Lootah Biofuels and FatHopes Energy have signed a memorandum of understanding (MoU) aimed at pioneering advancements in the production and distribution of sustainable aviation fuel (SAF) in the Middle East and North Africa and Southeast Asia.

The MoU delineates the collaborative roadmap that encompasses diverse initiatives and engagements towards SAF development through cutting-edge technologies and opportunities in setting a practical supply chain.

The Middle East being a global hub for travel, as well as UAE and GCC’s major airlines enthusiastically adopting SAF and effective resource management to fulfil their carbon reduction strategy, the demand for SAF is expected to increase further.

In response to this, both companies will explore possibilities for the establishment of a feedstock aggregation storage terminal and SAF refinery at strategic locations in Malaysia and the UAE.

The planned 200,000 cu m capacity liquid waste and residual feedstock aggregation storage terminal in a suitable seaport in Southeast Asia is expected to act as a consolidation hub for the purpose of securing consistent feedstock supply for the refinery strategically located in the UAE.

Furthermore, the partnership will explore franchising opportunities for FatHopes Energy’s technologies, data and entrepreneurship programs across Mena in order to secure ample feedstock supply.

Yousif bin Saeed Lootah, CEO of Lootah Biofuels, said: "By leveraging FHE’s expertise and technologies, we are poised to drive substantial progress in the production and distribution of Sustainable Aviation Fuel, catering to the burgeoning aviation sector in the UAE and beyond."