EcoCeres Opens Malaysia's First Sustainable Aviation Fuel Plant, Boosting Regional Supply

Ujjwal Sukhwani
By Ujjwal SukhwaniPublished Jan 27, 2026 at 12:48 PM UTC, 3 min read

Aviation News Editor & Industry Analyst delivering clear coverage for a worldwide audience.

EcoCeres Opens Malaysia's First Sustainable Aviation Fuel Plant, Boosting Regional Supply

EcoCeres commissioned its 420,000-ton renewable fuel plant in Pasir Gudang, Johor, marking Malaysia's first facility for Sustainable Aviation Fuel (SAF) production.

Key Takeaways

  • EcoCeres officially launched Malaysia's first commercial-scale Sustainable Aviation Fuel (SAF) plant in Pasir Gudang, Johor, on January 26, 2026.
  • The renewable fuel production facility has a combined annual capacity of 420,000 tonnes, producing SAF, Hydrotreated Vegetable Oil (HVO), and renewable naphtha.
  • The plant supports Malaysia's National Energy Transition Roadmap and is strategically located to access Southeast Asian feedstock for global SAF supply.
  • The new supply addresses the critical need for SAF, which accounted for only 0.6 percent of global jet fuel consumption in 2025.

EcoCeres Inc. has officially launched its state-of-the-art renewable fuel facility. The plant is located in Pasir Gudang, Johor, Malaysia. This marks a historic milestone for the country and the region. It is Malaysia's first commercial-scale Sustainable Aviation Fuel (SAF) production plant. The facility successfully began commissioning in October 2025. The official inauguration ceremony took place on January 26, 2026.

Production and Capacity

The EcoCeres facility has a significant 420,000 tonnes capacity per year. This combined capacity includes three main products. The plant produces Sustainable Aviation Fuel, or SAF. It also manufactures hydrotreated vegetable oil (HVO). Finally, it produces renewable naphtha. This renewable fuel production uses waste and residue feedstocks. These include used cooking oil and agricultural waste. This waste-to-fuel approach is a key part of its sustainability strategy.

EcoCeres is a Hong Kong-based renewable fuels producer. Its CEO noted that Malaysia is an excellent location. The country offers access to regional feedstock supplies. It also provides crucial seaborne logistics for global deliveries.

Alignment with National Goals

The new EcoCeres SAF plant aligns with national policy. It supports Malaysia’s net-zero emissions target by 2050. The facility is a key part of the National Energy Transition Roadmap. It also supports the Malaysia Aviation Decarbonisation Blueprint. The government has set an initial SAF blending target. This target is one percent to help create market demand. The Minister of Plantation and Commodities called the launch a "historic moment".

Global Aviation Decarbonization

This new Pasir Gudang Johor facility boosts global supply. It supports the aviation industry’s decarbonization efforts. SAF is vital for reducing aviation’s carbon emissions. It can lower lifecycle carbon emissions by up to 80 percent.

  • Global SAF Supply Challenge: The world faces a major supply challenge. Global SAF production was estimated at two million tonnes in 2025.
  • Industry Demand: This volume accounted for only 0.6 percent of total jet fuel consumption.
  • Market Focus: Europe remains the primary target market for EcoCeres. This is due to existing green fuel blending mandates.

EcoCeres is also building markets across the Asia-Pacific region. This includes South-east Asia, Australia, and Singapore. Singapore, for example, has set a one percent SAF target for 2026. The commercial-scale SAF facility in Johor is a major step. It strengthens the entire region's position in the global biofuel market. It helps ensure a more reliable supply of Sustainable Aviation Fuel.

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Ujjwal Sukhwani

Written by Ujjwal Sukhwani

Aviation News Editor & Industry Analyst delivering clear coverage for a worldwide audience. Covers flight operations, safety regulations, and market trends with expert analysis.

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