Sarawak Positioned as Regional Hub for Sustainable Aviation Fuel Development

On September 8, SK SAF and its partner Oiltek announced the completion of a comprehensive feasibility study confirming a viable pathway to position Sarawak as a regional leader in sustainable aviation fuel (SAF). The project adopts a modular structure, combining a world-class SAF biorefinery with scalable Pre-Treatment Unit (PTU) hubs under a Build-Operate-Transfer-Maintain (BOTM) model.

The PTU will process up to 3 million tonnes of feedstock annually, including palm oil mill effluent (POME), used cooking oil (UCO), and palm fatty acid distillate (PFAD). Outputs will supply the SAF biorefinery or be exported to regional markets. Using Topsoe’s HydroFlex™ HEFA technology, the facility will produce SAF, renewable diesel (HVO), naphtha, and LPG.

Strategic benefits include feedstock security, early revenues, long-term value creation, and alignment with ICAO’s CORSIA standards, reinforcing Sarawak’s role in the global renewable fuel value chain.