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Dreexo Energy to Invest €27 Million in New Biofuel Plant in Cadiz
Dreexo Energy to Invest €27 Million in New Biofuel Plant in Cadiz

Dreexo Energy to Invest €27 Million in New Biofuel Plant in Cadiz

  • 05-May-2025 10:30 PM
  • Journalist: William Faulkner

Dreexo Energy is set to establish a biofuel production facility in Cadiz, investing €27 million in its initial phase. The plant will be built within the Zona Franca, the Free Trade Zone’s fiscal area, marking a significant step toward the city’s commitment to innovation and sustainable industrial development.

The facility will specialize in producing second-generation biodiesel, known as Sustainable Aviation Fuel (SAF), intended primarily for the aviation sector. Plans include constructing raw material storage tanks with an initial capacity of 98,000 cubic meters, which may be expanded in the future. The expected output is 57,000 cubic meters of finished product annually, with a treatment capacity of 100,000 tons per year.

Strategically located near a dock, the site will facilitate the import of raw materials mainly from the Middle East, Europe and North Africa, with possible expansion into Asian markets. The feedstock will include non-edible fats, possibly of animal origin or used cooking oils, that comply with regulatory standards. According to company spokesperson Del Corral, the production process involves “fine chemicals” and purification steps to remove elements such as phospholipids.

Dreexo emphasizes the project's environmental sustainability. The company states that the process will generate minimal waste, with many byproducts repurposed. Rubber residues will be sold to other industries, sand used in filtration will be reused, and wastewater will be treated on-site to meet municipal standards. The solid-state raw materials also reduce the risk of spills, as the product is unloaded directly from ships without combustion or odor issues.

Construction is slated to begin in the first quarter of 2026 and is expected to create between 100 and 200 temporary jobs. The plant will be located on a 51,000-square-meter site formerly occupied by the Altadis tobacco factory. The construction will take place on the previously demolished palletizing area, where existing concrete slabs will undergo load testing. If the results are favorable, the site may not require ground reinforcement, potentially accelerating the project timeline.

Once operational, the plant will employ about 50 permanent workers, primarily engineers, technicians and vocationally trained personnel.

The Free Trade Zone highlights the project as part of its broader strategy to foster Industry 4.0 and support environmentally responsible businesses. While not categorized under the blue economy, the initiative fits within the circular economy framework. Dreexo joins a growing roster of companies in the area, including Elecam, Rospa, Quest Global and Capgemini. The lease agreement for the facility will span 20 years.

Tags:

Biodiesel

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