Groundbreaking Ceremony of the New Biorefinery by PETRONAS, Enilive and Euglena in Pengerang, Johor, Malaysia

Pengerang Biorefinery Sdn. Bhd. — a joint venture between PETRONAS, Enilive S.p.A, and Euglena Co., Ltd — has reached a significant milestone with the groundbreaking ceremony for its new biorefinery project in Pengerang, Johor, Malaysia.

The facility will have the capacity to process up to 650,000 tonnes of renewable feedstock per year and is expected to produce Sustainable Aviation Fuel (SAF), Hydrogenated Vegetable Oil (HVO), and bio-naphtha. Its feedstocks will include waste materials such as used cooking oils, animal fats, and residues from vegetable oil processing. Operations are scheduled to begin in the second half of 2028, in line with the project timeline.

The Pengerang Biorefinery reflects the joint commitment of PETRONAS, Enilive, and Euglena to advancing the availability of cleaner, more competitive, and sustainable energy solutions.

PETRONAS Executive Vice President and Chief Executive Officer of Downstream, Datuk Sazali Hamzah said, “The groundbreaking of the Pengerang Biorefinery reflects the collective efforts to drive decarbonisation and advance energy transition in the region. Leveraging the synergy and strength of our partnership, the new biorefinery is one of PETRONAS’ key initiatives to deliver on our energy transition strategy through a holistic bio-based value chain and an expanded suite of cleaner energy solutions. This is in lockstep with PETRONAS’ larger aspiration to become an integrated energy leader in the next decade, serving the world’s energy needs, safely, reliably and sustainably.”

Enilive’s Chief Executive Officer, Stefano Ballista commented, “The Pengerang biorefinery, made possible by the strategic partnership with PETRONAS and Euglena, will enable acceleration of the decarbonisation of transportation, and reaffirms Enilive’s commitment towards sustainable products. With Enilive’s biorefineries that are already operational in Italy and in the United States of America, and with new plants under construction in Italy and South Korea, the new biorefinery in Pengerang is a further and relevant step forward towards the achievement of a production capacity over 5 million tons per year and over 2 million tons of SAF by 2030, supporting the growing need for more sustainable mobility.”

Euglena’s Founder and President, Mitsuru Izumo commented: “I am truly excited as we mark the groundbreaking ceremony with PETRONAS and Enilive, and begin full-scale construction of the biorefinery. Since the inception of this project, we have continued to evolve in response to the rapidly changing energy landscape, and now we are stepping into the next stage toward the planned commencement of operations in 2028. This project represents a global endeavor and a powerful step toward decarbonisation and a more sustainable future, through enhanced clean energy supply capacity, particularly across the ASEAN region and beyond. In our continued efforts to expand decarbonization solutions in response to climate change, we will continue to invest in research and development of microalgae, and advance our efforts toward the commercialisation of algal biofuel. I would like to express my heartfelt gratitude to all our partners and stakeholders who have supported this project. “

Strategically situated within the Pengerang Integrated Complex (PIC) in Johor, the biorefinery benefits from its prime location and proximity to major international shipping routes. This advantage will strengthen its ability to meet the growing demand for biofuels and efficiently serve markets, particularly across the Asian region.

The groundbreaking ceremony was officiated by Yang Berhormat Tuan Lee Ting Han, Chairman of the Johor State Committee for Investment, Trade, Consumer Affairs, and Human Resources. He was joined by Yang Berhormat Dato’ Ramlee A. Rahman, President and Group Chief Executive Officer of Permodalan Darul Ta’zim, and Yang Berhormat Puan Fauziah Misri, Member of the Johor State Legislative Assembly for Penawar. Also in attendance were Datuk Sazali Hamzah, Stefano Ballista, and Mitsuru Izumo.