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ECB Group signs advanced biofuels off-take deal with Shell

Brazil-headed biofuels major ECB Group has announced that its subsidiary ECB Group Paraguay has signed a multi-year agreement with Shell Trading (US) Company, the single market interface for global oil, gas and energy major Royal Dutch Shell companies and affiliates in the United States (US), to supply over 500 million litres of renewable diesel and renewable jet fuel annually from its Omega Green biorefinery that is currently under development in Paraguay.

An artist’s rendering of ECB Group Paraguay’s 20 000 barrel-per-day renewable fuel biorefinery Omega Green (image courtesy ECB Group).

Delivery of renewable diesel (HVO) and sustainable aviation fuel (SAF) from the greenfield Omega Green biorefinery in Paraguay is expected to commence in 2024.

Biofuels must play a key role in achieving a net-zero emissions energy system, but collaboration is critical if the world’s supply and use of these low-carbon fuels are to become more widespread. We are pleased to work with ECB Group to supply low carbon biofuels to meet the demand for cleaner energy from our customers around the globe. By combining ECB’s production capabilities and regional presence with Shell’s global biofuels trading expertise we are able to bring a significant volume of renewable fuels into the global market, said Odeh Khoury, Shell VP for Products Trading and Supply, Americas.

The ECB Group is already Brazil’s leading producer of conventional biodiesel with an annual capacity of 828 million litres. The off-take contract with Shell is the second major off-take deal for ECB Group as earlier this month it reached a multi-year agreement with bp.

As such ECB Group is establishing itself as a leading future producer of HVO and SAF in the southern hemisphere.

We are delighted to have Shell as our single largest off-taker. With Shell’s well-known focus on decarbonization initiatives, it makes perfect sense for us to work together to provide renewable fuels solutions, especially in the road transportation and aviation sectors. This agreement also positions the Omega Green state-of-the-art biorefinery as a major producer to supply a growing demand for low carbon fuels, said Erasmo Carlos Battistella, Founder and CEO of the ECB Group.

Being built in Villeta, on the banks of the Paraguay river just outside the Paraguayan capital Asunción, the US$800 million Omega Green biorefinery will have a total nameplate production capacity of 20 000 barrels per day, producing a mix of advanced biofuels including renewable diesel, renewable jet fuel, and green naphtha. Technology partners for the venture include Crown Iron Works, Honeywell UOP, and ACCIONA as EPC contractor.

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