Kuwait’s KPI, Italy’s Eni sign deal to build major biofuel complex in Sicily
KPC expands green footprint in Europe with 500,000-ton biofuel project
Kuwait Petroleum International (KPI) signed an agreement with Italian energy giant Eni on Tuesday to establish a major biofuel production complex in Italy, marking a significant step in Kuwait’s global energy transition strategy.
The agreement was signed during the Kuwait Oil & Gas Show and Conference (KOGS 2026), held under the patronage and in the presence of His Highness Sheikh Ahmad Abdullah Al-Ahmad Al-Sabah, Prime Minister of Kuwait.
KPI Chief Executive Officer Shafi Al-Ajmi said the joint investment between KPI’s Italian branch and Eni in Sicily will substantially expand the two companies’ biofuel production capabilities and strengthen their long-standing strategic partnership, which dates back to their cooperation in the Milazzo refinery in 1996, reports Al-Qabas daily.
Al-Ajmi explained that the new complex will utilize Eni’s proprietary Ecofining technology, which converts waste vegetable oils into 100% renewable biofuel. The facility will have an annual production capacity of 500,000 metric tons, reports Al-Jarida daily.
The plant will be designed for maximum operational flexibility, enabling the production of HVO (Hydrotreated Vegetable Oil biodiesel) and SAF (Sustainable Aviation Fuel) — two fuels considered crucial for decarbonizing land, maritime and air transport.
He noted that these fuels are expected to reduce greenhouse gas emissions by at least 65 percent compared to conventional fossil fuel mixes.
Al-Ajmi stressed that the project reflects Kuwait Petroleum Corporation’s commitment to its 2050 energy transition strategy and represents KPI’s second major strategic partnership with Eni in the sustainable biofuels sector.
“This investment will position both companies at the forefront of renewable fuel producers in Europe,” he said.
The project aligns with global trends aimed at cutting carbon emissions in the transport and energy sectors and will contribute to developing Kuwaiti expertise in clean energy technologies and green supply chains.
KPI affirmed its commitment to diversifying investments in line with KPC’s long-term biofuels strategy and reinforcing its role as a leading provider of sustainable mobility solutions across European markets.
Established in 1983, KPI is the international marketing arm of Kuwait Petroleum Corporation. The company operates more than 4,800 retail fuel stations across Europe, including over 2,800 in Italy.
Its aviation division supplies fuel to more than 70 international airports, while its lubricants arm produces and markets high-quality lubricant products worldwide.
KPI also holds stakes in three international refineries in Italy, Vietnam and Oman through partnerships with global energy firms — further underlining its expanding global footprint as it pivots toward cleaner energy solutions.
