S-Oil Corporation

04/04/2024 | Press release | Distributed by Public on 04/04/2024 23:07

● S-OIL acquired three types of green certifications on sustainab...

● S-OIL acquired three types of green certifications on sustainable and low-carbon products.

- As it obtained ISCC CORSIA in the aviation area for the first time among Korean refiners, it will start SAF production.

- S-OIL acquired ISCC EU, which is in compliance with the EU's Renewable Energy Directive. It will pave the way for the company to enter Europe's biofuel market.

- It also acquired ISCC PLUS, a voluntary certification system for the use of sustainable biomass and circular resources.

● S-OIL took the first step toward a pivot to a clean energy supplier to achieve sustainable growth amid the global decarbonization trend.

S-OIL (CEO Anwar Al-Hejazi) has acquired three types of green certifications on sustainable and low-carbon products from the international green certification system, International Sustainability & Carbon Certification (ISCC), at the same time. It received the three ISCC certifications through the global certification body Control Union at its headquarters building in Mapo-gu, Seoul on Apr. 4.

S-OIL obtained the ISCC Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) for the first time among Korean refiners, which officially certifies the production of sustainable aviation fuel (SAF) in the international aviation. Alongside this, it simultaneously received ISCC EU, which certifies the production of low-carbon fuel products as stated in the EU's Renewable Energy Directive (RED), and ISCC PLUS, eco-friendly product certification in the voluntary market.

In particular, ISCC CORSIA will allow S-OIL to produce CORSIA-certified SAF for the first time in Korea. Since January, the refiner has incorporated bio-based raw materials such as waste cooking oil and palm byproducts, etc. into its refining processes to produce fuel products, and the latest acquisition of the certification will set the stage for the company to produce SAF that can slash GHG emissions by roughly 90% compared with conventional jet fuels, thereby allowing it to contribute greatly to decarbonization in the aviation area.

The International Civil Aviation Organization (ICAO) under the UN ran CORSIA in the international aviation area on a trial basis from 2021 to 2023 to reduce GHG emissions there. Starting this year, air carriers in 126 countries, including Korea, are participating in the program voluntarily. The program will become mandatory from 2027, applying to all air carriers around the world.

Once CORSIA becomes mandatory, SAF demand is expected to surge amid global efforts to decarbonize the aviation area. The aviation industry projects SAF to become an irreplaceable fuel in the aviation area, considering its technological specialty and safety.

"As S-OIL acquired the international certification to produce SAF that meets CORSIA requirements for the first time in Korea, it can contribute substantially to protecting land through the use of bio-based raw materials and conserving biodiversity, not to mention cutting GHG emissions in the aviation area," Ryu Yul, S-OIL President for Corporate Strategy and Services, said. "The latest acquisition of the certification is the first step toward S-OIL's pivot to a clean energy supplier to achieve sustainable growth, and we'll further strive to distribute biofuels and circular products that can contribute to building a resource circulation structure in order to align ourselves with the global decarbonization trend."

S-OIL's simultaneous acquisition of ISCC EU and ISCC PLUS is also expected to serve as an opportunity to contribute extensively to vitalizing the biofuel industry and further fostering the circular economy.

ISCC EU is a certification that companies must acquire to export biofuels in the European market. S-OIL is projected to effectively pursue the sustainability and market expansion of its fuel business as it becomes capable of producing biofuels that comply with the renewable energy guidelines of the European Union.

ISCC PLUS is a voluntary certification system for the use of sustainable biomass and circular resources. It is used to demonstrate the sustainability of the use of circular resources and biomass on a voluntary basis. S-OIL will take the acquisition of ISCC PLUS as an opportunity to spur the production of circular chemicals.