The Port of Riga will produce hydrotreated vegetable oils (HVO) and sustainable aviation fuel (SAF) products. These are high-value-added products in high demand both in Latvia and in Europe, as they support climate neutrality and the Green Deal objectives, the port said.
The planned plant is the first of its kind and is unique in the Baltic region, the port said.
The plant will process 236,000 tonnes of raw material – vegetable oil – per year, from which 93,000 tonnes of HVO and 87,000 tonnes of SAF are planned to be produced.
The total cost of the project is estimated at up to €120 million and could be completed in 20 months as all the equipment and technology is already available.
Climate and Energy Minister Kaspars Melnis (Greens and Farmers Union) said the new plant would create 120 jobs, provide Latvian farmers with stable crop demand, and help Latvia meet its climate neutrality targets.
Armands Sadauskis, owner of the oil product transhipment terminal Pars termināls Ltd, explained that currently HVO and SAF are only imported in the Baltics, so the new plant will strengthen economic independence and shorten logistics chains.
"This plant would also benefit our aviation sector, and the Latvian national airline airBaltic would also be a direct beneficiary, with immediate, significant economic benefits, especially looking beyond 2030, when at least 20% of aviation fuel will have to be renewable," Sadauskis said.
Economic cooperation with Ukrainian investors is important in today's geopolitical situation, noted the Freeport of Riga Authority.
