US-based renewable fuel company Aemetis is set to supply 38 million gallons of blended sustainable aviation fuel (Saf) to Cathay Pacific Airways at San Francisco International Airport in California.

The two companies have signed an offtake agreement, under which Aemetis will deliver the SAF for a period of seven years.

The agreement will help Cathay Pacific Airways meet its goals to use SAF for 10% of its total fuel consumption by 2030 and reach net-zero carbon emissions by 2050.

Aemetis will produce the SAF at its renewable jet/diesel plant, which is currently under development.

Cathay Pacific will start receiving the blended fuel from 2025.

The fuel will contain 40% SAF and 60% Petroleum Jet A in order to comply with international blending norms.

Aemetis chairman and CEO Eric McAfee said: “The use of sustainable aviation fuel by Cathay Pacific is another step by the oneworld Alliance toward lowering the environmental impact of aviation.

“Sustainable aviation fuel is an immediate solution to the decarbonisation of air travel and cargo flights, without requiring extensive new fuelling infrastructure or the expensive replacement of planes.”

As Hong Kong’s home airline, Cathay Pacific offers scheduled passenger and cargo services to Asia, North America, Australia, Europe and Africa.

The Cathay Pacific Group also includes low-cost airline HK Express and express freighter airline Air Hong Kong.

Based in Cupertino, California, Aemetis acquires, develops and commercialises novel technologies designed to replace petroleum-based products and reduce greenhouse gas emissions.

The company’s patented Carbon Zero production process aims to decarbonise the transportation sector using current infrastructure.

Last month, International Airlines Group (IAG), the parent company of British Airways and Aer Lingus, signed a SAF supply agreement with Aemetis for its flights at San Francisco Airport.

Under the terms of the agreement, IAG will buy 78,400t of SAF over a period of seven years.