Santa Fe Bio and TotalEnergies Seal Agreement to Boost Renewable Fuels

Santa Fe Bio, a joint venture between YPF and Essential Energy, has signed a long-term offtake agreement with TOTSA TotalEnergies Trading SA. This commitment is aimed at future production of sustainable aviation fuel (SAF) and other types of renewable fuels, which will be manufactured at the biorefinery located in San Lorenzo, Santa Fe province.

This agreement is regarded as a significant step for project development and financing, using a Project Finance structure that will ensure the commercial predictability necessary to advance engineering and development stages. The new facility aims to meet growing global demand for sustainable fuels.

The biorefinery's projected capacity is approximately 170,000 tonnes annually of SAF and HVO (Hydrotreated Vegetable Oil), primarily targeted toward international markets. TOTSA commits to purchasing the majority of this production, while also securing a preferential right over remaining volumes.

Investments for the conversion of the San Lorenzo industrial complex will exceed USD 400 million. TotalEnergies' participation, as an established global player in the energy sector, will be key to connecting this production with destinations seeking to incorporate sustainable fuels in their emission reduction strategies for transportation.

Through this initiative, YPF continues diversifying its activities into new energy sectors and fostering projects that promote investment, job creation, and export development in Argentina, leveraging the country's competitive advantages within the energy transition framework.