GS Caltex, S-Oil and HD Hyundai Oilbank — have begun scaling up production, mostly through co-processing, a method that blends bio-based feedstock into existing refinery units. But the process yields just 10% SAF, making it insufficient to meet the coming mandate without large-scale investment in dedicated facilities, according to the report.
SK Energy began SAF production in September last year at its Ulsan complex after investing $10.6 million, and exported to Europe in January — the first Korean company to do so. In March, it signed a supply deal with Hong Kong-based Cathay Pacific, the report added.
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