Fuel specialist Neste has completed its €1.6bn Singapore refinery expansion project, establishing a sustainable aviation fuel (SAF) supply chain to Changi Airport.

The expansion doubles Neste’s production capacity in Singapore and brings the refinery’s total capacity to 2.6 million tons annually, up to one million tons of which can be sustainable aviation fuel (SAF). In addition to increased production capacity, the enhanced raw material pre-treatment capacity onsite increases Neste’s capability to process more challenging waste and residue raw materials, the company said.

“Singapore has world-class logistics connectivity enabling efficient transportation of the renewable raw materials as well as final products globally. Also, its world-class education supports the availability of future talents to be a part of our production and commercial operations, as well as to enhance our R&D in our recently established Innovation Centre,” said Matti Lehmus, president and CEO of Neste. 


SAF supply chain

To be able to offer blended Neste MY Sustainable Aviation Fuel directly to airlines at Singapore Changi Airport, Neste has agreed to acquire a stake and become a minority shareholder in Changi Airport Fuel Hydrant Installation Company Pte Ltd (CAFHI), the fuel storage and infrastructure joint venture in the airport. The transaction is subject to the fulfilment of customary closing conditions.

“Singapore is a leading aviation hub in the Asia-Pacific region. In addition to being a global hub for Neste’s SAF production, we have established an integrated SAF supply chain to Singapore Changi Airport to make our product available to an increasing number of regional and international airlines.

“The neat SAF is produced at our refinery in the Tuas area of Singapore, then blended together with conventional fossil jet fuel and certified to meet jet fuel specifications at the blending terminal in Singapore, and finally delivered to our customers at Changi Airport,” said Sami Jauhiainen, acting executive vice president for the renewable aviation business unit of Neste.

Image: Neste