Big Oil Bets on Biofuels with Over 40 Projects by 2030

Major oil companies, including BP, Chevron, Shell, and ExxonMobil, are heavily investing in biofuels to align with global decarbonization efforts. According to Rystad Energy, 43 biofuel projects are planned by 2030, focusing primarily on hydrotreated vegetable oil (HVO) and sustainable aviation fuel (SAF), which will account for nearly 90% of production.

Big Oil

The combined capacity of these projects could reach 286,000 barrels per day, with 31 greenfield developments, six co-processing initiatives at existing refineries, and six full refinery conversions. Co-processing is a cost-effective entry point for biofuel production, leveraging existing infrastructure.

With growing regulatory pressures, such as Europe’s “ReFuel EU” initiative, biofuels are now central to oil majors’ strategies to reduce emissions while utilizing current fuel systems.

Oil Majors Ramp Up Biofuel Projects to Meet Growing Demand

Major oil companies are advancing 43 biofuel projects to boost global production capacity by 2030. Chevron’s Geismar project, the largest greenfield initiative, will produce 22,000 barrels per day (bpd), while its El Segundo refinery leads in co-processing with a 10,000 bpd renewable facility. BP’s Kwinana refinery conversion, expected to yield 50,000 bpd of hydrotreated vegetable oil (HVO) and sustainable aviation fuel (SAF), positions it as a gamechanger in sustainable fuel production.

BP leads with a combined capacity of 130,000 bpd from ethanol, HVO, and SAF projects, bolstered by its acquisition of Bunge Bioenergia. Chevron and Eni are also expanding their advanced biofuel production capabilities through strategic acquisitions and refinery conversions, securing strong positions in the growing bioenergy sector. These developments reflect the industry’s push to meet surging biofuel demand and align with decarbonization goals.

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