Hyundai Oilbank Launches South Korean Era of Sustainable Aviation Fuel

From Pilot Exports to Domestic Service

After successful exports to Japanese carriers last year, Hyundai Oilbank now begins regular supply of Sustainable Aviation Fuel for the Korean Air route between Incheon and Kobe. The program will fuel ninety aircraft movements through twenty twenty six, giving the airline an immediate reduction in lifecycle emissions without altering equipment or schedules.

Innovative Production Platform

The refinery produces one hundred thirty thousand tonnes of biodiesel each year and applies advanced supercritical processing that works under elevated temperature and pressure while avoiding chemical catalysts. This approach accepts high acid, non edible feedstocks that do not compete with food markets. By simplifying purification steps, the method cuts both operating cost and waste generation, positioning the plant to scale additional aviation volumes rapidly.

Expansion to Blue Water Fleets

Hyundai Oilbank has already supplied ultra low sulfur biofuel to domestic and international shipping lines, demonstrating that the same infrastructure can serve multiple hard to abate sectors. The dual

market strategy diversifies revenue, strengthens supply chain resilience, and creates consistent demand for domestic feedstock growers.

Non-obvious Insight

The adoption of supercritical technology delivers an often overlooked benefit: it allows producers to swap feedstocks seasonally based on price and availability without lengthy reconfiguration. This flexibility transforms feedstock procurement from a fixed cost into a dynamic optimisation lever, enabling margin protection during volatile commodity cycles.

Conclusion

With stable airline contracts, flexible technology, and proven marine deliveries, Hyundai Oilbank showcases how an established energy company can pivot toward clean growth while supporting national climate goals. The initiative sets a blueprint for South East Asian refiners interested in entering the sustainable fuel arena.

Source – Pulse