The duo reached a memorandum of understanding (MoU), under which they plan to deliver up to 1.8 million metric tonnes of green fuel from 2024 to 2030.
Lufthansa Group, said to be Europe’s largest SAF client, believes that the partnership would help it ‘promote the availability, market ramp-up and use of SAF as an essential element for a CO₂-neutral future of aviation.’
The carrier looks to retain its position as one of the leading airlines globally to use sustainable kerosene.
As for Shell, the agreement aligns with its 2030 target of attaining at least 10% of its global aviation fuel sales as SAF.
It is said to be the largest SAF pledge by the two entities so far and an important commercial SAF cooperation in the aviation space.
SAF does not require crude oil or natural gas for its production and generates fewer carbon emissions compared to conventional kerosene.
Lufthansa Group said that it has undertaken research on SAF for several years and developed a wide network of tie-ups for the launch of sustainable next-generation aviation fuels.
It is prioritising power-to-liquid and sun-to-liquid technologies that utilise renewable energies or solar thermal energies.
Lufthansa was recently in the news for a strike by its ground staff over wages.
The walkout hit operations at Frankfurt (FRA), Berlin (BER), Düsseldorf (DUS), Cologne (CGN), Hamburg (HAM) and Munich (MUC) airports.