Refinery converts - increases production of aviation fuel

In Sweden, approximately 23 million cubic metres of fuel are produced annually. The largest is Varopreem's refinery in Lysekil with about twelve million cubic metres, followed by the company's facility in Gothenburg with six million. The remaining volumes, around five million cubic metres, are accounted for by St1.

Varopreem, formed through the merger of Preem and Varo Energy, has traditionally focused on diesel production. However, after the prices of aviation fuel soared in a short period and affected air traffic globally, the production mix is now being adjusted.

- As a result of disruptions in global supply chains, we have increased the production of aviation fuel at our refinery in Gothenburg. The adjustment reflects the current state of fuel supply, says Mattias Holmqvist, press officer at Varopreem to EFN.

He emphasises that the facility is fundamentally optimised for MK1 diesel and renewable diesel, but the flexibility of the system allows for quick shifts.

- Our production system makes it possible to adjust the balance between diesel and aviation fuel based on market needs, he says.

The increased output concerns conventional, fossil aviation fuel. In the long term, the ambition is to produce SAF, sustainable aviation fuel. Already in 2023, Preem decided to rebuild a facility in Lysekil with the goal of producing 600,000 cubic metres of SAF and an equal amount of HVO100 annually - but no final investment decision has yet been made.

Varopreem does not want to disclose the size of the increase in aviation fuel production in Gothenburg or how quickly the transition has been implemented.