Sourcing Renewables  -  April 23, 2021

Southwest Airlines and Phillips 66 Partner on SAF Development

Southwest Airlines is teaming up with Phillips 66 to support the development and commercialization of sustainable aviation fuel.

The two companies completed a memorandum of understanding April 22 for the project, which will focus on public awareness, research and development. Under the MoU, the two will explore the possibility of a future supply agreement for Phillips 66’s Rodeo Renewed project in California.

The Rodeo Renewed project would entail a conversion of the San Francisco Refinery in Contra Costa County, Calif., into one of the world’s largest renewable fuels facilities. The project is expected to be completed in early 2024, when it would begin producing an initial 800 million gallons per year of renewable fuels.

“Southwest Airlines welcomes projects like Phillips 66’s proposed Rodeo refinery conversion to scale up the SAF industry, bringing lower-carbon SAF to market in meaningful quantities and thus helping Southwest meet our carbon-reduction goals,” Stacy Malphurs, Southwest’s vice president of supply chain management and environmental sustainability, said in a statement. “Given Southwest’s extensive operations in the Bay Area and throughout California, we’re ideally positioned to benefit from any SAF production by Phillips 66 at Rodeo.”

Southwest Airlines is a member of Airlines for America, which recently committed all its members to carbon neutrality by 2050, and plans to expand its deployment of sustainable aviation fuel to 2 billion gallons for U.S. aircraft operators by 2030.

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