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China Petroleum & Chemical Corp, or Sinopec, announced on Wednesday that it has agreed with France’s TotalEnergies SE to form a joint venture to produce sustainable aviation fuel (SAF).

The production of SAF from waste oils will be done at one of Sinopec’s refineries in China, it said.

The partnership aims to achieve an annual production capacity of 230,000 tons, with the new production line co-operated by both entities.

The jet-fuel cooperation agreement was signed in Beijing by Sinopec’s chairman, Ma Yongsheng, and Patrick Pouyanne, chairman and chief executive of TotalEnergies.

Pouyanne noted that the project is central to TotalEnergies’ transformation strategy aimed at supporting the aviation sector’s carbon footprint reduction efforts.

The company has set an ambitious target to produce 1.5 million tons of SAF annually by 2030. In May 2022, China’s inaugural industrial-scale biojet fuel facility commenced pilot production at Zhenhai Refining & Chemicals.

It achieved Asia’s first global Roundtable on Sustainable Biomaterials Association (RSB) biomass-based sustainable aviation feul certification later that year, and also obtained airworthiness certificates for domestically produced large-scale biojet fuels in September.

Sinopec said it also signed a memorandum of understanding with Thailand’s Ministry of Commerce in Bangkok aiming further enhancement on product promotion and market expansion collaborations.

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