Petroliam Nasional Berhad (Petronas), together with two international partners, has finalized the investment decision to develop a biorefinery at the Pengerang Integrated Complex (PIC) in Johor, reported NST.com.
Petronas, in collaboration with Italy’s Enilive and Japan’s Euglena, will form a joint venture company in Malaysia to build and operate the biorefinery. Petronas’ subsidiary, Petronas Mobility Lestari Sdn Bhd, along with Enilive, will be the primary shareholders in this venture.
The biorefinery is expected to commence operations in the second half of 2028.
The facility will be designed to produce sustainable aviation fuel (SAF) and other biofuels, including renewable diesel and hydrogenated vegetable oil (HVO), to meet the increasing demands of the global aviation and transportation sectors.
Construction of the biorefinery is anticipated to start in the fourth quarter of this year. Once completed, it will have the capacity to process approximately 650,000 tonnes of raw materials annually to produce SAF, HVO, and bio-naphtha.
Strategically positioned within PIC’s integrated facilities and utilities, the biorefinery will benefit from proximity to feedstock sources and easy access to major international shipping routes, enhancing its ability to serve global customers.
The new biorefinery will be designed with full flexibility in feedstock processing and pre-treatment units to maximize SAF production for aircraft and HVO.
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