MENA Biofuels launches development of the UAE’s first SAF plant

ABU DHABI, November 4, 2025 – MENA Biofuels of the Mercantile & Maritime Group has begun implementation of the UAE’s first commercial sustainable aviation fuel (SAF) plant, the company announced on Tuesday.

The facility will be located in the Fujairah Oil Industry Zone (FOIZ). In a first phase of development, it will command investments of USD 200 million and deliver 125 million litres per year of SAF, produced from used cooking oil and waste feedstocks. A second phase will double output to 250 million litres per year, representing up to 36% of the UAE’s 2030 SAF production target.

“We are proud to see MENA Biofuels progress from announcement to implementation in just one year. This project directly supports the UAE’s Sustainable Aviation Fuel Roadmap 2030 and embodies our commitment to advancing clean energy through industrial investment and strategic partnerships,” said Mohamed Saeed Al Raqbani, chairman of MENA Biofuels.

MENA Biofuels signed a strategic MoU at ADIPEC 2025 with Emarat Petroleum Company for SAF offtake and distribution across the UAE and GCC aviation sector. Another MoU is expected during the Dubai Air Show 2025.

“Building a homegrown SAF ecosystem requires investors, technology and distributors pulling in one direction. With Emarat’s agreement with MENA Biofuels, intent becomes supply: accelerated volumes from Fujairah, certified and locally produced, giving airlines a credible path to decarbonise,” said Ali Khalifa Al Shamsi, CEO of Emarat.

Engineering and construction tenders have been launched, with the first EPCC package covering logistics for feedstock and SAF, while the second tender for process units is due to be released in Q1 2026.

The facility is being built on land leased from the Fujairah government next to MENA Terminals, and is managed by Dynatron FZE. An environmental study and permitting are being handled by MUC Engineering.

MENA Biofuels is part of the Mercantile & Maritime Group, a Dubai-based firm active in energy trading, logistics and terminal assets across the Middle East, Europe and Asia.

Emarat, established in 1980, operates a national network of fuel stations and supplies petroleum products, natural gas and lubricants across the UAE.

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