Brazilian refiner Acelen, owned by Abu Dhabi’s Mubadala, has secured $1.5 billion in financing to advance construction of a biofuels refinery in Bahia, Brazil. Moreover, the funding marks a significant step toward scaling sustainable aviation fuel (SAF) and renewable diesel production in the region.
The financing package includes participation from a consortium of 10 financial institutions. Additionally, HSBC and the International Finance Corporation, part of the World Bank Group, are leading the funding arrangement.
Large-Scale Biofuels Project Targets 2029 Launch
The refinery is expected to begin operations in 2029. Furthermore, it is designed to produce up to 1 billion litres per year of SAF and renewable diesel, positioning it as a major clean energy facility in Latin America.
The total project cost is estimated at around $3 billion. Moreover, the development integrates both agricultural and industrial supply chains to support long-term fuel production stability.
The project also includes the cultivation of macaúba, a native Brazilian oilseed. Additionally, it will utilise traditional feedstocks such as soybean oil and used cooking oil, supporting diversified and scalable biofuel inputs.
Strategic Expansion Into Sustainable Energy
The investment reflects a broader push into low-carbon fuel production linked to aviation and transport sectors. Moreover, it highlights growing institutional participation in large-scale renewable energy infrastructure.
Additionally, the integration of multiple feedstock sources is expected to improve supply resilience and production efficiency. As a result, the project is positioned to support long-term growth in global sustainable fuel demand.
