Morocco plans to process 200 thsd tons of waste oils and fats into biofuel annually

Morocco plans to build a plant producing sustainable aviation fuel from used vegetable oils, animal fats and by-products of the vegetable oil processing industry. The total project cost is estimated at $239 mln, with Green Sky Capital responsible for its development. The facility will be located in the Bétoya Industrial and Logistics Zone within the Nador West Med port complex in northeastern Morocco. Once operational, it could become one of the country’s first large-scale commercial sustainable aviation fuel (SAF) production facilities.

The plant will require approximately 200 thsd tons of feedstock annually. Its main raw materials will include used cooking oils, animal fats, food processing waste and by-products of vegetable oil refining. Part of the feedstock will be collected domestically, while the remainder will be imported, including used vegetable oils and soapstock-derived acid oils. Imported materials will arrive through Nador West Med port, while domestic supplies will be transported by road.

The facility is designed to produce 176–200 thsd tons of sustainable aviation fuel annually. In addition, it will manufacture renewable diesel, renewable naphtha and small volumes of biopropane. Processing will rely on Axens’ HEFA technology, which enables the production of transport fuels from vegetable oils, animal fats and other lipid-based feedstocks. The plant will therefore create an additional outlet for waste materials generated by the vegetable oil processing industry.

The European Bank for Reconstruction and Development (EBRD) is currently reviewing financing for the project. The proposed financing package includes up to $105 mln in loans, comprising an $85 mln committed tranche and an additional $20 mln tranche that remains uncommitted. Up to $20 mln in financing through the Green Climate Fund is also under consideration. Construction and preparations for the plant’s commissioning are expected to take approximately 22 months, with production tentatively scheduled to begin in August 2028.

The project could create a new market for used vegetable oils and processing by-products, demand for which is increasing alongside the development of alternative transport fuels. In particular, the need to import part of the feedstock could create additional opportunities for international trade in waste materials from the vegetable oil industry. However, future purchasing volumes will depend on the completion of financing, plant construction and the establishment of stable feedstock supply chains.

Tags: used cooking oil, Morocco, biofuel, aviation fuel