Cepsa will invest 1 billion in a second generation biofuel plant in Huelva
Cepsa will build a new second generation (2G) biofuel plant in Palos de la Frontera (Huelva), which will involve an investment of up to €1 billion. This new plant, which will be located in the La Rabida energy park, will produce both renewable diesel and SAF (Sustainable Aviation Fuel, for its English acronym) and will mean the creation of up to 1,600 jobs, both direct and indirect, during the construction phase, the company reported today.
The 2G biofuel will be made from organic waste, such as used cooking oil or agricultural waste, among others. These biofuels promote a circular economy, by using waste to produce them that would otherwise end up in landfills.
Positive movement strategy
The company explains that the use of biofuels can reduce carbon dioxide emissions by up to 90% compared to conventional fuels, which is why it is a key component in advancing the energy transition and promoting the decarbonization of transportation, especially in sectors where electrification is very critical. Complex, such as heavy transportation by land, air and sea.
The construction of this new plant responds to the company’s goal to become a benchmark in the energy transition this decade, and to lead biofuel manufacturing in Spain and Portugal, with annual production 2.5 million tons, Of which 800 thousand tons will be from the Sudanese Armed Forces. As part of its 2030 strategy, “Positive Movement”, Cepsa is promoting the development of an ecosystem focused on accelerating decarbonization and that of its customers, through the production of green molecules, especially hydrogen and renewable biofuels.
In its strategic plan, the company has established ambitious roadmap To reduce its emissions, to position itself among the leading companies in its sector. Specifically, in 2030 it will reduce CO2 emissions (Scope 1 and 2) by 55% and the carbon intensity index by 15-20%, aiming to achieve net zero emissions by 2050. Cepsa wants to go beyond net zero and achieve a positive impact, adding Value to the communities in which it operates by allowing its customers and other stakeholders to move in the right direction.
Ammonia from Algeciras to Rotterdam
We must remember that Cepsa and the ACE Terminal de Rotterdam consortium signed a memorandum of understanding a month ago whereby the Spanish energy company will supply green ammonia from Algeciras to the planned import terminal in the port of Rotterdam (Netherlands) for final use in industry after converting the ammonia back into green hydrogen or directly used as renewable fuel for the marine sector and other industries in northwestern Europe.
As the two companies said in a statement, this signing is the beginning of a collaboration to reach binding commercial agreement To facilitate the marine transportation of green ammonia, redistribute green ammonia to downstream markets in the catchment area of the Port of Rotterdam, and convert green ammonia into green hydrogen for use by customers in Northwest Europe.
The location of the ACE terminal in the Port of Rotterdam provides a direct connection to the Rotterdam industry and the planned national hydrogen network, and also has excellent infrastructural connectivity towards Northwest Europe, linking the hydrogen producer with industries from Germany, Belgium and Denmark.