Masdar teams up with France’s TotalEnergies to explore sustainable aviation fuel project

Joint venture plans to capture carbon dioxide from an industrial source and use it, along with green hydrogen, to produce the fuel

The two companies said they conducted a 'successful test flight' during the Cop28 climate conference in December. Photo: Masdar

Abu Dhabi’s clean energy company Masdar has signed an agreement with France’s TotalEnergies to explore a sustainable aviation fuel (SAF) project using methanol produced from green hydrogen.

The agreement follows a "successful test flight" conducted by the two companies during the Cop28 climate conference in December, which demonstrated the potential for converting methanol to SAF, Masdar said in a statement on Thursday.

The project, which aims to help decarbonise hard-to-abate sectors such as aviation and maritime, will capture carbon dioxide from an industrial source and use it, along with green hydrogen, to produce green methanol and SAF, Masdar said.

The cost of the potential project and its location were not disclosed.

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SAF includes alternative fuels made from renewable sources that are used to power aircraft.

The International Air Transport Association estimates SAF could contribute to about 65 per cent of the reduction in emissions needed by the aviation industry to reach its target of achieving net zero by 2050.

The aviation sector is responsible for about 2 per cent of global carbon-dioxide emissions.

SAF can reduce carbon emissions over the fuel’s life cycle by up to 85 per cent in comparison with petroleum jet fuel, according to the International Civil Aviation Organisation.

However, its adoption is still in early stages due to small-scale production and the green fuel's higher cost, compared with conventional kerosene.

The UAE, a major aviation hub, aims to supply 1 per cent of fuel to national airlines with domestically produced SAF by 2031, in line with government plans to decarbonise the sector.

Under its General Policy for Sustainable Aviation Fuel, the country aims to position itself as a regional hub for low-carbon aviation fuel and boost its production of SAF to as much as 700 million litres annually.

It also plans to create a national regulatory framework and explore policies to support the long-term operation of SAF facilities in the UAE.

In October, Masdar and US aerospace company Boeing teamed up to help advance the SAF industry in the UAE and globally.

The companies said they would collaborate in the development and adoption of policies, including accounting principles for SAF, expected to help the industry overcome geographical barriers as its use continues to increase.

The UAE, the Arab world’s second-largest economy, aims to achieve hydrogen production of 1.4 million tonnes annually by 2031, increasing to 15 million tonnes a year by 2050.

The country is planning to develop at least two hydrogen production plants, or oases, by 2031.

Masdar, owned jointly by the Abu Dhabi National Energy Company, better known as Taqa, Adnoc and Mubadala, is active in 40 countries. It aims to expand its capacity to at least 100 gigawatts of renewable energy by the end of the decade, from about 20 gigawatts currently.