Shell Pernis overhead shot

Building one of Europe’s biggest biofuels facilities

Shell is building an 820,000-tonnes-a-year biofuels facility at the Shell Energy and Chemicals Park Rotterdam, the Netherlands, formerly known as the Pernis refinery.

Once built, the facility will be among the biggest in Europe to produce SAF and renewable diesel made from waste and certified sustainable vegetable oils. 

These low-carbon fuels will help to meet growing demand from the transport sector, including hard-to-decarbonise sectors such as heavy road transport and aviation.

A final investment decision for the project was announced in September 2021, with production expected to begin in 2024.

Find out more here

Our commitment

Our low carbon fuels operations go hand in hand with our work around electric vehicle charging, hydrogen and liquefied natural gas (LNG) as fuels. Together they form part of a wider commitment to provide a range of lower-carbon transport options for customers.

Read more about New Energies

Working with today's infrastructure

LCF can be blended with existing fuels such as gasoline and aviation fuel, and don't require costly investment in new infrastructure. That means they are a practical option for reducing transport emissions for our customers today.

Our focus on long-haul journeys

LCF play a vital role in trucking, aviation and shipping. This is because liquid LCF provide a lot of energy for a given amount of fuel. Electricity and hydrogen offer solutions over shorter distances today but, the longer the journey, the more important LCF are.

Biodiesel, bioethanol and SAF offer practical, cost-effective solutions for reducing CO2 emissions associated with long journeys. They do not require investment in new infrastructure, and provide the same high energy density as traditional fuels.

Supplying our customers

Sales & Marketing
Shell employee refuelling a car

Motorists

Shell is one of the world’s largest traders and blenders of biofuels. In 2019, we blended around 10 billion litres of biofuels, helping retail customers across the world decarbonise millions of journeys each year. Our renewable compressed natural gas (R-CNG) and liquified renewable natural gas (bio-LNG) fuels help decarbonise road freight journeys each and every day.


Shell refuelling truck in front of an airplane

Sustainable Aviation Fuel

In July 2020, alongside World Energy, Shell agreed to supply Amazon Air with up to six million gallons of blended SAF which has the potential to reduce carbon emmisions by 20%. In late 2020, Shell began working with Neste to increase SAF supply. Shell also has supply agreements with Schiphol Airport, DHL Express and Red Rock Biofuels.


partnership
EuroNet consortium

Bio-LNG network

As part of the EuroNet consortium, Shell, alongside DISA, Scania, IVECO and Nordsol, are working to put 2000 more LNG-powered trucks on the roads, and build the LNG service stations and production facilities needed to support these journeys. As part of the consortium, we hope to supply our customers with net-zero bio-LNG by 2025.


Carson

R-CNG fuelling site

Shell is constructing its first R-CNG fuelling site at its Carson terminal in California. The fuelling site will source RNG from Junction City in Oregon, and will allow Shell to decarbonise its own road freight fleet in and out of the terminal. R-CNG will also be provided for Shell's hauling partners, equipped with ultra-low NOx Natural Gas vehicles.


man getting on truck

We supply and produce products to decarbonise journeys for our customers. These products range from Sustainable Aviation Fuel, to renewable compressed natural gas and biodiesel for road transport customers, and biobunker for our marine customers.

Production around the world

Biofuels
harvesting sugar cane with machine

Raízen JV

Through Raízen, Shell is already a significant producer of LCF. Raízen hosts one of the world’s first waste to ethanol plants, and the 4ᵗʰ largest renewable natural gas (RNG) facility in the world. If Raízen were a country, it would be the fifth largest producer of bioethanol in the world. In 2019, Raízen produced 2.5 bln litres of sugarcane ethanol.


Overview photo of Rheinland refinery

Rheinland refinery

We are transforming our manufacturing operations. This means changing what we make and how we make it to produce low carbon products for our customers. In 2020, our Rheinland refinery produced enough low carbon diesel to fill over half a million vehicles a year, removing 50kt of CO₂ in the process, with ambitions to increase production from 2021 onwards.


New Energies
Varennes Carbon Recycling

Varennes Carbon Recycling

With Enerkem and other investors, Shell is building an LCF plant in Quebec. Commissioning of the first phase of the facility is scheduled for 2023 and, once completed, the plant will treat more than 200,000 tonnes of non-recyclable commercial, industrial and wood waste per year, with an annual production of nearly 125 million litres of LCF.


Junction City

Junction City

Shell’s first US renewable natural gas (RNG) facility in Junction City, Oregon, uses locally sourced cow manure and agricultural residues to produce 2,650 scfm of biogas, upgraded to approximately 736,000 MMBtu a year of RNG.


Our approach

Supporting our customers

airplane taking off

Producing and supplying LCF for our customers will help decarbonise the transport sector by helping them meet their own decarbonisation ambitions. This means providing an affordable, consistent and robust service, using our experience of maximising our supply chains, and developing our marketing businesses so that we are able to grow the impact our lower-carbon solutions have on customers and society.

Decarbonising long journeys

large ship on water

Biofuels are one of the largest sources of renewable energy in use today. They can be blended with traditional fuels and used in vehicles and infrastructure without expensive modification. This is crucial, because transport accounts for more than a quarter of the world’s energy use and one-fifth of its energy-related CO2 emissions.

Electrification of road transport, driven by advances in EVs and hydrogen, will only continue to accelerate the decarbonisation of road transport. However, LCF will be needed to decarbonise longer journeys by road, sea and air for decades to come. Our ability to serve our road freight, aviation and marine customers is key to decarbonising the entire transport sector.

Our net-zero ambition

woman overlooking a city full of lights

For the world to tackle climate change and meet the goals of the Paris Agreement by limiting the global temperature rise to 1.5° Celsius, society needs to stop adding to the stock of greenhouse gases in the atmosphere – a state known as net-zero emissions. Advanced parts of the world are likely to need to reach that goal by 2050. Shell supports this effort. In fact, Shell has set itself an ambition to become a net-zero emissions energy business by 2050 or sooner, in step with society. Shell’s LCF business supports this aim and is anchored around our access to affordable feedstocks, commitment to sustainable practices, and our ability to commercialise advanced technology.

Transforming production

man writing in notebook on a plant

We are determined to provide our customers with lower-carbon transport options. And that means growing our production capacity by transforming our existing Energy and Chemicals Parks, building new low carbon fuels facilities, forming strategic partnerships with cutting-edge technology companies, and working to develop new technology and optimise our operations.

Our ability to integrate technologies, like green hydrogen produced from renewable power or carbon capture and storage (CCS), into our production processes at a commercial scale allows us to further reduce the carbon intensity of our products.

Partner of choice

glass building with Shell flag on top

The combination of our technology, experience, supply chain optimisation and growing production capacity makes us a partner of choice for many. This is exemplified by our recent investments with Enerkem to build Varennes Carbon Recycling, and our recent supply agreements with World Energy, Neste and Red Rock which have helped us support our aviation customers like Lufthansa, Amazon Air and DHL Express.

Our products and technologies

HEFA