On July 24, Italian energy giant Eni announced the signing of a €500 million (approximately $588 million) financing agreement with the European Investment Bank (EIB) to support the conversion of its traditional refinery in Livorno, Tuscany into a modern biorefinery. The 15-year loan agreement was formalized at Eni’s headquarters in San Donato Milanese by EIB Vice President Gelsomina Vigliotti and Eni CEO Claudio Descalzi.

As the EU’s long-term lending institution, the EIB supports strategic green investments aligned with EU policy goals. This project will involve the construction of a new Ecofining™ plant with an annual capacity of 500,000 tonnes, along with a bio-feedstock pre-treatment facility. Using Eni’s proprietary Ecofining™ technology, the facility will produce hydrotreated vegetable oil (HVO), a renewable diesel made from waste cooking oil and agricultural residues. HVO can replace fossil diesel without infrastructure modifications and is suitable for road, rail, aviation, and marine transport.

Vigliotti highlighted the project’s strategic significance from both a technological and environmental perspective, calling it a model for industrial innovation driving climate neutrality. Descalzi emphasized that the Livorno biorefinery will contribute to Eni’s goal of reaching 5 million tonnes of bio-refining capacity by 2030, becoming the third such facility in Italy after Venice and Gela.

Notably, the plant will also have the flexibility to produce sustainable aviation fuel (SAF), supporting the EU’s green aviation ambitions. With global HVO demand projected to grow by 65% between 2024 and 2028, this investment not only aligns with the EU’s Renewable Energy Directive (RED III) but also helps Italy meet its legal target of using 1 million tonnes of biofuels by 2030.