Acelen Innovates in Renewable Fuels and Will Invest More than R$ 12 Billion

(Acelen (Google Translation) In Abu Dhabi, the company signs a memorandum of understanding with the government of Bahia for the production of renewable diesel and QAV, helping to accelerate Brazil's energy transition -- Acelen expects to invest more than R$ 12 billion over the next 10 years in the production of renewable fuels. Throughout the project, the expectation is to produce 1 billion liters per year, generate R$ 85 billion in the economy, contribute to the generation of 90,000 direct and indirect jobs and reduce CO 2 emissions by up to 80% by replacing the fossil fuel, which will make the company one of the largest producers of renewable fuels in the world.

The investment plan with a memorandum of understanding was signed this Saturday (4/15) between the company and the government of Bahia, in Abu Dhabi.

The company will become one of the world leaders in this segment from high-energy agricultural crops, from planting seeds to producing renewable fuels. The main bet will be on renewable diesel and sustainable aviation kerosene, produced through the hydrotreatment of vegetable oils and animal fat. The company is expected to start production in the first quarter of 2026.

“Acelen's path towards energy transition began at the beginning of its operations, with the modernization of the Mataripe Refinery and reduction of its environmental impact. Now, we are taking a strategic step in our mission to play a leading role in the energy transition in a solid way, with a unique and transformative project, renewing the company's commitment to a more sustainable future”, highlighted Acelen's CEO, Luiz de Mendonça.

In the first phase of the project, in synergy with Brazil's agricultural potential, soybean oil and complementary raw materials will be used, which have the largest available volume and competitiveness in the country. In the second stage, Macaúba oil, a tree native to Brazil with high energy potential that has not yet been exploited on a commercial scale, and palm oil will be used, with planting expected to start in 2025. The project plans to plant an area of 200,000 hectares , prioritizing degraded land, equivalent to 280,000 soccer fields.

The project was structured to have full synergy with the Mataripe Refinery, taking advantage of the existing utilities, tanking and logistics infrastructure. A sustainable hydrogen generation unit will be built to hydrotreat fuels. The forecast is to start the works as early as January 2024.

The production capacity will be 20,000 barrels/day, around 1 billion liters a year, equivalent to the annual supply of 1.1 million vehicles, placing Acelen among the largest producers of renewable fuels in the world. The production of green diesel and sustainable aviation fuel will initially be aimed at the foreign market, where these products are already approved for sale and consumption.

“We will produce sustainable fuel on a global scale, inserting Brazil in the development of the international sustainable chain. This will be Acelen's first project in renewable fuels. So there is room for us to grow globally in this sector. Our focus will be mainly on the foreign market, at this first moment, producing relevant currency for the country. If Brazil moves forward with discussions already underway regarding incentive policies for the production and consumption of renewable fuels in the country, Acelen will be ready to act in the domestic market as well”, added the executive.

Acelen will invest in genetics, improvement of agricultural productivity and selection of suitable areas. An industrial-scale seed germination laboratory will also be created, investing in research with a series of public and private institutions inside and outside Brazil.

The project was designed to be sustainable from end to end, with extensive decarbonization throughout the integrated chain, with the use of native high-energy plants and CO 2 absorption and recovery of degraded areas. In addition to positively impacting biodiversity, with this project, Acelen will further boost the local economy, generate thousands of jobs, transforming the social, economic and environmental reality of the entire region.

In the economic field, the expectation is that a vast field of opportunities will open up for agribusiness, small and large producers, in addition to public-private partnerships. According to a study carried out by the Getúlio Vargas Foundation (FGV), the forecast is that, in all, R$ 85 billion will be moved in the Brazilian economy by 2035, directly and indirectly, with a consequent increase in the contribution of taxes throughout the production chain. Also according to an analysis by the FGV, it is expected that more than 90,000 direct and indirect jobs will be created, 70% of which will be permanent, with the operation of the Renewables Complex.

In the environmental area, the prediction is that renewable diesel emits up to 80% less CO 2 than fossil diesel and that the high-energy plantation captures 80 million tons of CO 2 over 30 years. In addition to adopting the 4.0 agriculture technology, Acelen will develop the vegetable oil extraction process, generating co-products with high added value and reusing waste in a sustainable way.

About Macaúba - Brazilian plant with high oil productivity per hectare. Highly competitive with other crops, it offers greater efficiency in the use of water and nutrients. As a native perennial species, it offers a range of environmental services such as conservation or even recovery of biodiversity, as degraded areas are replaced by macaúba forests. With this, there will be vegetation cover, conserving the soil and its biota, contributing to the recovery of water sources and serving as a source of food for birds and other native animals. Its cultivation will be carried out using the best agricultural and environmental practices, favoring the capture of carbon and the reduction of CO 2 emissions from the seed to the fuel. READ MORE; includes VIDEO