ROTTERDAM (7 September 2023) – Gunvor Group (“Gunvor”), a leading global physical energy commodities trader, is partnering with VARO Energy (“VARO”), which will build large-scale Sustainable Aviation Fuel (SAF) manufacturing at the extensive Gunvor Energy Rotterdam (GER) site.
The facility will have a total production capacity of 350 kpta; approximately 70% will be SAF, with the remainder a mixture of bio-naphtha and bio-propane. With full flexibility between 100% SAF and 100% HVO and cutting-edge pretreatment capabilities, the VARO facility will be positioned at the forefront of the SAF industry.
Gunvor’s site provides VARO with a strategic location for the project at the heart of Europe’s energy hub, and GER’s existing industrial infrastructure will allow for its rapid development. Production is expected to commence by Q4 2026, enabling the facility to contribute to the significant growth in European SAF demand that is expected in the coming years. Gunvor will further participate through an operations and maintenance agreement and other investments.
This partnership furthers Gunvor’s goal of repositioning its traditional industrial site in Rotterdam to contribute to the Energy Transition, while creating sustainable jobs for the local economy. SAF that will be produced has on average 90% less Green House Gas (GHG) emissions compared to conventional jet fuel and will provide this to key airline customers.