Spanish multinational oil and gas company Cepsa and the European Investment Bank (EIB) have signed a €285M (US$312M) loan agreement to finance the construction of an advanced biofuels plant in Spain.
Spanish multinational oil and gas company Cepsa and the European Investment Bank (EIB) have signed a €285M (US$312M) loan agreement to finance the construction of an advanced biofuels plant in Spain.
Built in conjunction with Bio-Oils, the new facility would be built next to the La Rábida Energy Park in Palos de la Frontera, Andalusia, Cepsa said on 27 June.
Once operational, Cepsa said the plant would produce sustainable aviation fuel (SAF) and renewable diesel (HVO) from organic waste such as used cooking oil (UCO) or agricultural waste.
The company said it expected the facility to produce up to 500,000 tonnes/year of second-generation biofuels for the aviation, maritime and heavy-duty road transport sectors from up to 600,000 tonnes of waste.
“This project will contribute to make Spain one of the leading countries in the production of biofuels,” Gilles Badot, director of EIB operations for Spain and Portugal, said.
As part of its roadmap to cut its emissions, Cepsa has said it would reduce its CO2 emissions (scope 1 and 2) by 55% compared to 2019 levels by 2030 and aimed to achieve net-zero emissions by 2050. Following that, the company said it planned to go further by providing a net-positive contribution.
The EIB is the European Union’s long-term lending institution and is owned by member states financing investments that further EU policy objectives.
