Kenya Airways, Rubis Sign Deal for Africa’s First Dedicated Aviation Biofuel Refinery

Africa is set to establish its first dedicated sustainable aviation fuel refinery following a new partnership agreement between Kenya Airways and Rubis Energy Kenya, a subsidiary of French energy giant Rubis Group.

The two companies signed a memorandum of understanding to jointly develop the facility, which is expected to produce about 32,000 metric tonnes of sustainable aviation fuel annually.

The project, estimated to cost between €60 million and €70 million ($70.5 million to $82.2 million), was formalised during French President Emmanuel Macron’s official visit to Kenya, where he held bilateral talks with President William Ruto aimed at deepening economic and strategic cooperation between both countries.

According to the agreement, the refinery will be located near Jomo Kenyatta International Airport in Nairobi, positioning it close to one of East Africa’s busiest aviation hubs and a major centre for jet fuel consumption.

The development marks a significant milestone for Africa’s aviation and clean energy sectors, as the continent currently lacks a commercial-scale refinery dedicated solely to sustainable aviation fuel production.

Until now, Africa’s SAF market has largely depended on imported products, pilot initiatives and limited certification programmes. While South Africa’s Natref refinery previously secured sustainability certification linked to SAF production pathways, and Kenya Airways has conducted demonstration flights using imported sustainable fuel, no purpose-built refinery dedicated exclusively to SAF has existed on the continent.

Sustainable aviation fuel is increasingly viewed as critical to the aviation industry’s global decarbonisation efforts. Unlike conventional Jet A1 fuel refined from crude oil, SAF is produced from renewable feedstocks such as used cooking oil, agricultural residue, biomass and other lower-carbon materials.

Industry experts say the fuel can substantially reduce lifecycle carbon emissions while remaining compatible with existing aircraft engines and airport infrastructure.

For Kenya Airways, the project could help reduce long-term exposure to volatile fuel costs, which remain one of the airline industry’s largest operating expenses, while also improving its environmental sustainability profile amid growing global pressure on airlines to reduce emissions.

The agreement also reinforces France’s expanding commercial presence in Africa’s energy transition and infrastructure sectors, as European governments and companies seek stronger partnerships across strategic industries on the continent.

If completed, the refinery could position Kenya and the wider East African region as an early African production hub for sustainable aviation fuel, potentially opening opportunities for future exports as international demand for SAF continues to rise.