A Historic Collaboration

What happens when industry giants like Petronas, Eni, and Euglena join forces? They set the stage for a revolution in biofuels. The trio has announced a partnership to establish a biorefinery within Petronas' Pengerang Integrated Complex (PIC) in Johor, Malaysia. This project, scheduled to kick off in the fourth quarter of 2024, promises to be operational by the second half of 2028. Petronas Mobility Lestari and Enilive are set to be the largest shareholders in this venture to advance biofuel technology and production.

Innovative Production Capabilities

The biorefinery is designed to process an impressive 650,000 tonnes of raw materials annually, producing sustainable aviation fuel (SAF), renewable diesel, and hydrogenated vegetable oil (HVO). Leveraging Eni's cutting-edge Ecofining technology, developed with Honeywell UOP, the facility will offer flexibility in processing diverse feedstocks. From used vegetable oils to microalgae oils, this plant will cater to the growing demands of the global aviation and transportation sectors as they look to reduce their carbon footprints.

Location and Environmental Impact

Located within PIC, the biorefinery will benefit from integrated facilities and utilities, ensuring efficient operations. Its proximity to feedstock sources and international shipping lanes makes it a logistical dream. This setup not only maximises production but also reduces carbon emissions. Ahmad Adly Alias, Petronas’ vice president, emphasised that this project would cement their position in the biofuels value chain and contribute to an integrated bio-based ecosystem. 

Global Ambitions and Local Impact

Enilive’s CEO, Stefano Ballista, pointed out that this initiative is crucial for reaching their 2030 goal of over 5 million tonnes of biorefining capacity per year, including up to 2 million tonnes of SAF. Meanwhile, Mitsuru Izumo, founder of Euglena, pinpointed their role in advancing microalgae research and supplying algae oil to the global market. This collaboration will be an important contributor to rising biofuel demands in ASEAN countries. Will Malaysia become the new hub for sustainable aviation fuel? With this investment, they are off to a good start and competitors should take note.