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MENA Biofuels begins Phase 1 of the UAE's first SAF production facility

MENA Biofuels, a subsidiary of the Mercantile & Maritime Group, has begun implementing the UAE’s first sustainable aviation fuel (SAF) production facility in the Fujairah Oil Industry Zone (FOIZ). The landmark project will convert used cooking oil and waste-based feedstocks into certified SAF that meets international standards.

Phase I of the facility will produce 125 million liters per year—around 18% of the UAE’s 2030 SAF target—while Phase II will double that capacity to 250 million liters annually, potentially contributing up to 36% of the national goal. With an investment of $200 MM for Phase I and an additional $100 MM for Phase II, the project plays a crucial role in advancing the UAE’s Sustainable Aviation Fuel Roadmap 2030 and its broader Net Zero 2050 strategy.

Over the past year, MENA Biofuels completed a detailed feasibility study confirming the project’s economic viability, secured land adjacent to MENA Terminals from the Government of Fujairah, and appointed UAE-based Dynatron FZE as project manager. The company also finalized topographic and hydrological surveys, selected an international technology provider for SAF production, and engaged Robert Wright, former CEO of the European Biofuels Association, as policy advisor. MUC Engineering – Fujairah Branch is conducting the Environmental Impact Assessment and managing regulatory approvals, while the company prepares for the next phase of development.

To accelerate construction, MENA Biofuels launched the first of two engineering, procurement, construction and commissioning (EPCC) tenders for the project. The first package will establish feedstock and fuel storage and distribution systems, while a second tender—set for release in early 2026—will cover refinery process units and supporting infrastructure. This phased tendering marks a significant step toward full-scale implementation of the SAF plant.

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