Agreement Signed to Build Central Asia’s First Sustainable Aviation Fuel Plant in Uzbekistan

Tashkent, Uzbekistan (UzDaily.com) — Allied Biofuels FE LLC Uzbekistan has signed an agreement with the Khorezm regional government regarding land and water resources, marking a major milestone in the implementation of a project to produce sustainable aviation fuel (SAF) in Tuproqqalin district, Khorezm.

The project involves investments of US$5.9 billion and will establish the first fully integrated, zero-emission biorefinery for aviation fuel in Central Asia.

The plant is expected to produce annually 382,000 tons of sustainable aviation fuel (SAF), 152,000 tons of electro-synthetic SAF (e-SAF), and 11,000 tons of renewable (“green”) diesel supported by 2 GW PEM electrolyzers. This initiative represents a first step toward developing a climate-oriented aviation fuel supply chain in Uzbekistan, strengthening Khorezm’s position as a hub for sustainable energy and industrial innovation.

The agreements were signed during the International Investment Forum in Khiva, where Khorezm Governor Jurabek Rakhimov met with the company delegation led by Chairman and Managing Director Alfred Benedict. During the negotiations, the parties discussed subsequent steps to implement the project, ensuring access to the necessary resources for its development.

The project aligns with Uzbekistan’s national climate strategy, aimed at achieving carbon neutrality by 2030. Large-scale zero-emission fuel production will reduce fossil fuel use in transport and industry, cut greenhouse gas emissions, and accelerate the country’s transition to green energy.

In addition to environmental benefits, the project will create hundreds of skilled jobs and strengthen Uzbekistan’s position as a regional center for sustainable energy. “This is a historic moment for Allied Biofuels and Khorezm,” said Alfred Benedict. “By combining international expertise with local support, we are establishing a facility that will not only ensure mass production of sustainable aviation fuel but also help Uzbekistan achieve its carbon neutrality goals while stimulating regional economic growth.”

Governor Jurabek Rakhimov expressed gratitude to the company for choosing the region, emphasizing that the project will enhance Khorezm’s role as a green energy hub, create hundreds of jobs, and make a significant contribution to regional economic development. He also noted that he would personally oversee the provision of necessary land and infrastructure.

Once operational, the plant will serve as a flagship example of environmentally sustainable industry, producing substantial volumes of SAF and e-SAF for domestic and international markets. The project demonstrates the region’s strategic commitment to environmentally responsible development, renewable energy innovation, and economic growth.