Eni S.p.A. and Q8 Italy have announced a joint venture to build and operate a 500,000‑tonne‑per‑year biorefinery at the Priolo industrial site in Sicily. The facility will repurpose the former chemical plant, using Eni’s proprietary Ecofining™ technology to convert vegetable oil and waste residues into hydrotreated vegetable oil (HVO) and a new SAF‑Biojet blend that meets the European Union’s ReFuelEU Aviation mandate.
The project is slated to be operational by the end of 2028, with engineering already complete. By leveraging Q8’s extensive distribution network across Italy and the Mediterranean, the joint venture aims to secure a stable offtake and streamline logistics for the renewable fuels produced. The partnership builds on a long‑standing relationship that began in 1996 with the Milazzo refinery and reflects Eni’s “satellite model” strategy of spinning off high‑growth, low‑carbon businesses into separate entities.
The biorefinery’s capacity will add a significant share to Enilive’s goal of 5 million tonnes per year by 2030, while also helping Italy become a key hub for advanced biofuels in the Mediterranean. The facility is expected to cut greenhouse‑gas emissions by at least 65 % compared with a fossil‑fuel reference mix, positioning the joint venture to capture the growing demand for sustainable aviation fuel as the EU raises its SAF target from 2 % in 2025 to 70 % by 2050.
Eni’s CEO highlighted the project as a “strategic milestone” that demonstrates the company’s commitment to monetising legacy chemical assets while maintaining operational control. The joint venture is expected to generate a new revenue stream, improve margin resilience in a volatile oil market, and reinforce Enilive’s leadership in the biofuel transition.
The partnership underscores the broader industry shift toward decarbonisation, with the Priolo biorefinery positioned to supply both domestic and regional markets. By converting existing infrastructure, the project reduces upfront capital outlay and accelerates the transition from conventional chemicals to bio‑derived products, aligning with Eni’s broader sustainability and growth objectives.
The content on EveryTicker is for informational purposes only and should not be construed as financial or investment advice. We are not financial advisors. Consult with a qualified professional before making any investment decisions. Any actions you take based on information from this site are solely at your own risk.