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Shell Aviation and World Energy Collaborate to Increase Supply of Sustainable Aviation Fuel

01/07/2020

Shell Aviation and World Energy initiate supply of sustainable aviation fuel with Lufthansa Group at San Francisco Airport

London, United Kingdom – January 7, 2020: Shell Aviation and World Energy have today announced a collaboration to develop a scalable supply of sustainable aviation fuel (SAF). The agreement is intended to be a multi-year collaboration, with both companies acknowledging that the path to lower carbon emissions in aviation requires long-term commitment and collaboration.

 

As part of the collaboration, Shell Aviation and World Energy also announced that they have initiated the supply of SAF to Lufthansa Group at San Francisco International Airport (SFO). The supply will reduce Lufthansa’s carbon emissions on intercontinental flights on three routes operated by Deutsche Lufthansa and Swiss International Air Lines from SFO to Frankfurt, Munich and Zurich.

 

The deal represents one of the most significant SAF supply contracts globally, with up to one million gallons of SAF to be supplied to Lufthansa over the duration. It is the largest contracted SAF volume to be delivered to SFO since the airport announced its ambition to expand the use of SAF in its operations last year.

 

“Alongside new technologies and high quality carbon credits, sustainable aviation fuel - at scale - has a significant role to play in reducing carbon emissions for the aviation industry,” said Anna Mascolo, Vice President, Shell Aviation. “As well as bringing together the right mix of technical expertise and operational capability, commitments like this one provide a strong example and assurance to the industry that it is possible to fly and emit less.”

 

“We are thrilled to be working with Shell to advance their ability to empower industry leaders, like Lufthansa, to take action toward reducing their sector’s carbon footprint,” said Gene Gebolys, Chief Executive Officer, World Energy. The shift to low-carbon fuels will not happen in a day and won’t be done alone, but today we are taking one more important step on a long journey together.  We are committed to making low-carbon fuels readily available to those who choose to act now and to lead the transition to a cleaner energy future.” 

 

Thorsten Luft, Vice President, Deutsche Lufthansa AG, added: “The Lufthansa Group takes its responsibility for the environment very seriously and has already taken many initiatives to reduce the CO2 emissions of its aircraft. We have a long history of testing and supporting the development of sustainable aviation fuel, and are proud to be introducing it to our daily operations at San Francisco. This is just one of many initiatives to provide our passengers with lower carbon travel when they choose to fly.”

 

The SAF is produced by World Energy at its refinery in Paramount, California, from a feedstock of agricultural waste fats and oils. This CARB-certified[1] Low Carbon Fuel and RSB-certified[2] fuel meets strict sustainability standards and is blended with conventional jet fuel at a ratio of up to 30%, resulting in a fuel that has significantly lower lifecycle carbon emissions. In general, lifecycle carbon emissions from SAF can be at least 80% lower than conventional jet fuel.[3] SAF is supplied to airports through existing airport infrastructure and can be used by airlines without requiring technical modification to their current fleets.   

 

ENDS

ENQUIRIES:

Dan Swallow, Hill+Knowlton Strategies

T: +44 207 413 3773

E: dan.swallow@hkstrategies.com

 

ABOUT SHELL AVIATION

With one of the most extensive refuelling networks in the world suppling fuels and lubricants at about 900 airport locations, operating across 60+ countries, Shell Aviation’s customers range from private pilots to the world’s largest airlines. Its diverse range of world-class fuels, lubricants and services to all aircraft types includes jet fuel and avgas for turbine engine and piston engine aircraft operators respectively, as well as its AeroShell® range of engine oils, fluids and greases.

At Shell Aviation we trade more jet fuel than almost anyone else in the world. Our world-class supply chain has been built to ensure that wherever we serve our customers, they can count on a secure supply of quality fuel. We pride ourselves on operational efficiency and are constantly looking for new and better ways to give our customers more time flying.
Shell Aviation strives to be a leader in the transition to low carbon aviation fuels and pursues a strategy of avoid, reduce and offset to manage carbon emissions for its customers.

·Further information can be found on Shell Aviation.

 

ABOUT WORLD ENERGY

World Energy is one of the largest and longest-serving advanced biofuel suppliers in North America. Founded in 1998, the company operates biodiesel manufacturing plants in Houston, Texas, Natchez, Miss., Rome, Ga., Harrisburg, Pa., Hamilton, Ont., In Paramount, Calif. the company operates a renewable diesel refinery and the first commercial sustainable aviation fuel (SAF) facility in the world. The company also has distribution hubs throughout the U.S. and Canada. For more information visit worldenergy.net.

 

Royal Dutch Shell plc

Royal Dutch Shell plc is incorporated in England and Wales, has its headquarters in The Hague and is listed on the London, Amsterdam, and New York stock exchanges.  Shell companies have operations in more than 70 countries and territories with businesses including oil and gas exploration and production; production and marketing of liquefied natural gas and gas to liquids; manufacturing, marketing and shipping of oil products and chemicals and renewable energy projects. For further information, visit www.shell.com.

 

Cautionary note

The companies in which Royal Dutch Shell plc directly and indirectly owns investments are separate legal entities. In this press release “Shell”, “Shell group” and “Royal Dutch Shell” are sometimes used for convenience where references are made to Royal Dutch Shell plc and its subsidiaries in general. Likewise, the words “we”, “us” and “our” are also used to refer to Royal Dutch Shell plc and subsidiaries in general or to those who work for them. These terms are also used where no useful purpose is served by identifying the particular entity or entities. ‘‘Subsidiaries’’, “Shell subsidiaries” and “Shell companies” as used in this press release refer to entities over which Royal Dutch Shell plc either directly or indirectly has control. Entities and unincorporated arrangements over which Shell has joint control are generally referred to as “joint ventures” and “joint operations”, respectively.  Entities over which Shell has significant influence but neither control nor joint control are referred to as “associates”. The term “Shell interest” is used for convenience to indicate the direct and/or indirect ownership interest held by Shell in an entity or unincorporated joint arrangement, after exclusion of all third-party interest.

This press release contains forward-looking statements (within the meaning of the U.S. Private Securities Litigation Reform Act of 1995) concerning the financial condition, results of operations and businesses of Royal Dutch Shell. All statements other than statements of historical fact are, or may be deemed to be, forward-looking statements. Forward-looking statements are statements of future expectations that are based on management’s current expectations and assumptions and involve known and unknown risks and uncertainties that could cause actual results, performance or events to differ materially from those expressed or implied in these statements. Forward-looking statements include, among other things, statements concerning the potential exposure of Royal Dutch Shell to market risks and statements expressing management’s expectations, beliefs, estimates, forecasts, projections and assumptions. These forward-looking statements are identified by their use of terms and phrases such as “aim”, “ambition’, ‘‘anticipate’’, ‘‘believe’’, ‘‘could’’, ‘‘estimate’’, ‘‘expect’’, ‘‘goals’’, ‘‘intend’’, ‘‘may’’, ‘‘objectives’’, ‘‘outlook’’, ‘‘plan’’, ‘‘probably’’, ‘‘project’’, ‘‘risks’’, “schedule”, ‘‘seek’’, ‘‘should’’, ‘‘target’’, ‘‘will’’ and similar terms and phrases. There are a number of factors that could affect the future operations of Royal Dutch Shell and could cause those results to differ materially from those expressed in the forward-looking statements included in this press release, including (without limitation): (a) price fluctuations in crude oil and natural gas; (b) changes in demand for Shell’s products; (c) currency fluctuations; (d) drilling and production results; (e) reserves estimates; (f) loss of market share and industry competition; (g) environmental and physical risks; (h) risks associated with the identification of suitable potential acquisition properties and targets, and successful negotiation and completion of such transactions; (i) the risk of doing business in developing countries and countries subject to international sanctions; (j) legislative, fiscal and regulatory developments including regulatory measures addressing climate change; (k) economic and financial market conditions in various countries and regions; (l) political risks, including the risks of expropriation and renegotiation of the terms of contracts with governmental entities, delays or advancements in the approval of projects and delays in the reimbursement for shared costs; and (m) changes in trading conditions. No assurance is provided that future dividend payments will match or exceed previous dividend payments.  All forward-looking statements contained in this press release are expressly qualified in their entirety by the cautionary statements contained or referred to in this section. Readers should not place undue reliance on forward-looking statements. Additional risk factors that may affect future results are contained in Royal Dutch Shell’s 20-F for the year ended December 31, 2018 (available at www.shell.com/investor and www.sec.gov). These risk factors also expressly qualify all forward looking statements contained in this press release and should be considered by the reader.  Each forward-looking statement speaks only as of the date of this press release, January 7, 2020. Neither Royal Dutch Shell plc nor any of its subsidiaries undertake any obligation to publicly update or revise any forward-looking statement as a result of new information, future events or other information. In light of these risks, results could differ materially from those stated, implied or inferred from the forward-looking statements contained in this press release.

We may have used certain terms, such as resources, in this press release that United States Securities and Exchange Commission (SEC) strictly prohibits us from including in our filings with the SEC.  U.S. Investors are urged to consider closely the disclosure in our Form 20-F, File No 1-32575, available on the SEC website www.sec.gov.

 

[1] California Air Resources Board Low Carbon Fuel Standard

[2] Roundtable on sustainable biomaterials

[3] IATA Sustainable aviation fuels: Factsheet

 

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