Allied Biofuels and Praj Industries Sign Memorandum to Build Central Asia’s Largest Ethanol Production Facility in Uzbekistan

Tashkent, Uzbekistan (UzDaily.com) — Allied Biofuels FE LLC and Praj Industries Ltd have signed a memorandum of understanding to construct the largest ethanol production plant in Central Asia, located in Uzbekistan’s Khorezm Region.

Under the agreement, Praj will provide processing technology capable of producing 890 tons of ethanol per day (293,700 tons per year) at 95% concentration, while also implementing biogenic CO₂ capture in the 1G process.

The ethanol produced will serve as the key feedstock for Allied Biofuels’ future advanced fuels complex. The facility plans to produce 160,400 tons of sustainable aviation fuel (SAF) and 5,040 tons of green diesel annually.

Additionally, biogenic CO₂ will be combined with syngas and green hydrogen produced via electrolysis using 2,000 MW of PEM electrolyzers, enabling the production of up to 257,000 tons of electro-synthetic aviation fuel (e-SAF) per year.

The project represents a crucial step in establishing the first integrated petrochemical cluster in Central Asia for the production of SAF, e-SAF, and green diesel.

As part of the agreement, Praj will provide its first-generation ethanol production technology, supply equipment, manage design and engineering support, oversee deliveries, and assist in commissioning. Sorghum will serve as the primary feedstock for ethanol production.

The initiative aligns fully with Uzbekistan’s climate agenda and aims to achieve emissions reduction targets. Deep processing of ethanol into sustainable aviation fuel will reduce fossil fuel consumption, lower the carbon footprint, and strengthen the country’s position in renewable energy.

Alfred Benedict, Chairman and Managing Director of Allied Biofuels, stated: “Signing this memorandum is a strategically important milestone for Uzbekistan and the future of renewable energy in the region. By establishing ethanol production as the foundation of the entire value chain, Allied Biofuels aims to create an integrated complex for industrial-scale SAF, e-SAF, and green diesel production. This will enhance energy resilience, reduce emissions, and generate long-term economic opportunities. Praj’s technologies provide a reliable foundation for implementing the project in Khorezm.”

Dr. Pramod Chaudhari, Chairman of Praj Industries, emphasized: “We are delighted to participate in this innovative project with Allied Biofuels. Leveraging our experience and technological solutions, Praj will make a significant contribution to building a modern ethanol production facility in Uzbekistan. The project will accelerate the achievement of sustainable development goals and reinforce Central Asia’s role as a growing hub in the global energy transition.”

The project will create hundreds of new jobs, stimulate related industries, and strengthen Uzbekistan’s status as a regional center for advanced biofuels, catering to increasing domestic and international demand.