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TotalEnergies and Air France-KLM Seal 10-Year SAF Offtake Deal

TotalEnergies and Air France-KLM have signed an agreement for TotalEnergies to supply up to 1.5 million tons of more sustainable aviation fuel (SAF) to Air France-KLM Group airlines over a 10-year period, until 2035.

This agreement marks one of the largest SAF purchase contracts signed by Air France-KLM to date. In 2022 and 2023, Air France-KLM was the world’s leading SAF user, representing 17% and 16% of total global production respectively, a statement to Energy Window International said.

This contract according to the statement is a follow-up to a memorandum of understanding (MoU) signed in 2022 for the supply of 800,000 tons of SAF, aimed at accelerating the decarbonization of air transport within and around Europe. Adding that by this re-evaluation of agreement, the two groups now reaffirm their objective to curb the environmental impact of the air transport sector as quickly as possible in order to reduce CO2 emissions.

According to the statement, Air France-KLM group is aiming to reduce its CO2 emissions per passenger/km by 30% by 2030 compared to the 2019 levels, a goal which the Group believes could be achieved through a combination of fleet renewal, operational measures such as eco-piloting, and the incorporation of at least 10% of more sustainable aviation fuel on all its flights. “These ambitious targets go beyond regulatory obligations” the statement disclosed.

It said that the SAF to be supplied to Air France-KLM will be made from waste and residues from the circular economy will be produced in TotalEnergies’ French and European biorefineries and refineries through coprocessing. This SAF will then be used to fuel flights operated by Air France-KLM’s airlines on departure from France, the Netherlands, and other European countries. The statement adds that the development of SAF is at the heart of TotalEnergies’ transition strategy to meet demand from the aviation sector.

It said Air France-KLM has implemented a strict sourcing policy, purchasing only second-generation SAF that does not compete with global food production called “RSB or ISCC+” which has also been certified for its sustainability. SAF allows for a reduction in CO₂ emissions of at least 75% and up to 90% over the entire fuel life cycle, compared with fossil fuel equivalents.

“SAF contributes both to the energy transition of our customers in the aviation sector and to the industrial transition of our refineries. It therefore represents a real ‘win-win’ for the future of industry and aviation”, says Patrick Pouyanné, Chairman and CEO of TotalEnergies.

“For the past 10 years, we have been pioneers in the field, investing in biorefineries and SAF production facilities in France as well as developing coprocessing technologies in our refineries. Building on these industrial successes, we intend to continue this momentum in Europe and worldwide.”

“Securing the volumes of more sustainable aviation fuel needed to decarbonize our activity is a major challenge. This agreement with TotalEnergies is a further step in this direction, and a testament to our long-standing support for the development of SAF production in France and Europe. A solid SAF sector capable of meeting our industry’s needs is a key factor in Europe’ sovereignty and energy independence,” Benjamin Smith, Chief Executive Officer of Air France-KLM Group said.

The statement has also disclosed that for the past 10 years, TotalEnergies and the Air France-KLM Group have been working together to test and incorporate sustainable aviation fuel, a partnership which began in 2014 with “Lab’line for the Future”, a two-year experiment during which time the 78 Air France flights between Paris-Orly and Toulouse, and between Paris-Orly and Nice were fueled with 10% SAF supplied by TotalEnergies.

In January 2020, TotalEnergies and Air France took part, alongside Safran and Suez, in the Call for Expressions of Interest launched by the French government to encourage the emergence of a French SAF production industry.

Adding that since 2022, TotalEnergies has been supplying SAF to Air France-KLM Group airlines in France, as part of the French incorporation mandate.

Statement further revealed that TotalEnergies has been investing heavily in projects to produce more sustainable aviation fuel in France and Europe: That in Grandpuits, TotalEnergies is transforming the site into a zero-oil platform with an investment of 400 million euros, focusing mainly on the production of SAF from the circular economy then, Grandpuits will be able to produce 210,000 tons of sustainable aviation fuel by 2025, and an additional 75,000 tons by 2027.

In Normandy, TotalEnergies has started producing SAF at its Gonfreville refinery, this is with the intention to increase production to 160,000 tons of SAF per year by 2025.

At La Mède, the French Major has also invested 340 million euros to transform its refinery into a biorefinery. In 2024, it has invested an additional 70 million euros to process up to 100% waste from the circular economy to produce SAF by 2025. Adding that since the commencement of biodiesel production in 2021 at La Mède, TotalEnergies’ Oudalle plant near Le Havre has always been used to produce SAF.

And that in the meantime, TotalEnergies is studying the production of SAF through co-processing in its other European refineries by 2025.

Air France-KLM is a global player with a strong European base, with main areas of business to include passenger and cargo transports, as well as aeronautical maintenance. It is the leading airline Group in terms of international traffic on departure from Europe, offering its customers access to a worldwide network, and covering over 320 destinations.