Acelen Renewables has secured $1.5 billion in financing to begin construction of a large-scale renewable fuels biorefinery in Brazil, a project expected to become one of Latin America’s largest sustainable aviation fuel (SAF) investments.
The financing package was arranged by a consortium led by HSBC and International Finance Corporation, with participation from ten national and international financial institutions. These include First Abu Dhabi Bank, Abu Dhabi Commercial Bank, IDB Invest, BNDES, Asian Infrastructure Investment Bank, Development Finance Institute Canada, KfW IPEX-Bank, Bradesco, BBVA and Bank of China, S&P Global reported.
The biorefinery will be located in the state of Bahia and is scheduled to begin operations in 2029. Once operational, the facility will have the capacity to produce 1 billion litres of sustainable aviation fuel and renewable diesel annually.
The plant will use Hydroprocessed Esters and Fatty Acids (HEFA) technology, one of the most widely adopted technologies globally for producing renewable transportation fuels. The process converts vegetable oils and other renewable feedstocks into low-carbon fuels suitable for aviation and heavy transport applications.
According to Acelen Renewables, the project will strengthen Brazil’s position in the global biofuels industry and help establish the country as a major supplier of sustainable aviation fuel and renewable diesel to international markets.
The company said the investment will also contribute to Brazil’s energy security while supporting efforts to reduce greenhouse gas emissions from aviation and heavy-duty transportation.
Leonardo Yamamoto said Brazil possesses significant advantages in the global energy transition due to its large agricultural sector, industrial capabilities and relatively clean energy matrix.
He noted that Mubadala Capital sees strong potential for large-scale renewable fuel production in Brazil and believes the country is well positioned to become a leading player in the growing international market for sustainable fuels.
The project represents one of the largest renewable fuel investments in Latin America and reflects increasing global interest in expanding SAF production as airlines and governments seek to decarbonise air transport while meeting future climate targets.
