BP cancels plans for Rotterdam biofuels plant

LONDON, September 23, 2025 – BP has stopped work on the construction of a biofuels production facility at its Rotterdam refinery, Reuters reported on Monday, citing a company spokesperson.

The move marks the latest retreat by the UK energy major from biofuels projects amid weak demand and the company’s renewed focus on more profitable upstream oil and gas investments. BP previously shelved similar projects in Australia, Germany and the US, leaving only its Castellon site in Spain as a possible long-term option.

“BP is stopping further work on the development of a standalone biofuels production facility at our Rotterdam refinery. We are growing our co-processing capacity, maximising integrated value from our refineries, and will continue to evaluate biofuels options at our refining sites, favouring capital-light opportunities,” the BP spokesperson said.

BP’s current biofuels operations are centred on Brazil through BP Bunge Bioenergia, with a 50,000-barrel-per-day ethanol capacity from sugarcane. The company also produces biofuels through co-processing at existing refineries, which yield about 10,000 bpd. In February, the company withdrew its target of producing 100,000 bpd of biofuels by 2030.

Earlier this month, Shell abandoned plans for its biofuels plant at the Shell Energy and Chemicals Park in Rotterdam due to concerns over profitability. The company had greenlighted the project in 2021 to produce 820,000 tonnes per year, but paused its development in July 2024 due to demand projections.

Photo courtesy of BP

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