DHL Express, Phillips 66 advance SAF usage in US through major multiyear agreement

Photo: DHL Express

DHL Express announced Nov. 18 a significant sustainable aviation fuel (SAF) agreement with Phillips 66, a leading integrated downstream energy provider and SAF producer headquartered in the United States.

This agreement will see the delivery of over 240,000 metric tons of SAF over a three-year period, aimed at reducing lifecycle greenhouse-gas (GHG) emissions by approximately 737,000 metric tons compared to conventional jet fuel, marking a major milestone in DHL’s commitment to sustainability.

The majority of the SAF will be delivered to Los Angeles International Airport (LAX), DHL’s U.S. West Coast gateway, with future intended deliveries to other West Coast airports where DHL maintains operations, such as San Francisco International Airport (SFO).

Utilizing a book-and-claim approach, DHL Express is able to manage its carbon footprint through the use of sustainable fuels in the aviation sector.

The SAF will be produced at Phillips 66’s Rodeo Renewable Energy Complex in California, one of the world’s largest renewable fuels facilities with a production capacity of 150 million gallons per year of neat SAF. 

“This agreement with Phillips 66 is a significant milestone for DHL Express as we work towards our sustainability goals,” said Travis Cobb, DHL Express’ executive vice president of global operations and aviation. “By securing a reliable supply of SAF, we are not only reducing our carbon emissions—and those within our customers’ supply chains—but also setting a precedent for the logistics and air-cargo industries in the U.S. Our collaboration with Phillips 66 underscores our commitment to a lower-carbon future and demonstrates the importance of sustainable practices in our operations.”

Brian Mandell, Phillips 66’s executive vice president of marketing and commercial, added, “This agreement between Phillips 66 and DHL demonstrates our shared commitment to SAF market leadership and credible action in the growing SAF industry. Through our global renewable fuel business, we are committed to supporting DHL and our customers in achieving their decarbonization goals. Our agreement with DHL showcases cross-industry collaboration, and together, we aim to drive progress toward sustainable solutions in the aviation sector.”

The agreement with Phillips 66 represents one of the largest SAF deals by a U.S. producer and for the overall air-cargo sector, paving the way for future collaborations in the SAF space.

DHL Express said it has a long-standing commitment to sustainability, and this deal aligns with its broader strategy to achieve net-zero GHG emissions by 2050.

DHL Express has been actively securing SAF partnerships worldwide including in the Europe, America and Asia-Pacific regions since 2021, and the company said this new agreement exemplifies its dedication to leveraging SAF to address its air-freight carbon footprint effectively.

This agreement will contribute significantly to DHL’s GoGreen Plus service, which enables customers to reduce their scope 3 GHG emissions using SAF.

“Through innovative solutions like this, DHL Express continues to lead the logistics industry in addressing climate change while providing reliable and efficient services to its customers,” DHL Express stated.