Almost 90% of the projected output is hydrotreated vegetable oil (HVO) and sustainable aviation fuel (SAF). (Source: Shutterstock)
Six of the world’s major oil and gas companies are boosting their biofuels investments, with 43 projects already running or targeted to start by 2030, Rystad Energy said in a report.
Between BP, Chevron, Shell, TotalEnergies, Exxon Mobil and Eni, the projects could add 286,000 bbl/d of production capacity, according to Rystad Analysts Lars Klesse and Kartik Selvaraju.
Of the 43 projects, 31 are greenfield developments and six are conversions of refineries to produce biofuels exclusively. Six more projects involve co-processing, in which refineries blend bio feedstock and fossil fuel feedstock. BP announced plans for 130,000 bbl/d of biofuels production capacity. Chevron is second with 47,000 bbl/d.
Almost 90% of the projected output is hydrotreated vegetable oil (HVO) and sustainable aviation fuel (SAF). Biofuels are attractive to operators because they can run in existing engines with lower emissions than fossil fuels.
“Supermajors are accelerating investments in biofuels like HVO and SAF, recognizing their potential as low-carbon ‘drop-in’ fuels that can be swiftly integrated into existing aviation, heavy transport and marine fuel systems,” Klesse said.
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