Biogas produced from a landfill in Derry is set to be converted into sustainable aviation fuel (SAF).

A new £9m (€10.5m) biofuel plant is set to open in Northern Ireland this year and will be the first of its kind in Europe.

UK-based Renovare Fuels is set to convert biogas from a landfill in Craigmore, Derry, into middle distillate liquid fuels, such as renewable diesel and SAF.

The biofuel will be able to be used as a direct ‘drop-in’ replacement for diesel or aviation fuel, with no modifications required for engines, the company has stated.

The new technology has been developed in collaboration with Renovare’s sister company T2C Energy, NASA, and the US Department of Energy and, when operational, will produce 1.8 million litres of biofuels each year.

The project is being built in partnership with renewable energy operator B9 Energy Control Limited and UK biogas company Powerhouse Management Ltd and will create 20 new jobs.

Commenting on the new project, Matthew Stone, chairman at Renovare Fuels, said: “Renovare Fuels is delighted to be commencing operations in Northern Ireland. This crucial investment will ensure we play a leading role in creating a sustainable future for the transport sector.”

The biofuel produced at the facility will be supplied to UK-based fuel distributors, as well as multinational petrochemical and airline companies.

Commenting on the announcement, Ian Harvey, founder at B9 Energy Control Limited, said: “We’re proud to be supporting Renovare Fuels’ landmark investment.

“The new operations in Co Derry present an opportune moment to kickstart a sustainable fuels drive across the UK. We look forward to continuing to support this development.”