Petronas Launches Sustainable Aviation Fuel for Malaysia Airlines

Petronas, Malaysia's state-owned energy company, has officially commenced the distribution of sustainable aviation fuel (SAF) for Malaysia Airlines. The SAF, produced from a local blend at Petronas' processing facility, will supply Kuala Lumpur International Airport for flights to London until September 16, 2025. This initiative marks a significant step towards incorporating eco-friendly fuel into Malaysia Airlines' operations. The Malaysian government aims to enhance domestic SAF production capacity, targeting a SAF blending mandate of 47% by 2050, with a forthcoming requirement of 1% for all international flights starting January 2027.

Theia Market Signal Identification - AI Assisted

Published Sep 17, 2025

HYDROGEN

In a significant advancement for the aviation industry, Petroliam Nasional Berhad (Petronas), Malaysia's state-owned energy giant, has officially launched the distribution of sustainable aviation fuel (SAF) for Malaysia Airlines. This initiative, announced on September 12, 2025, represents the first local SAF blend for the Malaysia Aviation Group and is part of a broader commitment to environmental sustainability within the aviation sector.

The SAF, produced at Petronas’ processing facility, will be supplied to Kuala Lumpur International Airport (KLIA) to fuel Malaysia Airlines' daily flights to London until September 16, 2025. This development marks a pivotal moment in the airline's operations as it seeks to integrate environmentally friendly alternatives into its fuel supply chain.

Ahmad Adly, Petronas' Vice President of Refining, Marketing, and Trading, highlighted the company's essential role in the global transition to decarbonization. He emphasized that this initiative aligns with Malaysia's ambition for net-zero emissions, positioning Petronas as a catalyst for future fuel development.

In parallel, the Malaysian government is actively working to build the domestic capacity for SAF production and blending. The National Energy Transition Roadmap 2023 outlines ambitious targets, including a SAF blending mandate of 47% by 2050.

Furthermore, starting January 2027, Malaysia plans to implement a requirement for a minimum of 1% SAF blending for all international flights departing from KLIA. This proactive approach underscores Malaysia's commitment to fostering a sustainable aviation sector and contributing to global environmental goals.