Cepsa and Bio-Oils create JV for 2G biofuel plant in Huelva

In Spain, Cepsa and Bio-Oils, Apical’s biofuels entity in Huelva, have created a joint venture to promote the production of second generation (2G) biofuels through the construction of the largest plant in southern Europe, announced by Cepsa last March. The facility, to be located at Cepsa’s La Rábida Energy Park in Palos de la Frontera (Huelva), will entail an investment of up to 1 billion euros, one of the largest private investments in the history of the southern Spanish region of Andalusia.

The new plant will secure the majority of the feedstock supply from organic waste such as agricultural residue or used cooking oils through a global, long-term agreement with Apical, Bio-Oils’ parent company, enabling it to address one of the key challenges facing the industry: access to feedstock. 2G biofuels promote the circular economy by using waste for their production that would otherwise end up in landfills.

Cepsa will contribute its technical expertise and experience in the development of large industrial projects and fuel production as well as its knowledge of the European market and the decarbonization goals of its customers in the transport sector. Apical and Bio-Oils will ensure the supply of raw materials and contribute their own expertise in biofuels production.