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.
About Gunvor Group
Gunvor Group is one of the world’s largest independent commodities trading houses by turnover, creating logistics solutions that safely and efficiently move physical energy and bulk materials from where they are sourced and stored to where they are demanded most. Gunvor has strategic investments in industrial infrastructure—refineries, pipelines, storage and terminals—that complement our core trading activity and generate sustainable value across the global supply chain for our customers. Gunvor, which generated turnover of US $150 billion on volumes of 165 million MT in 2022, has committed to cut Scope 1 and 2 emissions by 40% by 2025. For more information, visit GunvorGroup.com.
VARO Energy (“VARO”) is the partner of choice for customers in the energy transition by providing the sustainable and reliable energy solutions that they need to decarbonise. Engine 1 includes manufacturing, storage, distribution, marketing, and trading of conventional energies. Engine 2 activities are focused on sustainable energies and include biofuels, biogas, green hydrogen, e-mobility, and nature-based carbon removals. VARO plans to invest around $3.5 billion over the 2022-26 period, with two-third committed to sustainable energies. The company has a net zero target for scope 1, 2 and 3 by 2040. VARO is a Swiss-based private company.