IAG - Smart Energy Decisions

GHG Emissions, Industrial, Sourcing Renewables  -  November 26, 2024

IAG Signs SAF Deal

The International Airlines Group (IAG) announced a new sustainable aviation fuel (SAF) purchase agreement.

The agreement was signed with e-SAF producer Infinium, which plans to supply the U.K. market with power-to-liquid e-SAF starting in late 2026. 

Produced from water, waste CO2 and renewable energy, e-SAF is expected to reduce lifecycle GHG  emissions by approximately 90% compared to conventional jet fuel. This new class of fuel is not encumbered by feedstock limitations, has a higher degree of emissions reduction versus conventional jet fuel and has a relatively low land and water use footprint. It is also a "drop-in" replacement for aviation fuel that requires no changes to existing aircraft engine designs.

Under the terms of the 10-year agreement, Infinium will supply IAG with e-SAF to support any of its five airlines, Aer Lingus, British Airways, Iberia, LEVEL and Vueling. Last year, IAG airlines used approximately 12% of the world's supply of SAF.

As part of its sustainability strategy, IAG is also investing in new aircraft, implementing fuel efficiency initiatives, purchasing and investing in SAF and advancing carbon removals to reduce emissions from its operations.

"So far, we're on track to deliver our 10% 2030 SAF goal and agreements with innovators like Infinium, are key to reaching this target,” said Jonathon Counsell, IAG's Group Sustainability Officer, in a statement. “Aviation as an industry is working hard to decarbonize and policy should focus on solutions such as SAF, rather than only increasing costs which risk affecting the competitiveness of the European aviation industry. What the industry needs is additional policy support to attract funds to construct SAF plants and reduce aviation's reliance on fossil fuels."

The e-SAF will be produced at Infinium's Project Roadrunner facility, located in west Texas. Project Roadrunner is set to be the largest global producer of e-SAF once fully operational and has received funding commitments from Brookfield Asset Management and Breakthrough Energy Catalyst. Project Roadrunner is Infinium's second eFuels project following Project Pathfinder in Corpus Christi, Texas.

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