EIB Backs the Sannazzaro Conversion with €500 Million
The European Investment Bank and Eni signed a €500 million, 15-year financing agreement on April 1, 2026 to support the conversion of selected units at the Sannazzaro de’ Burgondi refinery in Lombardy into a biorefinery.
The financing follows Eni’s Final Investment Decision for the project, announced in February 2026.
The European Investment Bank estimates the overall project cost at approximately €854 million, making the financing package a substantial part of the capital required for the conversion.
The project is designed to add renewable fuel production alongside the refinery’s existing conventional fuel operations rather than replace the entire industrial complex.
Existing Hydrocracker Will Become Part of the Biorefinery
The project includes converting the refinery’s HDC2 hydrocracker using Ecofining technology and constructing a new feedstock pre-treatment unit.
That pre-treatment system will allow the site to process waste-derived raw materials including used cooking oils, animal fats and residues from the agri-food industry.
These renewable feedstocks will then be converted into hydrotreated vegetable oil fuels.
The facility is being designed with production flexibility, allowing output to include HVO diesel as well as sustainable aviation fuel biojet.
Using existing refinery infrastructure allows Eni to integrate renewable fuel production into an established industrial and logistics network while adding dedicated equipment for lower-carbon feedstocks.
Production Is Scheduled to Begin in 2028
The Sannazzaro biorefinery is expected to begin producing HVO diesel and sustainable aviation fuel in 2028.
Planned production capacity is approximately 550,000 tonnes per year.
The project forms part of Enilive’s wider strategy to expand its global biorefining capacity to more than five million tonnes annually by 2030, including more than two million tonnes of SAF production capacity.
Sannazzaro also demonstrates a broader project model emerging across the renewable fuels industry: converting selected assets inside existing refinery sites instead of relying exclusively on entirely new greenfield plants.
That approach can make use of existing utilities, fuel logistics and industrial expertise while introducing new processing systems and renewable feedstocks.
With its investment decision approved and long-term financing now signed, Sannazzaro has moved beyond an early development proposal and into the implementation stage.
Sources
European Investment Bank — EIB and Eni Sign €500 Million in Financing for New Biorefinery in Sannazzaro de’ Burgondi, April 1, 2026
Eni — Investment in the Development of Biorefining in Sannazzaro de’ Burgondi Is Confirmed, February 25, 2026