ALMATY – In a significant move towards sustainable aviation, KazMunayGas (KMG), the national oil and gas company of Kazakhstan, has engaged in pivotal discussions with Vietnam’s SOVICO Group to explore projects centered on the production of sustainable aviation fuel (SAF).

According to Trend News Agency, the discussions were held between Askhat Khassenov, Chairman of the Board at KMG, and Nguyen Thanh Hung, Chairman of the Board at SOVICO Group. The talks resulted in an agreement to establish special groups for in-depth examination of the collaborative projects discussed.

This collaboration traces back to a memorandum of understanding signed during the official visit of Kazakhstan’s President Kassym-Jomart Tokayev to Vietnam last August, laying the groundwork for cooperation in various sectors including geological exploration and aviation fuel supplies. The partnership reflects a strategic alignment with the low-carbon development objectives outlined by Kazakhstan’s Samruk-Kazyna Sovereign Wealth Fund. Under this framework, SAF consumption targets are set to increase incrementally, reaching 5 percent by 2040, 15 percent by 2050, and 25 percent by 2060.

KazMunayGas is strategically positioned to support these initiatives, with its three major oil refineries prepared to produce Jet A-1 aviation fuel, which can be blended with SAF to meet future demands. Additionally, Kazakhstan has proactively established a backup strategy to accelerate the transition to new fuel types, highlighted by a strategic partnership between Air Astana Airlines and PetroChina International Kazakhstan. This partnership focuses on jet fuel supply and the development of necessary infrastructure to facilitate the switch to Jet A-1 fuel.

The ongoing discussions and subsequent agreements between KazMunayGas and SOVICO Group signify a crucial step towards enhancing sustainable energy solutions in the aviation sector, aligning with global environmental goals and national development plans.