Sustainable Aviation
Acelen Renewables $1.5B Biorefinery Project in Bahia Brazil
Acelen Renewables invests $1.5B in Bahia biorefinery to produce sustainable aviation fuel and renewable diesel using macaúba palm by 2029.

This article is based on an official press release from Acelen Renewables and supplementary market research.
Acelen Renewables, the renewable energy arm of Abu Dhabi’s sovereign wealth fund Mubadala Capital, has officially announced a US$ 1.5 billion investment to construct a large-scale renewable fuels biorefinery in Bahia, Brazil. Announced on Thursday, May 21, the project marks a significant milestone in the global energy transition and positions Brazil as a central hub for low-carbon Electric-Aviation and transport fuels.
According to the company’s press release, the facility is scheduled to begin commercial operations in 2029. Once online, the plant will have the capacity to produce 1 billion liters, approximately 20,000 barrels per day, of Sustainable Aviation Fuel (SAF) and renewable diesel (HVO) annually. The facility will be located in São Francisco do Conde, Bahia, adjacent to the existing Mataripe Refinery.
The project is backed by a historic consortium of 12 national and international financial institutions, signaling strong global market confidence in Brazil’s capacity to deliver competitive, large-scale climate solutions.
Project Scope and Financial Structure
A Landmark Consortium
The US$ 1.5 billion investment specifically covers the construction phase of the biorefinery, though supplementary research indicates the total investment for this first integrated unit, including a 10-year agro-industrial development plan, will exceed US$ 3 billion. According to project data, the capital stack consists of US$ 650 million in equity provided by Mubadala Capital, with the remaining US$ 850 million financed through a 5.5-year project finance debt structure.
As detailed in the company’s announcement, the syndicated loan is supported and led by the International Finance Corporation (IFC) and HSBC. The broader consortium includes a diverse array of global lenders: First Abu Dhabi Bank (FAB), Abu Dhabi Commercial Bank (ADCB), IDB Invest, the Brazilian Development Bank (BNDES), Asian Infrastructure Investment Bank (AIIB), FinDev Canada, KfW IPEX-Bank, Bradesco, BBVA, and Bank of China.
“We believe that transformative projects require long-term vision, international cooperation, and a commitment to lasting positive impact.”
Technological and Agricultural Innovation
HEFA Technology and the Macaúba Advantage
The Bahia plant will utilize Hydroprocessed Esters and Fatty Acids (HEFA) technology, which is currently the most proven and widely adopted pathway for renewable fuel production globally. While the facility will initially be flexible enough to process feedstocks like soybean oil and Used Cooking Oil (UCO), the project’s long-term strategic differentiator is the cultivation of macaúba, a native Brazilian palm tree.
Research reports highlight that macaúba yields up to 10 times more oil per hectare than traditional soybeans. Acelen Renewables plans to plant 180,000 hectares of this native palm exclusively on degraded pasturelands across Bahia and Minas Gerais. This approach is designed to regenerate soil health without competing with food production.
Breakthroughs in Agritech
The commercial viability of macaúba is the result of significant agricultural research and development. Historically, macaúba seeds exhibited a natural germination rate of only 3% to 5%. Through the Acelen Agripark, a US$ 60 million (R$ 314 million) innovation center, and Partnerships with institutions like Embrapa, the company developed protocols that achieved up to an 80% germination rate. This scientific milestone unlocks the potential for commercial-scale cultivation of the plant.
Global Export Strategy and Socioeconomic Impact
De-risking Through Off-take Agreements
Despite pending domestic SAF regulations in Brazil, Acelen Renewables has commercially de-risked the project by looking outward. Market data reveals that 90% of the facility’s future production is already contracted to clients in the United States and Europe. Because SAF and HVO are “drop-in” fuels, they require no modifications to existing aircraft or heavy transport engines, making them highly sought after in markets with strict emission reduction mandates.
Local Regeneration and Job Creation
The environmental and social impacts of the project extend well beyond fuel production. SAF and HVO reduce CO2 emissions by up to 80% compared to traditional fossil fuels. Furthermore, because the cultivation of macaúba captures carbon in degraded soils, Acelen projects the overall lifecycle of the fuel to be “net-negative” in carbon emissions.
On the socioeconomic front, the company has integrated social inclusion into its supply chain. Through its “Programa Valoriza,” 20% of the macaúba supply will be sourced via partnerships with family farmers and small producers, providing a new economic lifeline for communities in semi-arid regions. The broader integrated project is expected to generate up to 90,000 direct and indirect jobs over the coming years.
AirPro News analysis
We view Acelen Renewables’ final Investments decision as a watershed moment for the Latin American biofuels sector. By securing 90% of its off-take agreements in the US and Europe, Mubadala Capital successfully bypassed the regulatory waiting game regarding Brazil’s domestic SAF mandates. This export-driven Strategy allowed the consortium to confidently deploy US$ 1.5 billion in capital today.
Furthermore, the domestication of the macaúba plant represents a critical leap in sustainable feedstock supply. The jump from a 3% to an 80% germination rate is a prime example of how targeted agritech investments can unlock massive energy transition bottlenecks. If Acelen successfully executes this first facility, it paves the way for its broader vision: a total of five biorefineries in Brazil with an estimated cumulative investment of US$ 12.5 billion.
Frequently Asked Questions
What is SAF?
Sustainable-Aviation Fuel (SAF) is a liquid fuel currently used in commercial aviation which reduces CO2 emissions by up to 80%. It can be produced from a number of sources (feedstock) including waste oil and agricultural residues.
When will the Acelen Renewables biorefinery open?
Construction is expected to take approximately two and a half years, with commercial operations scheduled to begin in 2029.
Why is macaúba important to this project?
Macaúba is a native Brazilian palm that produces up to 10 times more oil per hectare than soybeans. It can be grown on degraded pasturelands, meaning it does not compete with food crops while simultaneously helping to regenerate the soil and capture carbon.
Sources
Photo Credit: Acelen Renewables
Sustainable Aviation
Nova Pangaea Completes 72-Hour SAF Endurance Trial at Teesside
Nova Pangaea Technologies validates its REFNOVA waste biomass to bioethanol process with a 72-hour continuous trial at its UK plant.

Nova Pangaea Technologies (NPT) has completed a 72-hour continuous endurance trial of its REFNOVA technology at its Teesside demonstration plant in the United Kingdom, validating a process that converts waste biomass into bioethanol for Sustainable Aviation Fuel (SAF) production.
Announced in a press release on August 24, 2026, the milestone demonstrates a scalable alternative to hydroprocessed esters and fatty acids (HEFA) derived from used cooking oil. The HEFA pathway currently dominates the SAF market but faces supply constraints and escalating costs as competition intensifies across biofuel sectors.
Scaling waste-to-fuel technology
During the trials, the Teesside facility processed up to three tonnes of softwood residues per day, maintaining stable operation for up to 72 hours. The successful run follows initial smaller-scale tests conducted in early 2025 that proved the viability of the REFNOVA process outside laboratory conditions.
NPT Chief Executive Officer Stewart Stewart stated in the press release that the trials validate the technology and will support investor confidence as the company moves toward constructing its first commercial plant.
To date, NPT has raised over £21 million from investors including International Airlines Group (IAG), Mercia Ventures, and UK government grants. The company plans to conduct further trials in 2027 to refine the design of its commercial-scale facilities.
Project Speedbird and UK SAF mandates
The technological validation directly supports Project Speedbird, a joint initiative between NPT, LanzaJet, and British Airways. Backed by the UK government’s Advanced Fuels Fund, the project aims to develop domestic SAF production capabilities using agricultural and wood waste. Under this initiative, NPT plans to construct four UK facilities to produce bioethanol.
The push for domestic production aligns with the UK SAF Mandate, which requires 3.6% of jet fuel supplied in 2026 to come from sustainable sources. This requirement scales to 10% by 2030 and 22% by 2040.
Speaking to SAF Investor, Stewart emphasized the urgency of diversifying feedstocks amid rising demand and geopolitical supply chain shocks.
“Nova Pangaea’s tried and tested technology offers a genuine alternative. By tapping into the plentiful supplies of waste biomass, we can boost SAF production, enhancing our energy security, and building a new domestic industry that generates jobs and revenues while reducing fossil fuel emissions,” Stewart told the publication.
AirPro News analysis
We view the successful endurance trials at Teesside as a necessary step toward breaking the aviation industry’s reliance on used cooking oil and waste animal fats. While HEFA-based SAF has proven the viability of drop-in replacement fuels, the limited global supply of waste oils creates a hard ceiling on production capacity.
Unlocking agricultural and forestry waste as a feedstock opens a significantly larger volume of raw material. The International Air Transport Association (IATA) estimates that available waste biomass in Europe and the UK could yield 30 million tonnes of SAF by 2030. Beyond volume, the REFNOVA process generates biochar as a byproduct. This creates a carbon-negative fuel lifecycle, which will become increasingly valuable to airlines as regulatory frameworks tighten around lifecycle emissions accounting.
Sources: Nova Pangaea Technologies
Photo Credit: Nova Pangaea Technologies
Sustainable Aviation
KBR PureSAF Technology Selected for Kazakhstan First SAF Plant
KBR licenses PureSAF technology for Kazakhstan’s first SAF facility, using an alcohol-to-jet process with domestic feedstocks.

Global engineering firm KBR announced on August 24, 2026, that it secured a contracts to license its proprietary PureSAF technology and provide engineering design for Kazakhstan’s inaugural Sustainable Aviation Fuel (SAF) production facility. The project, developed in partnership with KazMunayGas-Aero LLP (KMG-Aero) and KazFoodProducts (KFP), will utilize domestic agricultural feedstocks to produce low-carbon aviation fuel via an alcohol-to-jet (AtJ) process.
In a press release detailing the contract award, KBR confirmed the agreement supports Kazakhstan’s strategic objective to establish itself as an international aviation hub while advancing aviation decarbonization. The planned facility will leverage technology developed in collaboration with Swedish Biofuels AB to convert ethanol into drop-in aviation fuel.
Technology and Project Scope
The facility will utilize KBR’s PureSAF technology, an alcohol-to-jet pathway designed to process agricultural feedstocks into sustainable aviation fuel. The foundational trilateral agreement covering the Process Design Package (PDP) and technology licensing was signed by KBR, KMG-Aero, and KFP in Astana on July 23, 2026. KBR, which employs approximately 37,000 people and operates in 28 countries, will provide the engineering framework required to scale the AtJ process for commercial output.
KBR Sustainable Technology Solutions President Jay Ibrahim stated the company is honored to support the national commitment to reduce greenhouse gas emissions.
“KBR’s PureSAF is a feed-flexible, bankable technology that is designed to deliver high SAF yields and supports the project across the full lifecycle. We look forward to closely collaborating and supporting the successful execution of this landmark SAF project,” Ibrahim said.
Kazakhstan’s Aviation Decarbonization Strategy
The KBR contract follows a series of government initiatives aimed at building a domestic SAF supply chain. On August 4, 2026, Kazakh Prime Minister Olzhas Bektenov and Dr. Peter Lee of Hong Kong-based Full Vision Capital signed a memorandum of understanding to explore creating a green aviation fuel ecosystem in the city of Alatau. This proposed ecosystem would cover the full production cycle, from cultivating agricultural feedstock to manufacturing the finished product.
These infrastructure investments align with recommendations from global aviation regulators and industry groups. In April 2026, the International Air Transport Association (IATA) emphasized that continued investment in SAF, alongside new airport infrastructure, is critical for Kazakhstan to capitalize on global passenger and cargo traffic and strengthen its domestic aviation sector.
AirPro News analysis
The KBR contract award represents a concrete technical step in Kazakhstan’s ambition to localize SAF production, but several commercial variables remain undefined. The August 24 announcement did not disclose the financial value of the engineering contract, the projected production capacity of the facility, or a target completion date. We note that while the alcohol-to-jet pathway is a proven method for SAF production, scaling agricultural feedstock supply-chain domestically will be critical to the plant’s long-term viability. The parallel involvement of Full Vision Capital suggests the government is actively working to finance and structure this agricultural supply chain in the Alatau region to ensure the KBR-designed facility has the necessary inputs to operate at scale.
Sources: KBR
Photo Credit: Montage
Sustainable Aviation
Syzygy Plasmonics and IFC Partner on SAF Projects in Latin America
Syzygy Plasmonics and IFC sign a framework to develop SAF projects in Latin America, starting with a 350,000-gallon facility in Uruguay.

Syzygy Plasmonics and the International Finance Corporation (IFC) announced a framework agreement on August 18, 2026, to develop a pipeline of SAF projects across Latin America, beginning with a commercial-scale facility in Uruguay.
The partnership, detailed in a press release issued by Syzygy Plasmonics, pairs the company’s proprietary light-driven reactor technology with the IFC’s technical and commercial advisory services. The initiative targets emerging markets by utilizing regional renewable energy and biogas feedstocks to produce lower-carbon alternatives to conventional jet fuel.
The NovaSAF-1 project in Uruguay
The first project under this framework is NovaSAF-1, located in Durazno, Uruguay. The facility is projected to produce an estimated 350,000 gallons of SAF annually. Syzygy Plasmonics has set a target year of 2028 for the commencement of commercial-scale operations and initial fuel deliveries from the site.
NovaSAF-1 will utilize biogas sourced from the nearby Estancias Del Lago powdered milk plant. This biogas will be combined with Uruguayan renewable electricity to produce synthetic paraffinic kerosene. The production process integrates Syzygy’s light-driven technology with Fischer-Tropsch technology licensed from Velocys to maximize fuel output. According to Syzygy Plasmonics, this process yields an estimated reduction in lifecycle greenhouse gas emissions of up to 90 percent compared with conventional jet fuel.
Commercial backing and offtake agreements
The IFC framework agreement follows established commercial commitments for the NovaSAF-1 facility. On January 20, 2026, global commodities group Trafigura signed a binding six-year offtake agreement to purchase the entire production volume from the Uruguayan plant. The agreement also includes an option for Trafigura to purchase additional volumes from future Syzygy projects.
Syzygy Plasmonics CEO Trevor Best described the commercial arrangements as a critical step toward commercial-scale impact and disrupting the SAF market. The IFC, a member of the World Bank Group, will provide advisory support to help scale these operations across the region.
“The transition to lower-carbon aviation will depend on technologies that are not only innovative, but commercially viable and scalable,” said Raphaël Eskinazi, IFC Regional Investment Manager for Manufacturing and Forests in Latin America and the Caribbean. “IFC’s role is to help bridge that transition: supporting pioneering projects that can mobilize private capital, demonstrate new business models and create pathways for broader market adoption across emerging economies.”
AirPro News analysis
We view the alignment of IFC advisory services, Trafigura’s guaranteed offtake, and Velocys’ established Fischer-Tropsch technology as a significant de-risking mechanism for Syzygy Plasmonics. Scaling novel SAF production methods, particularly those categorized as Renewable Fuels of Non-Biological Origin (RFNBO), typically faces steep financing hurdles. By securing a guaranteed buyer for 100 percent of the initial plant’s output before finalizing the IFC framework, Syzygy has demonstrated a clear path to revenue.
Latin America presents a highly favorable environment for RFNBO production. The region offers abundant agricultural waste for biogas and a growing grid of renewable electricity. If NovaSAF-1 meets its 2028 production targets, the framework agreement with the IFC positions Syzygy to replicate this model rapidly across other agricultural and renewable energy hubs in the Southern Hemisphere.
Photo Credit: Syzygy Plasmonics
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