Singapore’s Keppel and Aster said on Wednesday they have agreed to jointly assess a project to produce sustainable aviation fuel (SAF) from ethanol at the Jurong Island industrial hub.
The proposed facility would have the capacity to produce up to 100,000 metric tons of SAF annually, targeting future demand from the aviation sector.
The companies said a feasibility study assessing the project’s technical and commercial viability has already been completed.
They will next carry out front-end engineering design work before deciding whether to make a final investment in the project.
The initiative aligns with Singapore’s push to position itself as a regional hub for low-carbon fuels.
From this year, the city-state will mandate the use of 1% SAF in aviation fuel, with plans to raise the requirement to between 3% and 5% by 2030.
Keppel and Aster said the project aims to support the decarbonisation of air travel while strengthening Singapore’s sustainable energy ecosystem.