European Chemical Industry News & Insights

Minister Jordi Hereu Visits Cepsa’s Andalusian Green Hydrogen Valley

At a glance
  • Cepsa will invest €5 billion in Andalusia by 2030 for energy transition and decarbonization.
  • The Andalusian Green Hydrogen Valley project will involve a €3 billion investment and create 10,000 jobs.
  • Cepsa and Bio-Oils are building a second-generation biofuel plant in Huelva with a €1.2 billion investment.
  • Cepsa's new IPA plant in Huelva will use green hydrogen to produce sustainable isopropyl alcohol.

Investment and Projects

Cepsa plans to invest €5 billion in Andalusia by 2030, focusing on green hydrogen, second-generation biofuels, and sustainable chemistry. The Andalusian Green Hydrogen Valley will see a €3 billion investment, creating 10,000 jobs and positioning Spain as a leader in sustainable energy exports.

Green Hydrogen and Biofuels

The company is advancing its production of renewable fuels, particularly hydrogen and its derivatives, and second-generation biofuels. Cepsa and Bio-Oils are constructing the largest second-generation biofuel plant in Southern Europe in Huelva, with a €1.2 billion investment to produce 500,000 tons annually of sustainable aviation fuel (SAF) and renewable diesel.

Decarbonization Efforts

Cepsa's San Roque and Palos de la Frontera Energy Parks have increased their capacity for co-processing second-generation raw materials, already producing SAF, renewable diesel, and sustainable marine fuels. The company is also progressing towards more decarbonized solutions in its Chemicals business, producing biodegradable detergent raw material (LAB) with a significantly reduced carbon footprint and pioneering phenol production from single-use plastics.

New Developments

Cepsa has launched a new line of business with the construction of an isopropyl alcohol (IPA) plant in Huelva. This facility will use green hydrogen to produce IPA, replacing fossil-based feedstocks with sustainable alternatives, making it the first of its kind in Spain.

Economic Impact

Cepsa has been a major player in Andalusia for over 50 years, contributing more than 9% to the regional GDP. Its facilities provide direct employment to nearly 3,000 people and support over 9,000 additional jobs indirectly, partnering with over 600 local businesses.