JetBlue Begins Regular Distribution of Blended SAF for Commercial Travel in New York

On July 31, 2024, JetBlue and World Fuel Services (World Fuel), a World Kinect (NYSE: WKC) company, announced a new commercial agreement to introduce the first regular supply of Blended Sustainable Aviation Fuel (SAF) to John F. Kennedy International Airport (JFK). The SAF will be provided by Valero Marketing and Supply Company (Valero), a subsidiary of Valero Energy Corporation (NYSE: VLO), starting as early as the fourth quarter of 2024. According to the initial 12-month agreement, JetBlue will receive at least 1,000,000 gallons of neat sustainable aviation fuel (approximately 3,300,000 gallons blended) with an option to purchase up to an additional 4,000,000 gallons (approximately 13,300,000 gallons blended). The blended SAF will be supplied via existing infrastructure, including the Colonial Pipeline.

“This new availability of SAF in our hometown is a significant indicator of the increasing commitment from major fuel producers and the potential of SAF to substantially reduce aviation’s carbon emissions,” said Sara Bogdan, managing director of sustainability and environmental social governance at JetBlue. “By harnessing Valero’s globally recognized expertise in energy markets and logistics and utilizing existing jet fuel distribution infrastructure, this large-scale supply of SAF marks a pivotal moment for the industry's adoption of SAF. To fully maximize this opportunity, engagement across all sectors will be essential.”

As New York’s Hometown Airline®, JetBlue has consistently sought to introduce blended SAF to the Northeast and aims to maximize supply through partnerships with other like-minded New York businesses. The airline anticipates that, with continued corporate support and incentive programs, this initial step will pave the way for an expanding blended SAF market within one of the world's busiest airport systems.

Neat sustainable aviation fuel, manufactured by Diamond Green Diesel, LLC, a joint venture between a Valero affiliate and Darling Ingredients Inc. (NYSE: DAR)—will be blended with conventional jet fuel by Valero to create blended SAF, which will be delivered by World Fuel. Blended SAF is compatible with current aircraft and infrastructure. Neat sustainable aviation fuel is made from a variety of feedstocks, including agricultural wastes and used cooking oils, and can reduce lifecycle GHG emissions by approximately 80% compared to conventional jet fuel. Under this agreement, the fuel is expected to be delivered through existing jet fuel distribution infrastructure and utilized by JetBlue in New York.

World Fuel, a global energy management company serving over 150,000 customers across aviation, marine, and land-based transportation sectors, will handle the logistics and distribution of blended SAF under this agreement. As an ISCC-certified trader, World Fuel plays a crucial role in ensuring a traceable supply chain from production to delivery.

“It requires collaboration across the entire supply chain to expand the blended SAF market and achieve the aviation industry’s goals. We are proud to partner with JetBlue to bring blended SAF to one of our major airport locations, furthering our commitment at World Fuel to establish a reliable supply network for SAF on the US East Coast,” said Brad Hurwitz, senior vice president of supply and trading at World Fuel.

On July 30, 2024, due to state-level programs promoting the use of renewable fuels, most domestically supplied blended SAF is delivered to West Coast airports. To expand SAF supply to more cities and achieve economies of scale, collaboration between the public and private sectors is essential.

By partnering with JetBlue and purchasing more blended SAF through JetBlue-issued SAF certificates, corporate partners can reduce their business travel emissions and support the growth of the blended SAF market. With the new supply of blended SAF at JFK, JetBlue is encouraging New York businesses to partner with the airline to increase the availability of blended SAF in their hometown.

“As a global hub for travel and commerce, New York has the potential to be recognized as a center for responsible business as well,” said Sara Bogdan, managing director of sustainability and environmental social governance at JetBlue. “We’re calling on companies that benefit from the convenient flights to and from our New York area airports to help demonstrate the demand and interest for more sustainable options.”