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Shell venture eyes creating hydrogen supply and demand

  • Market: Biofuels, Hydrogen
  • 11/10/21

Shell wants to break what it calls the "chicken and egg problem" in European hydrogen through a partnership that it hopes will create demand and supply at the same time.

The venture sees Shell team up with specialty-vehicle manufacturer Paul Nutzfahrzeuge and German downstream firm MaierKorduletsch. The former will build hydrogen-powered medium sized fuel-cell trucks, and the latter will build and operate filling stations for them. Shell will provide the hydrogen.

Paul Nutzfahrzeuge plans to begin mass production of its truck by 2023, and Shell said it could have up to 50 hydrogen filling stations by 2025, with the participation of other partners and public funding. The project is subject to a final investment decision, Shell said.

In a similar initiative, Shell New Energies in the Netherlands recently said it would from 2024 start operating a hydrogen filling-station network for Daimler heavy trucks between its planned green-hydrogen production sites in Rotterdam, Cologne and Hamburg. Daimler Truck plans to hand over the first heavy hydrogen trucks to customers from 2025. The partners' plan provides for the continuous expansion of the hydrogen infrastructure in this corridor so that 150 hydrogen filling stations and around 5,000 heavy fuel-cell trucks of the Mercedes-Benz brand can go into operation from 2030.

Shell has begun operations in July at the 10MW Refhyne 1 electrolyser at its Reinland Energy and Chemicals Park, Cologne, and expects to make a decision later this year on adding the 100MW Refhyne 2 to the site. It plans to build a 200MW electrolyser in the Port of Rotterdam, which it intends to start by 2023 when it will produce around 50,000–60,000 kg/d of hydrogen. And Shell will build an electrolysis plant with a capacity of 100MW at its recently closed Moorburg coal-fired plant in Hamburg, Germany, with Swedish utility Vattenfall and Japanese engineering firm Mitsubishi Heavy Industries.


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11/07/25

Indonesia’s Alfamart invests $1mn in UCO firm Noovoleum

Indonesia’s Alfamart invests $1mn in UCO firm Noovoleum

Singapore, 11 July (Argus) — Indonesian convenience store retail chain Alfamart said this week it has invested $1mn into Singapore-based used cooking oil (UCO) collector Noovoleum. Noovoleum — established in 2023 — automates UCO collection in Indonesian cities, including in Java, Sumatra and Bali, with their "UCOllect" boxes, of which there are 100. It collects about 100t of UCO a month, which is sold to domestic buyers such as UCO aggregators, said the company's chief investment officer Egis Rimkus. Citizens deposit UCO into the boxes, which have an in-built quality testing system. They will then receive cash via the "UCOllect" application, if the quality of the oil is accepted. The rate varies every month and is currently at 5,500 rupiah/litre ($0.34/litre). There are now boxes at 12 Alfamart outlets across Indonesia. The final use of the UCO is unconfirmed, but some could be processed into biodiesel, market participants said. Indonesia has halted exports of UCO since January. There have been recent attempts to export refined UCO under a HS code unaffected by the ban, but bulk volume trades have likely still not been successful, traders told Argus . Noovoleum is in advanced negotiations with possible partners in Malaysia, Thailand and Singapore in light of Indonesia's export halt, with at least one partnership to be launched this year, Rimkus added. Noovoleum also placed "UCOllect" boxes at 10 gas stations belonging to state-owned Indonesian refiner Pertamina last December. This was part of a pilot project between the two. Pertamina has been trialling sustainable aviation fuel (SAF) production since the second quarter of 2025 , but large-scale production of SAF and hydrotreated vegetable oil (HVO) is expected only in 2029 , the refiner said. By Sarah Giam Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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US biofuel support clears way for new crush capacity


10/07/25
News
10/07/25

US biofuel support clears way for new crush capacity

New York, 10 July (Argus) — North American oilseed crushers told Argus that projects to increase processing capacity are on track for the next year, potentially enabling more renewable fuel production. After a difficult start to the year for biofuel producers, US policymakers are increasingly making clear that they want refiners to up their output in future years and rely more on domestic feedstocks like soybean oil. That could pave the way for more oilseed crush capacity to come online, after some facilities delayed or cancelled plans over the last year on stagnant demand. Companies confirmed to Argus that more than 620,000 bu/d of new soybean and canola crush capacity were on track to come online in North America in the next year, and other facilities that did not respond to requests for comment have plans in the coming years too. Greater vegetable oil supply also could at least partly address concerns from oil and biofuel refiners that Republicans' protectionist approach to biofuels threatens feedstock shortages and price spikes. A multi-seed crush facility under construction in Mitchell, South Dakota — which will be able to process up to 96,000 bu/d of soybeans — is scheduled to start up this October, South Dakota Soybean Processors chief executive Tom Kersting told Argus. US crush company Ag Processing similarly said that a new 137,000 bu/d soybean crush plant in David City, Nebraska, will open "later this year". In Canada, Cargill confirmed that a 121,000 bu/d canola processing plant in Regina, Saskatchewan is also on track to open this year. In the first half of next year, French agribusiness Louis Dreyfus said it plans to complete two major projects in North America. The company plans to open a 151,000 bu/d soybean crush plant in Upper Sandusky, Ohio, and to double capacity to more than 240,000 bu/d at a canola crush facility in Yorkton, Saskatchewan. US soybean oil futures have climbed by 12pc in the past month on recent policy shifts, providing more incentive for processors — already crushing more soybeans than ever before — to expand production. The US recently proposed record-high biofuel blend mandates for the next two years, projecting that domestic soybean oil production could increase by 250mn USG/yr. And President Donald Trump over the weekend signed legislation that retools a crucial US tax credit to increase subsidies for crop-based fuels. Canadian canola processors, which depend on US incentives because Canada's biofuel sector is far smaller, benefit less from some of these policy shifts. While US fuels made from Canadian feedstocks can still claim the tax incentive next year, the Trump administration has proposed halving credits generated under the biofuel blend mandate for fuels made from foreign feedstocks. That makes US soybean oil a far more attractive input for US refiners than Canadian canola oil. A Canadian farm cooperative earlier this year paused plans for a combined canola crush and renewable diesel plant in Regina, Saskatchewan, citing "regulatory and political uncertainty". And Bunge was vague about its plans for building the world's largest canola crush plant in the same city, which was initially envisioned to start up last year. The US-based agribusiness, which recently took over the project with its acquisition of Viterra, told Argus it was "focused on integration to ensure a smooth transition for our customers" and "may be able to provide an update in the near future". Even then, canola oil stands to benefit from increased demand from food companies if more US soybean oil is diverted to fuel markets. And despite recent struggles for other Canadian biorefineries, ExxonMobil subsidiary Imperial Oil has plans to soon open a 20,000 b/d renewable diesel plant in Alberta that will draw on canola oil. Canadian policymakers have taken steps to assuage local feedstock suppliers and refiners, including a domestic renewable fuel mandate in British Columbia and a proposed mandate in Ontario. Biofuel production and oilseed crush margins also will depend on interactions with other policies, including a temporary tax break through 2026 in the US for small biodiesel producers — historically more reliant on vegetable oils than more versatile renewable diesel plants — as well as low-carbon fuel standards in the US west coast region and Canada. The perennial risk for any company is that policy, especially around biofuels, often swings unexpectedly. By Cole Martin Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Brazil eyes retaliatory tariffs on US


10/07/25
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10/07/25

Brazil eyes retaliatory tariffs on US

Rio de Janeiro, 10 July (Argus) — Brazil will consider reciprocal tariffs if US president Donald Trump goes ahead with his threat of a 50pc charge on imports from Brazil, president Luiz Inacio Lula da Silva said. "Any unilateral tariff increases will be addressed in accordance with Brazil's economic reciprocity law," Lula posted on social media late on Wednesday. He defended Brazil's sovereignty and said the country "will not accept any form of tutelage". He rebutted Trump's claim that the US has a "very unfair trade relationship with Brazil", pointing to its long-running trade surplus. Brazil has run a trade deficit for goods and services with the US adding up to over $400bn over the last 15 years, finance minister Fernando Haddad said in a televised interview. "This is an eminently political decision, because there is no economic rationale in this measure," he said. The US is Brazil's second-largest trading partner behind China, receiving $40.3bn worth of exports in 2024, according to the Brazilian secretary of foreign trade. It is the main market for Brazilian manufactured goods. The national confederation of industries (CNI), a lobby group, called for negotiations with the Trump government "to preserve the countries' historical trade relationship". A group representing the powerful agribusiness lobby in congress, FPA, also called for diplomatic negotiations. The tariffs can "severely hamper production, investments and supply chains between the two countries," US-Brazilian chamber of commerce Amcham said. The tariffs bring uncertainty to the country's oil and gas sector, Brazil's oil chamber IBP said. Crude is Brazil's main export to the US, accounting for $5.8bn last year. "We are cautiously assessing the true impacts on investments and competitiveness on our industry," IBP said. The Brazilian real slumped against the US dollar in the wake of Trump's announcement, dropping to R5.6/$1 on Thursday morning before rallying slightly. A weaker real increases production costs for Brazilian companies who rely on imports. A letter that Trump sent on Wednesday to Lula is one of the 22 that the US leader has sent to his foreign counterparts since 7 July, announcing new tariff rates that the US will charge on imports from those countries. "I don't think that this situation will continue," Haddad said of the "unsustainable" 50pc levy, highlighting Brazil's diplomatic tradition. By Constance Malleret Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

News

Brazil eyes retaliatory tariffs on US


10/07/25
News
10/07/25

Brazil eyes retaliatory tariffs on US

Rio de Janeiro, 10 July (Argus) — Brazil will consider reciprocal tariffs if US president Donald Trump goes ahead with his threat of a 50pc charge on imports from Brazil, its president Luiz Inacio Lula da Silva said. "Any unilateral tariff increases will be addressed in accordance with Brazil's economic reciprocity law," Lula posted on social media late on Wednesday. He defended Brazil's sovereignty and said the country "will not accept any form of tutelage". He rebutted Trump's claim that the US has a "very unfair trade relationship with Brazil", pointing to its long-running trade surplus. The US is Brazil's second-largest trading partner behind China, receiving $40.3bn worth of exports in 2024, according to the Brazilian secretary of foreign trade. It is the main market for Brazilian manufactured goods. The national confederation of industries (CNI), a lobby group, called for negotiations with the Trump government "to preserve the countries' historical trade relationship". A group representing the powerful agribusiness lobby in congress, FPA, also called for diplomatic negotiations. A letter that Trump sent on Wednesday to Lula is one of the 22 that the US leader has sent to his foreign counterparts since 7 July, announcing new tariff rates that the US will charge on imports from those countries. By Constance Malleret Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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China’s Greater Bay Area ideal SAF hub: Cathay Pacific


10/07/25
News
10/07/25

China’s Greater Bay Area ideal SAF hub: Cathay Pacific

Shanghai, 10 July (Argus) — China's Greater Bay Area (GBA) could become a global demonstration zone for sustainable aviation fuel (SAF) within 2-3 years, said Hong Kong-based carrier Cathay Pacific's head of climate action Nikola Xing at the Sustainable Aviation Forum in Guangzhou today. The GBA's strategic advantage is its world-class airport cluster, which includes the Guangzhou Baiyun, Shenzhen, Hong Kong, Zhuhai and Macau airports, as their proximity makes SAF deliveries easier, he said. The cluster is expected to generate demand for up to 15mn t/yr of jet fuel, but the proportion of SAF in this mix remains undetermined. Hong Kong is expected to set a SAF consumption target in 2025, but has not yet done so. Meanwhile, the Civil Aviation Administration of China (CAAC) has set a SAF consumption target for 2025 of 50,000t (1,000 b/d), but the country does not have a mandate for SAF usage yet. Cathay Pacific consumed 217.8t of SAF between 2016 and 2023 and aims to use SAF for 10pc of its total fuel consumption by 2030, Xing said. The airline also started using SAF to offset 10pc of emissions from staff duty travel starting from 2024. Cathay Pacific also aims to support the development of SAF technologies and signed an initial agreement with State Power Investment (SPIC) in 2023 to encourage the use of the power-to-liquid (PtL) pathway. Most SAF plants produce via the hydrotreated esters and fatty acids (HEFA) pathway, but interest is growing in the alcohol-to-jet and PtL pathways. Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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