Cepsa, Apical to build $1.11 billion SAF plant in Spain

Cepsa, a Spanish oil business, has partnered with Apical Group’s Bio-Oils unit to construct a $1.11 billion second-generation biofuels factory in southern Spain. Reportedly, the facility, which will be operational in 2026, will be the largest in Southern Europe. It will be able to produce 500,000 tonnes of sustainable aviation fuel (SAF) and renewable diesel annually from organic waste, such as discarded cooking oils. Biofuels are seen as key to decarbonise transportation in sectors hard to electrify, like aviation.

As per the company’s statement, building and operating the facility, which will be in the southern Spanish region of Andalusia, will create around 2,000 direct and indirect jobs and save 1.5 million tons of carbon dioxide emissions per year. The project will help the oil company achieve its goal of producing 2.5 million tons of biofuels by the end of the decade.

In December 2022, Cepsa would generate green hydrogen at its San Roque Energy Park by reusing recycled water from a wastewater treatment plant. In order to achieve this, the company had a contract in place with the publicly traded company Aguas y Servicios del Campo de Gibraltar for the supply of recycled water from the urban effluents of the municipalities of San Roque and Los Barrios at its industrial facilities.