SOCAR Türkiye and Pegasus Airlines have signed a strategic cooperation agreement to advance sustainable aviation fuel (SAF) initiatives in Türkiye and beyond, the companies announced on July 27, 2026.

The agreement establishes a framework for the two organizations to collaborate on identifying SAF-related needs in Türkiye, conducting feasibility studies for developing the SAF value chain, implementing business development and awareness activities, and evaluating cooperation opportunities related to sustainable aviation fuels in Türkiye and other geographies.

SOCAR Türkiye, described as the country's largest integrated industrial group, is focusing on innovation and new energy solutions in SAF production, supply chain, and technological partnerships. Pegasus Airlines, a global carrier, will contribute by determining market needs for SAF usage and leveraging its knowledge and experience in the effective use of SAF in the aviation fuel value chain.

Under the agreement, the parties will establish a joint working group comprising senior executives to evaluate preparations for the production and use of sustainable aviation fuels. The initiative aims to reduce the aviation sector's carbon footprint and support the development of a sustainable aviation ecosystem in Türkiye.

SOCAR Türkiye CEO Elchin Ibadov emphasized that sustainability is a strategic priority for the company. "As SOCAR Türkiye, we view energy transformation as a long-term responsibility and place great importance on developing new cooperation models with a focus on sustainability," Ibadov said. "This agreement we have signed with Pegasus represents an important step toward evaluating Türkiye's potential in sustainable aviation fuels and addressing future cooperation opportunities."

Pegasus Airlines CEO Güliz Öztürk highlighted the importance of sustainable fuels in aviation. "The future of aviation can only be shaped with confidence when sustainable solutions are pursued with determination," Öztürk said. "Since 2022, we have been using SAF in increasing volumes and across a wider geography. This agreement will allow us to further deepen our expertise in sustainable aviation fuels while contributing to the development of the SAF ecosystem in Türkiye."

Why it matters

This partnership brings together a major energy producer and a leading low-cost carrier to address a critical bottleneck in SAF adoption: the gap between fuel supply and airline demand. By jointly conducting feasibility studies and forming a working group, the agreement moves beyond typical offtake commitments toward coordinated infrastructure planning. For Türkiye, which has significant refining capacity and geographic advantages as an aviation hub, the collaboration could accelerate domestic SAF production and position the country as a regional supplier. The involvement of Pegasus, which already uses SAF, provides practical demand-side insights that can shape production decisions. However, the agreement remains at the exploratory stage, and tangible outcomes will depend on the working group's findings and subsequent investment decisions.