Kuala Lumpur, Malaysia – 28 February 2025 – Malaysia Aviation Group (MAG), the parent company of Malaysia Airlines and Firefly, has signed a Memorandum of Understanding (MoU) with FatHopes Energy Sdn Bhd (FHE), Malaysia's leading biofuel feedstock supplier, to explore the potential of used cooking oil (UCO) as feedstock for Sustainable Aviation Fuel (SAF) production in Malaysia.
Through this partnership, FHE will provide advisory expertise to MAG, ensuring UCO collection meets sustainability standards and regulatory requirements. FHE will also offer technical support to facilitate the collection, processing, and conversion of UCO into neat SAF, ensuring compliance with both environmental and industry regulations.
This collaboration is key to assessing the scalability of SAF production for national adoption. By evaluating the economic feasibility, environmental impact, and logistical challenges of collecting, processing, and converting UCO into SAF, the partnership aims to unlock SAF's full potential as a viable and sustainable alternative to conventional jet fuel, contributing to the aviation sector’s carbon footprint reduction.
FHE and MAG will actively collaborate with airports, fuel suppliers, and other airlines, leveraging shared expertise and best practices to enhance the efficiency and commercial viability of SAF development in Malaysia. This partnership will also focus on a comprehensive assessment of all airports within MAG’s network to evaluate existing infrastructure and identify necessary enhancements required for SAF deployment. This initiative aligns with the Airports of Tomorrow project, a joint effort by Airports Council International (ACI) World and the World Economic Forum (WEF), launched in June 2023. The project aims to accelerate aviation decarbonisation by transforming airports from traditional passenger hubs into dynamic energy centres, driving the sector towards its net-zero carbon emissions target by 2050. This collaboration builds on FatHopes Energy’s earlier partnership with Topsoe, focused on developing a SAF refinery in Malaysia using UCO and other water-based oils. Together, these efforts aim to establish a sustainable production ecosystem and resilient supply chain, further supporting Malaysia’s sustainability ambitions in the aviation sector.
Vinesh Sinha, Chief Executive Officer of FHE, expressed the significance of the partnership: “Our collaboration with Malaysia Aviation Group is a major step forward in decarbonising the aviation industry, particularly in Malaysia. With this partnership, we look forward to advancing our shared vision of a more sustainable future for aviation.”
Philip See, Group Chief Sustainability Officer of MAG, added: “As a global aviation organisation committed to reducing the industry's carbon footprint, we continuously seek innovative solutions to minimise the environmental impact of our operations. Partnering with FatHopes to explore SAF production from UCO presents a valuable opportunity to contribute to the aviation industry’s broader sustainability goals. This collaboration represents a significant step toward making SAF more accessible and scalable across our global network.”
In 2022, aviation emissions were estimated to account for 2% of global carbon dioxide (CO2) emissions, with growth outpacing other transportation sectors such as rail, road, and shipping. This underscores the urgent need for sustainable fuel solutions and the collaboration between FHE and MAG marks a crucial step in advancing the widespread adoption of SAF as a viable alternative to reduce aviation emission. For more information on FatHopes Energy and its other initiatives, please visit www.fathopesenergy.com About FatHopes Energy
FatHopes Energy is a pioneering force in sustainable energy solutions, specialising in the development of eco-friendly fats, oils, and grease solutions for advanced biofuel production. With a comprehensive approach to the entire biofuel production cycle, the company caters to diverse clientele, ranging from smaller-scale establishments to global oil and gas companies. Headquartered in Malaysia, FatHopes Energy is committed to making a positive impact on the environment while contributing to the global shift towards renewable energy sources.
About Malaysia Aviation Group
Malaysia Aviation Group (MAG) is a global aviation organisation comprising three focused business portfolios from Airlines, Loyalty and Travel Services (LTS) and Aviation Services.
Its current Airlines business portfolio that serves the global, domestic and segmented market comprises Malaysia Airlines – the national carrier of Malaysia, Firefly and MASwings – the regional airlines focused on serving communities across Malaysia, and AMAL by Malaysia Airlines – leading one-stop pilgrimage travel solutions centre.
MAG also focuses on Aviation Services business such as maintenance, repair and overhaul (MRO), cargo, ground handling and training that houses MAB Engineering, MASkargo – one- stop cargo logistic and terminal operations service provider, AeroDarat – one-stop ground handling solution provider and Malaysia Airlines Academy – one-stop Aviation and Hospitality Centre of Excellence.
The Loyalty and Travel Services (LTS) business portfolio focuses on providing end-to-end travel solutions and loyalty programs, complementing its established strength and expertise in the airline and aviation service businesses. It comprises Journify - the integrated one-stop travel and lifestyle digital platform, Enrich – the award-winning Travel & Lifestyle Loyalty Programme of Malaysia Airlines; and MHholidays and Firefly Holidays – the tour operating arm for the Group.
With the clear business portfolios, MAG is set to achieve its vision anchored on becoming Asia’s Leading Travel and Aviation Services Group, focused on delivering highly customised, end-to-end travel solutions by 2025.
For media enquiries, contact:
Tommy Chen tommyjy.chen@hillandknowlton.com
+60 16-359 8083
Wardah Ramlan nurwardah.ramlan@hillandknowlton.com
+60 11-2194 0713
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