In Sweden, SAS (Scandinavian Airlines) has signed a letter of intent with Swedish biofuels supplier Preem, with the aim of producing renewable aviation fuel. SAS hopes to replace today’s fuel volume for domestic flights with biofuel by 2030.
The letter of intent means that SAS and Preem will collaborate to jointly ensure the production of biojet fuel in connection with Preem’s planned capacity expansion of the Gothenburg refinery. Preliminary estimated start-up is in 2022 and the total capacity of biofuels is estimated to exceed one million cubic meters.
Preem has a product strategy to develop biofuels from residues from Swedish forests, but also from residues from society as a whole. Preem’s goal is to produce three million cubic meters of biofuels by 2030.
By September 2018, the parties will meet a binding and more detailed cooperation agreement. If the continued work goes well, SAS and Preem intend to also agree on future long-term supply contracts for biojet.