Uzbekistan Secures $6.08 Billion SAF Project to Build 160,400-Tonne Aviation Fuel Hub Powered by 4.45 GW of Clean Energy

Uzbekistan is taking a significant step into the sustainable aviation fuel market through a $6.08 billion project in the Khorezm region that aims to create Central Asia’s first integrated biofuel refinery. The project is being developed by Allied Biofuels FE LLC and is designed to produce sustainable aviation fuel, electro-synthetic SAF, and green diesel at industrial scale. The agreement was signed in Perth on April 2, 2026, and multiple reports say it has been reinforced by Uzbek presidential backing and incentive support.

At full capacity, the facility is projected to produce about 160,400 tonnes of SAF annually, alongside 257,000 tonnes of e-SAF and 5,040 tonnes of green diesel. That output would place Uzbekistan among a relatively small group of emerging markets investing directly in large-scale low-carbon aviation fuel production rather than relying mainly on imports or offset-based strategies.

 

The project is being built as an integrated clean fuels system

 

One of the more important features of the Khorezm development is that it is being designed as a fully integrated production complex rather than a standalone fuel-processing site. Allied Biofuels says the project will be powered by a 4.45 GW renewable energy system and will include 2,400 MW of electrolysers for green hydrogen production, as well as 1,600 MWh of battery storage to support system stability. Reports also state that the plant will process about 5,775 tonnes per day of agricultural feedstock and integrate captured biogenic carbon dioxide into e-SAF production.

That integrated structure matters because aviation fuel decarbonisation increasingly depends on lifecycle emissions performance, not just whether a fuel is labelled sustainable. By combining renewable power, agricultural inputs, green hydrogen, and carbon capture, the project is being positioned around a much lower-emissions production pathway than conventional refinery models. Whether it reaches a near-zero emissions profile in practice will depend on execution and verification, but the design clearly reflects the shift toward carbon-aware fuel manufacturing. This final point is an inference based on the project configuration described in the sources.

 

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Uzbekistan is using clean fuels as industrial strategy

 

The Khorezm project is also a signal about Uzbekistan’s broader economic direction. Allied Biofuels and secondary coverage describe the refinery as both a clean energy investment and a regional industrial development platform, suggesting the country is using low-carbon fuel production to diversify beyond its traditional fossil-fuel profile. Allied Biofuels’ own materials describe the site as Central Asia’s flagship biorefinery and present it as part of a wider strategy to strengthen regional energy resilience while building new export-oriented industrial capacity.

That is important because SAF supply is still constrained globally, while demand is expected to rise as more jurisdictions impose aviation fuel decarbonisation mandates. A project of this size therefore gives Uzbekistan a potential foothold in a higher-value clean fuels segment that could serve both regional industrial development and external market demand. This is an inference based on the project scale and the wider direction of SAF policy demand.

 

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What the announcement signals

 

The most important takeaway is that SAF is moving beyond demonstration projects and into larger industrial platforms in new geographies. Uzbekistan’s $6.08 billion commitment, the projected 160,400-tonne SAF output, and the integration of renewable energy, hydrogen, battery storage, and carbon capture all suggest a more serious attempt to build a long-duration clean fuels industry.

Execution risk will still be high because projects of this scale depend on technology integration, feedstock logistics, financing discipline, and credible long-term market demand. But the Khorezm complex is a clear sign that emerging economies are no longer just end markets in aviation decarbonisation. They are starting to position themselves as production hubs in the next phase of the global low-carbon fuel economy. This final sentence is an inference based on the size and structure of the announced project.