The European Investment Bank (EIB) and Eni signed a €500 million, 15-year loan agreement to support the conversion of selected units at Eni’s Sannazzaro de’ Burgondi refinery in the Italian province of Pavia into a modern biorefinery. EIB Vice-President Gelsomina Vigliotti and Eni CEO Claudio Descalzi formalised the agreement, marking another important step in Europe’s transition toward low-carbon fuels and sustainable mobility.
Converting Sannazzaro into a Next-Generation Biorefinery
Eni will convert the refinery’s Hydrocracker (HDC2) unit using its proprietary Ecofining™ technology. At the same time, the company will construct a pre-treatment plant designed to process waste-based feedstocks. These feedstocks will include used cooking oils, animal fats, and residues from the agri-food industry, which are key raw materials used by Enilive, Eni’s subsidiary focused on sustainable mobility solutions. By transforming waste into valuable fuels, the project promotes a circular and resource-efficient production model, while strengthening Europe’s renewable fuel supply chain.
Ecofining™ Technology and HVO Biofuel Production
Through its Ecofining™ technology, Enilive produces hydrotreated vegetable oil (HVO) — a renewable biofuel derived from sustainable feedstocks in line with the EU Renewable Energy Directive. Unlike conventional biodiesel, pure HVO can be used directly in approved engines, making it a practical and scalable alternative for reducing transport emissions. Currently, HVO fuel is already available at more than 1,600 Enilive service stations across Europe, demonstrating growing market adoption.
Production Plans: HVO Diesel and Sustainable Aviation Fuel
The upgraded Sannazzaro facility is expected to begin operations in 2028. Once operational, it will produce both HVO diesel biofuel, and Sustainable Aviation Fuel (SAF). The plant will have an annual production capacity of approximately 550,000 tons. SAF is particularly important because it currently represents one of the few viable solutions for decarbonising the aviation sector, where electrification options remain limited.
Supporting Transport Decarbonisation and Energy Security
The project will utilise existing refinery infrastructure and utilities, enabling Eni to efficiently integrate renewable fuel production with existing operations. As a result, the Sannazzaro biorefinery will reduce the carbon footprint of road and air transport, expand Europe’s advanced biofuel production capacity and strengthen energy security in Italy and the European Union, The initiative also supports the EU’s REPowerEU strategy, which aims to accelerate the transition to cleaner and more secure energy systems.
Part of Eni’s Expanding Global Biorefining Network
The Sannazzaro project follows a similar €500 million financing agreement signed in July 2025 to convert Eni’s Livorno refinery into a biorefinery. Through these initiatives, Enilive aims to increase its biofuel production capacity to 5 million tons per year by 2030, including over 2 million tonnes of sustainable aviation fuel (SAF). Currently, Enilive produces biofuels at Venice biorefinery (Italy), Gela biorefinery (Italy), St. Bernard Renewables biorefinery in Louisiana, USA (a joint venture where Enilive holds a 50% stake). The company is also expanding its footprint globally: Livorno biorefinery (Italy) – expected in 2026, two new biorefineries under construction in Malaysia and South Korea and the Priolo biorefinery in Sicily, developed with Q8, planned for completion by 2028.
Leadership Perspectives
EIB Vice-President Gelsomina Vigliotti highlighted, “This financing represents strategic support for a project with high environmental and industrial value. It will contribute to the decarbonisation of the transport sector, particularly aviation. Through this initiative, the EIB aims to strengthen Europe’s capacity to produce advanced fuels and promote the circular and sustainable use of resources.”
Eni CEO Claudio Descalzi emphasised, “This agreement with the EIB demonstrates the strength of our strategy for energy transition businesses. Delivering a real transition toward lower-impact energy solutions requires building businesses capable of growing and creating value. By combining advanced technologies with industrial-scale execution and a growing customer base, we are making tangible progress”.
Descalzi also noted that biorefining and biofuels play a crucial role in reducing transport emissions across all segments, while aligning well with existing market demand. As per the press release, Eni ranks as the second-largest biofuel producer in Europe, and the company continues to expand its refinery conversion programme to accelerate the shift toward sustainable fuels.
