MENA Biofuels, part of Mercantile & Maritime Group, has begun implementation of the UAE’s first Sustainable Aviation Fuel (SAF) production plant at the Fujairah Oil Industry Zone (FOIZ), moving the project from concept into execution within 12 months.
The facility will convert used cooking oil and other waste-based feedstocks into certified SAF. Phase One, representing a planned investment of USD 200 million, is expected to produce 125 million litres annually, equivalent to about 18% of the UAE’s 2030 SAF target.
A second phase, scheduled to double capacity to 250 million litres per year with a further USD 100 million investment, would lift potential domestic output to 36% of the target.
Project milestones and implementation
Over the past year, MENA Biofuels has secured land adjacent to MENA Terminals from the Government of Fujairah, completed feasibility, topographic and hydrological studies, and appointed Dynatron FZE as project manager.
It has also selected a technology provider for converting waste feedstocks into SAF and commissioned MUC Engineering, Fujairah Branch to conduct the Environmental Impact Assessment and oversee NOC requirements.
The company has contracted Robert Wright, former CEO of the European Biofuels Association, to advise on policy and regulation.
The project aligns with the UAE’s Sustainable Aviation Fuel Roadmap 2030 and Net Zero 2050 strategy, offering airlines a domestic supply route for certified SAF rather than relying solely on imports.
Offtake and commercial progress
At ADIPEC 2025, MENA Biofuels signed a strategic offtake MoU with Emarat in the presence of Suhail bin Mohammed Al Mazrouei, Minister of Energy and Infrastructure. A similar agreement is expected to be signed at the Dubai Airshow, formalising early demand ahead of commercial production.
Ali Khalifa Al Shamsi, Chief Executive Officer of Emarat, said that the project requires “investors, technology and distributors pulling in one direction.”
Further stating that the agreement aims to accelerate locally produced, certified SAF volumes from Fujairah, “twelve months from concept to implementation sends a clear signal that the UAE is serious about sustainable aviation fuel.”
EPCC tendering and next steps
MENA Biofuels has launched the first of two Engineering, Procurement, Construction and Commissioning (EPCC) tenders, covering receiving, storage and distribution facilities for feedstock, SAF and by-products.
The package forms the logistical backbone of the project. A second tender for the refinery process units and associated infrastructure is scheduled for Q1 2026.
Captain Salem Al Afkham, Director of FOIZ, described the project as “a defining milestone for the UAE and Fujairah,” saying it supports the emirate’s ambition to diversify its energy mix and move into cleaner, higher-value fuels, positioning FOIZ beyond its traditional role as a storage and bunkering hub.
In Afkham’s words, FOIZ is evolving into “a fully integrated energy ecosystem” capable of converting feedstocks into sustainable fuels, reinforcing the UAE’s clean-energy agenda.
Domestic SAF production has become a policy priority as airlines seek credible decarbonisation pathways. The UAE’s roadmap calls for scaling local supply to meet future blending requirements and establish the country as a regional clean-fuel leader.
