PPP project for SAF production is under study: State-owned firms EgyptianPetrochemicals Holding Company (ECHEM) and Alexandria National Refining and Petrochemicals Company (ANRPC) are considering teaming up with an undisclosed local private-sector player to establish a USD 380 mn sustainable aviation fuel (SAF) project with an estimated production capacity of 120k tons a year, writes Asharq Business, citing an anonymous government source.

The details: A financial study for the project will wrap up in April, with work on the projectscheduled to start at the end of 2026, according to the source. Some USD 280 mn will be funded by external lenders.

Who will own what? ECHEM will be the majority shareholder with a 70% stake, while ANRPCand the private sector company will each own 15%.

Climate-friendly fuel: SAF is a biofuel used to power aircraft that is made from non-petroleum feedstock such as waste cooking oil, animal fats, and non-food crops. It can reduce carbon emissions by up to 80% compared to traditional jet fuel. Aviation was responsible for 2% of energy-related carbon emissions in 2022, the International Energy Agency’s most recent figures show.

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