Dubai: Qatar Airways plans to become the world's first airline to operate its fleet on jet fuel derived from natural gas, an official said yesterday.

The state-owned airline is partnering with Royal Dutch Shell and Qatar Petroleum to produce jet fuel from gas reserves mined at the country's North Field.

"We're looking at this very seriously and have vowed to become the first airline to do this," said Ali Al Rais, general manager of commercial operations at Qatar Airways.

With oil threatening to top $100 a barrel, he said the new fuel source would be a welcome alternative for the rapidly growing airline at a time when the industry has grappled with soaring fuel costs.