Virgin Australia and Qatar Airways have joined forces with Renewable Developments Australia (RDA) to spearhead the development of a groundbreaking Sustainable Aviation Fuel (SAF) production facility in North Queensland.
The proposed facility, to be established in the Charters Towers Region, will utilise cutting-edge Ethanol to Jet (EtJ) technology to convert bioethanol derived from locally grown sugarcane into 100% SAF. The project will employ PureSAFSM technology from KBR and will be entirely energy self-sufficient, setting a new benchmark for sustainability in aviation fuel production.
Expected to produce up to 96 million litres of SAF annually, the facility is projected to achieve a 70% reduction in lifecycle greenhouse gas emissions compared to traditional jet fuel. The fuel will be supplied to nearby airports, bolstering Australia’s domestic aviation sustainability efforts.
Strengthening Airline Commitments to Sustainability
This initiative aligns with the Memorandum of Understanding (MoU) signed by Virgin Australia and Qatar Airways in October 2024, which set out a collaborative strategy to advance the use of SAF and Low Carbon Aviation Fuels (LCAF) in Australia.
Virgin Australia Chief Corporate Affairs and Sustainability Officer, Christian Bennett, highlighted the importance of partnerships in reaching net zero carbon emissions by 2050.
“The commercial aviation sector faces an enormous challenge in reducing carbon emissions, and achieving these goals will require collaboration between industry leaders and government,” Mr Bennett said. “Developing a domestic SAF industry is crucial not only for emissions reduction but also for strengthening Australia’s liquid fuel security and creating regional jobs.”
A Qatar Airways spokesperson reiterated the airline’s commitment to sustainable aviation, stating: “The development of SAF infrastructure is crucial for the long-term sustainability of the aviation sector in Australia and worldwide. This initiative reflects the broader benefits of our strategic partnership with Virgin Australia.”
Industry and Government Support
The project has also secured the endorsement of The Boeing Company (TBC), which has committed to providing technical expertise and policy advocacy to support SAF development in Australia.
Queensland Treasurer and Minister for Energy, David Janetzki, welcomed the announcement, noting the potential economic and environmental benefits for the state.
“Today’s announcement positions Queensland as a leader in sustainable aviation fuel production,” he said. “The new government is committed to advancing the sustainable fuels industry, which will drive economic growth and job creation in regional Queensland.”
A Step Towards a Greener Future
RDA’s Managing Director, Tony D’Alessandro, described the project as a significant milestone in Australia’s SAF industry.
“We are proud to collaborate with globally recognised airlines that share our vision for a domestic SAF supply,” he said. “This facility will not only drive emissions reductions but also enhance energy security and regional economic development.”
Currently in the pre-final investment decision stage, the project aims to commence SAF production by early 2029, marking a major step towards a more sustainable future for Australia’s aviation sector.
