PETRONAS, Enilive, and Euglena Co. Ltd. (Euglena) have reached the final investment decision (FID) to develop a biorefinery in Johor, Malaysia, within PETRONAS’ Pengerang Integrated Complex (PIC).

The three companies will establish a joint venture company in Malaysia to construct and operate the biorefinery. PETRONAS Mobility Lestari Sdn Bhd (PMLSB), a subsidiary of PETRONAS, and Enilive will be the largest shareholders.

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The biorefinery is expected to be operational by the second half of 2028. It will have the capability to produce Sustainable Aviation Fuel (SAF) and other biofuels, such as Renewable Diesel/ Hydrogenated Vegetable Oil (HVO), to cater to the growing demands of the global aviation and transportation industries by tapping each partner’s expertise.

The construction of the biorefinery is expected to begin in the fourth quarter of this year. Upon completion, it will be capable of processing about 650,000 tonnes per year of raw materials to produce SAF, HVO, and bio-naphtha

Objectives of the Project

The purpose-built new biorefinery is designed to be fully flexible regarding feedstock processability. It has state-of-the-art Ecofining (a technology developed by Eni in cooperation with Honeywell UOP) and a pre-treating unit and products. Its configuration can maximize the production of aviation fuel for the sustainable aviation fuel market.

The biorefinery's waste and residue feedstocks will comprise used vegetable oils, animal fats, waste from vegetable oil processing, and other biomass, including microalgae oils, which will be explored in the mid-term. Leveraging PETRONAS’ PIC integrated facilities and utilities; the biorefinery will be strategically located close to feedstock supply sources. The refinery will play a pivotal role in the global biorefinery market.

Read: Shell Takes Final Investment Decision on 100 MW Green Hydrogen Project in Germany

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