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Shell is developing a biofuels plant that will use Hydroprocessed Esters and Fatty Acids (HEFA) technology at its Energy and Chemicals Park Rotterdam in the Netherlands. This is set to convert waste such as animal fats and used cooking oil into a range of low-carbon fuels. Once operational, the HEFA Pernis facility is expected to produce up to 820,000 tonnes of SAF and renewable diesel from waste each year.

Through our investment in LanzaJet, a sustainable fuels technology company and producer, we are advancing the Alcohol to Jet (AtJ) technology platform, which can use any source of low-carbon ethanol to produce SAF and renewable diesel. In 2024, LanzaJet opened the world’s first AtJ production facility in Georgia, USA. The facility sources sustainable and waste-based ethanol for the production of SAF and renewable diesel.

In 2024, we commissioned a demonstration plant in partnership with Green Plains in Nebraska, USA, that uses our proprietary Shell Fibre Conversion Technology (SFCT) to convert the oil in corn kernels into second-generation low-carbon biofuel and high protein animal feed. This bolt-on technology is designed to help first-generation ethanol producers increase yield and margin – making their operations more valuable and more resilient.

For the longer term, we are looking to advance a range of technology pathways such as power to liquids and biomass to liquids to produce e-fuels at scale, including e-SAF. E-fuels are synthetic fuels produced using advanced processes that drive deeper decarbonisation by combining feedstocks such as biomass residues, carbon dioxide and renewable power.

To support our biofuels business, we are investing in new, sustainable feedstocks. In 2022, Shell acquired waste recycling company EcoOils which produces advanced biofuels feedstock at its facilities in Malaysia and Indonesia. EcoOils deploys cutting-edge recycling technology to divert waste away from landfill and produce Spent Bleaching Earth Oil (SBEO) and Refined Palm Oil Mill Effluent (R-POME), both internationally recognised and accredited feedstocks.

In 2023, Shell established a joint venture called Vision Bioenergy Oilseeds with S&W, a global agricultural company. The JV is advancing the development of plant genetics for intermediate oilseed crops and collaborating with farmers to cultivate oilseeds like Camelina. These intermediate crops are promising feedstocks for biofuel production due to their scalability, social and environmental benefits, and compatibility with the agricultural industry.

Ensuring our operations do not lead to environmental degradation and human rights violations is core to our business principles. This means working with our supply chain to prevent deforestation, protect biodiversity, improve traceability, and guard against land being used to grow energy crops which should be supporting the growing demand for food. We also try not to source renewable components or feedstocks associated with any violation of human rights, including child or labour violations.

We fully support the adoption of international sustainability standards for agricultural practices, and work with the Round Table on Responsible Soy, the Roundtable on Sustainable Palm Oil, Bonsucro, the Roundtable on Sustainable Biomaterials, and the International Sustainability and Carbon Certification for feedstocks. All of our purchased feedstocks that are considered to be high risk from a human rights, biodiversity, or release of carbon stock perspective are certified as sustainable by credible sustainability initiatives. Nearly all of our purchased volumes of biofuels are covered by contracted sustainability clauses. Read our purchasing policy here: purchasing-policy-statement-sustainable-sourcing-of-biocomponents (PDF, 206 kB)

The carbon intensity of our products depends on the feedstocks chosen and the process and technologies we use. New technologies are enabling our progression from crops to more sustainable alternative feedstocks, such as agricultural waste, inedible oils or crops (cellulosic biomass) and manure.

Producing low-carbon fuels from waste feedstocks is generally more sustainable than using food or energy crops. However the issues surrounding waste-based feedstocks can be wide-ranging and context specific. We work to understand the sustainability issues associated with each project on a case-by-case basis, and work closely with our farmers and suppliers, to share best practices and raise sustainability standards across the sector.