Singapore Airlines (SIA) has taken a significant step forward in its long-term decarbonization strategy by signing a binding purchase agreement with sustainable fuel innovator Aether Fuels. Under the terms of the new agreement, the carrier will acquire sustainable aviation fuel (SAF) produced from waste carbon feedstock, manufactured at a pioneering facility located right within Singapore.
The strategic partnership marks an important milestone for both companies as the aviation industry continues to grapple with the immense challenge of reducing its global carbon footprint. For Singapore Airlines, the transaction directly supports its ongoing efforts to develop, secure, and scale new lower-carbon fuel production capabilities, reinforcing a commitment to achieving net-zero carbon emissions by 2050. At the same time, the agreement provides crucial commercial validation for Aether Fuels, offering guaranteed market demand for a novel fuel production pathway that promises to diversify the feedstocks available to the aviation sector.
Founded in 2022 and headquartered in Singapore, Aether specializes in developing advanced technology designed to produce sustainable liquid fuels tailored for hard-to-abate sectors like aviation and maritime transport. The company’s proprietary conversion technology is engineered to create high-quality drop-in fuels from virtually any feedstock capable of being converted into carbon monoxide, carbon dioxide, methane, or hydrogen. This includes captured carbon dioxide, industrial waste gases, biogas, gasified municipal solid waste, and various forms of waste biomass.
Under the newly minted binding agreement, Singapore Airlines is set to purchase up to 4,800 tonnes of SAF over a three-year period, with scheduled deliveries slated to commence in 2028. This volume represents a vital early-stage commitment that will help establish the operational groundwork for the fuel’s commercial deployment.
The sustainable aviation fuel purchased by SIA will be manufactured at Project Beacon, which is Aether’s planned commercial-scale production facility. The plant is set to be established within the refining complex operated by energy and chemicals company Aster on Pulau Bukom in Singapore.
Project Beacon represents a departure from traditional SAF manufacturing routes. While a significant portion of the global SAF supply currently relies on the hydroprocessed esters and fatty acids (HEFA) pathway—which predominantly utilizes lipid-based feedstocks such as used cooking oils and animal fats—Project Beacon will adopt a different technological approach. The facility will convert biomethane and industrial waste gases directly into high-grade aviation fuel. By tapping into these alternative waste streams, the facility aims to bypass some of the supply constraints and competition associated with traditional lipid-based feedstocks, opening up a scalable new avenue for green fuel production.
Conor Madigan, Co-Founder and Chief Executive Officer of Aether Fuels, reflected on the rapid progress of the partnership and the significance of the binding contract.
"When we signed our MOU with Singapore Airlines last year, Project Beacon had not yet been announced," Madigan said. "Since then, we have selected Singapore as the home of our first commercial facility and built critical partnerships across the local value chain. This binding agreement is an important next step and a strong signal of committed demand from a leading global airline—exactly the type of collaboration needed to create the commercial conditions to bring new SAF pathways to scale."
The agreement carries notable distinctions for both organizations. For Aether Fuels, SIA is the first commercial airline to commit to purchasing SAF produced at the upcoming Project Beacon facility. For Singapore Airlines, the deal represents its inaugural purchase of aviation fuel manufactured using innovative technologies that convert waste carbon feedstocks rather than conventional bio-oils.
Lee Wen Fen, Chief Sustainability Officer at Singapore Airlines, emphasized the importance of the partnership within the framework of the carrier’s broader environmental objectives.
"Supporting the development and adoption of SAF, and securing future supplies, are integral to SIA’s ambition of achieving net zero carbon emissions by 2050," Lee stated. "As the first airline to purchase SAF from Project Beacon, SIA is demonstrating demand for new lower-carbon fuel production pathways in Singapore."
As the aviation industry faces mounting regulatory pressures and increasing expectations from travelers, corporate customers, and governments to address its climate impact, the scaling of alternative fuel solutions remains a critical priority. Traditional jet fuel alternatives have faced severe supply bottlenecks, making long-term offtake agreements like the one between Singapore Airlines and Aether Fuels essential for incentivizing infrastructure investment. By backing novel technologies that transform industrial waste and captured carbon into aviation fuel, SIA and Aether are contributing to the diversification and resilience of the green fuel market, laying down a marker for how regional innovation and airline commitments can intersect to drive the global energy transition forward.
