Zero Petroleum to launch feasibility study into new low-carbon aviation fuel production facility in Whyalla

Whyalla could become home to a new low-carbon aviation fuel production facility as the state government begins exploring the cost and feasibility of the technology.

The state government has thrown its support behind a feasibility study in collaboration with an industry consortium to develop a new low-carbon aviation fuel production facility. Picture: Emma Brasier

South Australia could become home to a new low-carbon aviation fuel production facility, helping to drive the industry’s transition to sustainable fuels.

Energy company Zero Petroleum, a leading producer of synthetic fuel, will explore the development of the facility in partnership with the state government and aviation industry.

The commercial-scale production plant – Plant Zero. SA – would be located at Whyalla in the Upper Spencer Gulf.

On Friday, the state government signed a letter of intent to support a feasibility study in collaboration with an industry consortium led by Adelaide Airport and Qantas.

The six-month long feasibility study project will investigate the technical, economic and environmental viability of a facility that could produce up to 10 million litres of synthetic aviation fuel, gasoline and diesel each year.

If it is ultimately given the green light, the project would create up to 150 full-time-equivalent jobs during the construction phase and 25 to 30 ongoing operational positions.

Energy and Mining Minister Tom Koutsantonis said South Australia’s leadership in renewable energy made it an ideal location for such a project.

“Hydrogen is a game-changer for industries striving to decarbonise, and aviation is no exception,” he said.

“By fostering innovative projects such as this and collaborating with major partners such as Zero Petroleum, Qantas and Adelaide Airport, we can drive the transition to sustainable fuels while cementing South Australia’s position at the

forefront of renewable energy and industrial transformation.”

Qantas chief executive officer Vanessa Hudson said Australia had the potential to be a global leader in the production of sustainable aviation fuel (SAF), which will be critical for the future of the aviation industry.

“These projects not only reduce emissions but also create more jobs, more economic benefit and fuel security,” she said.