Uzbekistan to host Central Asia’s first $5.9B biorefinery
Australian firm Allied Biofuels to produce over half a million tons of sustainable aviation fuel annually
TASHKENT, Uzbekistan (MNTV) — Central Asia is set to become home to its first fully integrated biorefinery, after Australia’s Allied Biofuels announced a $5.9 billion investment to build a large-scale facility in Uzbekistan’s Khorezm region.
The plant will produce more than 540,000 tons of eco-friendly aviation fuel and renewable diesel each year, positioning the country as a regional hub for clean energy.
The deal was signed at the International Investment Forum in Khiva between Allied Biofuels chief executive Alfred Benedict and Khorezm regional governor Jurabek Rakhimov, Gazeta.uz reported.
Local authorities pledged land and water resources to support the project, which is expected to generate hundreds of jobs and accelerate Uzbekistan’s transition away from fossil fuels.
Once operational, the Tuprakkala-based plant will manufacture 382,000 tons of sustainable aviation fuel (SAF), 152,000 tons of electro-synthetic SAF (e-SAF), and 11,000 tons of renewable diesel annually. Hydrogen for the process will be produced using electrolysers with a 2-gigawatt capacity, powered by renewable energy.
Benedict described the agreement as a “historic moment,” while regional officials said the project would strengthen Khorezm’s role in the global green energy map. Uzbek authorities have tied the initiative to the country’s national climate strategy, which pledges carbon neutrality by 2030.
Allied Biofuels registered its local operations in Uzbekistan in July 2025. Benedict also heads Allied Green Ammonia, another Australian clean-energy venture. Earlier this year, Uzbekistan’s Ministry for Attracting Foreign Investments signed a memorandum with the company to explore renewable projects, including large-scale urea, aviation fuel, and diesel production.
While the project’s scope has since evolved, officials describe the $5.9 billion refinery as one of the most significant foreign direct investment deals in Uzbekistan’s green sector. Analysts note that the initiative reflects growing international demand for sustainable aviation fuel, as airlines and governments worldwide seek to decarbonize air travel.
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