OMV signs UCO purchase agreement with Astra Bioplant

Bulgarian refiner OMV Petrom announced that it has signed a feedstock agreement for purchase of pre-treated used cooking oil with Astra Bioplant.

The contract will last for a period of five years, with the possibility of extension for three additional years, with deliveries to begin in 2028. The UCO will be used as raw material for the production of sustainable aviation fuel (SAF) that will be processed in the SAF/HVO plant currently in construction at the Petrobrazi refinery.

Pricing is based on a formula that is indexed to an international quotation, said OMV.

The maximum total quantity of the contract is 0.6m tonnes, with an estimated value of over € 700m ($806.9m). 

With the supply contract for pre-treated vegetable oil signed with another firm Expur in June 2024, OMV Petrom said it has secured more than 80% of the feedstock for the first eight years of production at the SAF/HVO plant in execution phase.

Astra Bioplants the largest producer of biodiesel in Bulgaria.

OMV in February this year said it has begun construction on its SAF and renewable diesel production (HVO) site at Petrobrazi in Romania.

The site will have the capacity to produce 250,000 tons of renewable fuels per annum.