Petronor expects its synthetic fuels facility at the Port of Bilbao to be fully operational in early 2027, according to an update from the port authority.

The project, developed by Petronor as part of the wider Repsol group, will have the capacity to produce around 2,000 tonnes of synthetic fuels each year and represents an investment of €146m ($172m).

Bizkaia’s deputy general, Elixabete Etxanobe, visited the site alongside port authority president Iván Jiménez to mark the maritime arrival of a 1,200-tonne mechanical structure. More than 190 people participated in the operation to install the structure, which will serve as the base for mounting all equipment.

The facility will convert captured CO₂ and renewable hydrogen into synthetic products, with hydrogen supplied by a 10MW electrolyser located within the port’s decarbonisation hub. Output is expected to include diesel, sustainable aviation fuel (SAF) and naphtha, a primary component in petrol blending.

According to the port authority, the synthetic fuels will share similar properties to conventional fuels and can be used across existing transport fleets, including road vehicles, ships and aircraft, without requiring major modifications.

The plant is being positioned as one of the largest installations of its kind globally, incorporating what officials described as innovative, experimental technology to accelerate the deployment of low-carbon fuel alternatives.

Petronor is jointly owned by Repsol and Kutxabank; it employs approximately 940 people directly in Bizkaia and over the last five years has invested more than €1.2bn ($1.4bn).