Key Takeaways:
- Bunge and Repsol have announced the use of camelina and safflower oils in renewable fuel production, marking an expansion of feedstock sources for hydrotreated vegetable oil (HVO) and sustainable aviation fuel (SAF).
- These intermediate crops are intended to be grown on fallow land and may provide new opportunities for farmers while contributing to renewable fuel supply chains.
- Repsol will process the oils at its industrial facilities in Spain, incorporating them into its existing renewable fuel operations.
- The partnership aims to explore additional low-carbon feedstocks through ongoing research and collaboration.
- The initiative is part of broader efforts to support renewable energy development and reduce lifecycle emissions in transportation fuels.
Bunge and Repsol Introduce New Feedstocks for Renewable Fuel in Europe
Bunge (NYSE: BG) and Repsol have launched a collaborative effort to utilize camelina and safflower oils—derived from intermediate crops—in the production of renewable diesel and sustainable aviation fuel (SAF). The oils will serve as feedstocks for hydrotreated vegetable oil (HVO), part of a broader strategy to support renewable energy goals across the European Union.
This initiative follows the completion of a previously announced transaction between the companies and is intended to expand the pool of low-carbon feedstocks available for commercial use.
Bunge & Repsol: Utilizing Intermediate Crops as Sustainable Feedstocks
Grown on Fallow Lands, Supporting Crop Diversification
Camelina and safflower are described as intermediate novel crops that can be planted on lands not typically used for food production. These crops are being introduced as part of a low-carbon feedstock strategy aimed at producing renewable fuels with lower greenhouse gas emissions than conventional diesel.
According to Bunge, supporting the cultivation of these oilseeds provides both agronomic and economic benefits for farmers. The company is working with regional partners to promote sustainable crop rotation practices that may also improve soil health and biodiversity.
Processing and Production at Repsol’s Industrial Sites
Integration into Existing Fuel Infrastructure
The oils produced from these crops will be refined at Repsol’s industrial sites in Spain. The resulting renewable diesel and SAF are intended to serve as drop-in replacements for conventional fuels, allowing for broad adoption across transportation sectors.
“Our strategic alliance with Bunge strengthens our ability to scale renewable fuel production efficiently,” said Juan Abascal, Executive Managing Director of Industrial Transformation and Circular Economy at Repsol.
Expanding Agricultural and Energy Value Chains
Bunge Supports Supply Chain Development
Through its global network of growers and oilseed processing operations, Bunge is developing the infrastructure needed to bring these novel feedstocks to market. The company has emphasized its role in enabling value-chain partnerships that align with sustainability targets in both agriculture and energy sectors.
“By sourcing alternative oil crops, we are expanding our offering of cost-effective, sustainable feedstocks to customers worldwide,” said Julio Garros, Co-President, Agribusiness at Bunge.
Continued Research and Outlook
The partnership includes plans to further explore new low-carbon feedstock options through research and development. Both Bunge and Repsol are focused on scaling renewable fuel production through collaborative approaches that aim to reduce emissions while supporting rural economies.
This development adds to broader efforts across Europe to increase the availability of advanced renewable fuels, aligning with regulatory goals for climate action and supply chain resilience.