Chinese biofuel company Zhejiang Jiaao announced on its WeChat account late Thursday that it has entered into an investment agreement with BP focused on sustainable aviation fuel. The statement did not disclose the financial details of the deal.
Jiaao is in the process of constructing a sustainable aviation fuel plant in Lianyungang, a major port and petrochemical hub in eastern Jiangsu province, with a planned capacity of 500,000 metric tons per year.
As one of China’s leading biodiesel producers, Jiaao serves major global oil companies including Shell, Exxon Mobil, and TotalEnergies.
According to data from Airbus, using sustainable aviation fuel can reduce CO2 emissions by approximately 80% compared to conventional jet fuel.
