TotalEnergies delays, cuts size of Grandpuits HVO

: Biofuels, Oil products
25/03/20

TotalEnergies is delaying the start up of its Grandpuits hydrotreated vegetable oil (HVO) plant, and is planning to reduce the plant's proposed capacity.

TotalEnergies confirmed the planned 400,000 t/yr HVO and HVO jet fuel (SAF) plant, near Paris, will not start in 2025 as previously outlined. Instead, a first phase of 210,000t of SAF output is slated to begin operations "early in 2026." TotalEnergies said there will then be a second phase of 75,000t, which will start at an unspecified point in 2027, giving 285,000 t/yr. If all production is SAF this would be equivalent to around 6,155 b/d.

The CGT union said its members at Grandpuits downed tools for 24 hours yesterday, 19 March, as a result of the company's announcement. Workers say they have been promised a meeting with management in mid-April, and there does not appear to be industrial action at the site today.

TotalEnergies halted crude distillation at the 93,000 b/d Grandpuits four years ago. The transformation includes a 10,000 t/yr plastics recycling unit. It said 1,200 workers are on site to undertake the conversion and this will result in 250 full time posts on completion. This is consistent with previous plans.

The delay and reduction in size at Grandpuits does appear to confound targets for TotalEnergies' HVO and SAF output previously laid out by chief executive Patrick Pouyanne. The company operates a 500,000 t/yr HVO and SAF plant at La Mede, near the port of Fos-Lavera. A Grandpuits worker said management has indicated the company will look to purchase HVO and SAF, in order to honour contractual obligations.

By Adam Porter

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