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JetBlue and Shell Aviation Announce Agreement Bringing New Supply of SAF to LAX
New Purchase Agreement Demonstrates Supply Chain Investment in SAF by Shell Aviation, and Growing Demand for SAF NEW YORK--(BUSINESS WIRE)-- JetBlue (Nasdaq:
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[{"type":"text","content":"\nNew Purchase Agreement Demonstrates Supply Chain Investment in SAF by Shell Aviation, and Growing Demand for SAF\n\n NEW YORK--(BUSINESS WIRE)--\nJetBlue (Nasdaq: JBLU) and Shell Aviation today announced a new collaboration bringing additional supply of sustainable aviation fuel (SAF) to Los Angeles International Airport (LAX), targeting commencement of delivery in the first half of 2023. Within the terms of the agreement, JetBlue is expected to take delivery of 10,000,000 gallons of blended SAF at LAX over the next two years and an option to purchase up to 5,000,000 gallons more in the third year, either at LAX or other airports in JetBlue’s network.\n\nSAF is a type of renewable fuel that exists today that drops directly into existing aircraft and infrastructure with no impact to safety or performance. SAF can be produced from a wide array of renewable sources such as agricultural wastes and used cooking oils and can lower lifecycle greenhouse gas emissions by roughly 80% in its neat form when compared to traditional petroleum-based fuels.\n\n“We’ve long said we need multiple key stakeholders to step up to reach our aggressive emissions reduction goals. This deal with Shell is a key signal of the growing engagement of the major fuel producers to begin converting conventional jet fuel to SAF,” said Robin Hayes, chief executive officer, JetBlue. “Shell’s involvement, with their expertise in energy markets and logistics, is a validation of the SAF market’s potential and highlights how critical the SAF transition of our hard-to-decarbonize industry is to establishing a more sustainable future of flight.”\n\nShell has announced its ambition to have 10% of its aviation jet fuel sales as SAF by 2030. To meet this goal, Shell is building supply chain capabilities to blend, handle and distribute SAF and enable more customers access to SAF, helping to accelerate the pace of decarbonizing the aviation sector.\n\n“It’s terrific to be supporting JetBlue once again in its decarbonization efforts. Like Shell, JetBlue understands that SAF will be the key technology to help decarbonize flight,” commented Jan Toschka, President of Shell Aviation. “LAX is a critical North American airport hub and we’re delighted to be able to provide JetBlue and corporations on its Sustainable Travel Partners program access to SAF, allowing them to lower their...