Cepsa and PreZero Spain sign biomethane agreement

Cepsa and PreZero Spain have signed a strategic partnership agreement that will enable both companies to pursue their decarbonisation goals.
Under the agreement, PreZero Spain will supply biomethane from some of its projects to Cepsa, and the two companies will jointly develop biomethane production plants.
In addition, Cepsa and PreZero Spain will work on the recovery of waste to produce second-generation biofuels and circular chemical products, as well as the decarbonisation of the land-based fleet operated by PreZero in Spain and Portugal.
The two companies announced that they have made progress on the construction of a biomethane plant in the province of Huelva.
This new plant, with an annual capacity of up to 100 GWh, will be one of the largest renewable energy installations of this type in Spain and will be used to produce green hydrogen and renewable fuels.
The plant will be built at Cepsa’s facilities in Palos de la Frontera, where the company owns an Energy Park and is building the largest 2G biofuel plant in southern Europe, which will produce sustainable aviation fuel (SAF) and renewable diesel.
Carlos Barrasa, Vice President of Commercial and Clean Energy at Cepsa, said: “This partnership with PreZero will allow us to expand access to circular raw materials, which will enable us to produce alternative energy sources that facilitate the energy transition, such as green hydrogen and second-generation biofuels.
“Together, we will develop a sustainable alternative to processing municipal and industrial waste, recovering this waste to produce renewable energy, thereby promoting a circular and decarbonized economy.”
Gonzalo Cañete, General Manager of PreZero in Spain and Portugal, added: “This agreement stems from Spain’s huge potential to develop biomethane as a renewable source of natural gas, as well as the need to align with other EU countries in achieving circular economy and decarbonisation goals.
“To achieve this, along with public-private cooperation, we need to strengthen cooperation between private companies, as shown by this promising partnership we are announcing today.”