- Press Releases
May 19 (Renewables Now) - A group of companies led by SGP BioEnergy will be undertaking a five-year government-supported project in Panama to build the world's largest biofuels production and distribution hub.
SGP BioEnergy and its partners plan to build the Biorefineria Ciudad Dorada, or Golden City Biorefinery, in Colon and Balboa. The three-phase project envisages the repurposing of existing facilities, currently processing and storing 70% of Panama's bunker fuel oil, to the refinement and storage of biofuels.
The new advanced biorefinery and sustainable aviation fuel (SAF) production platform will have the capacity to produce 180,000 barrels per day, or 2.6 billion gallons per year, of biofuel derived from purpose-grown plant oils. Each phase of the project will add a 60,000 barrels-per-day production capacity to the refinery.
Danish decarbonisation solutions provider Topsoe A/S has agreed to license its HydroFlex and H2 Bridge technologies for the project. Meanwhile, Fluor Corp (NYSE:FLR) and Mexico-based affiliate ICA Fluor will perform a front-end engineering study.
The scheme is being developed in partnership with the government of Panama, Panama Oil Terminals (POTSA) and private landowners. SGP BioEnergy noted it has also partnered with Goldman Sachs to identify investors willing to help finance the project.
"Our country welcomes this biofuels production and logistics facility that will help Latin America and the world in the energy transition and contribute to climate change innovation. Panama's unique geographic position, existing logistics platform, and special economic zones make it the perfect place for this facility,” stated Laurentino Cortizo, President of the Republic of Panama. He pointed out that the project will create about 1,000 jobs and has the potential to stimulate Panama's agricultural sector by producing bioenergy feedstocks locally.