These products will be made from organic waste in Chile, marking a milestone in the national market and in the transition towards more sustainable energy.

Chile's state-owned oil company Enap and gas trading company Lipigas have signed an agreement to jointly develop low-carbon fuels made from organic waste at the state-owned company's refineries and make them available to the Chilean market.

This is a significant milestone for the development and widespread use of low-carbon fuels in Chile, a key aspect for reducing emissions from the industrial sector, transportation and in Chilean homes in a simple way and thus making progress in meeting the decarbonization goals committed to by the Chilean government.

Enap already has a first batch of renewable diesel. Last July, the state-owned company carried out a test at its Aconcagua Refinery that allowed it to process more than 350,000 liters of used cooking oil (UCO) that were transformed into renewable diesel.

Processing this volume reduces emissions by 1,131 tonnes of CO2 equivalent compared to traditional diesel.

The process was verified by an independent certifier, who confirmed the reduction in the carbon footprint compared to traditional diesel.

The test was successful and will allow the company to offer this product in the Chilean market with a growth plan adjusted to local requirements and the availability of renewable raw materials.

Meanwhile, the first renewable liquefied gas molecules would be available in the first quarter of 2025.

As part of this agreement, Enap sold a first batch of renewable diesel to Lipigas, which is now available to its end customers.

Enap Board Chairwoman Gloria Maldonado highlighted the importance of this agreement for the company and stressed that “the production of low-carbon fuels is an essential part of our Enap 2040 Strategic Plan, whose objective is to become a key player in Chile's energy transition, making fuels with a lower environmental impact available to people.”

For his part, Enap's general manager, Julio Friedmann, said that "the actions we have taken to strengthen our operational performance and achieve greater financial strength give us the support to address challenges like this today, which are key to advancing in the transformation of our business and having a sustainable company over time."

This collaborative work responds to Enap's corporate strategy of promoting sustainable fuels, as well as to Lipigas' plan to make its main gas business profitable.

“Our commitment is to develop a renewable energy supply in Chile and Latin America, where we see great opportunities for growth and the possibility of providing massive access to clean energy to millions of people. Moving forward in this direction through this alliance with Enap is a very important step in the industry,” said Ángel Mafucci, general manager of LipiAndes, parent company of Lipigas.

The new fuels differ from traditional diesel and LPG in that they are of biological origin, but are chemically identical to their fossil counterparts, so they can be used in the same appliances and infrastructure that exist today.

In this regard, Lipigas' LNG and Biofuels Manager, Esteban Rodríguez, said that "this alliance allows us to continue adding alternatives to advance towards an offer of renewable products for different types of clients, using the same infrastructure that currently exists in the country.

Therefore, what we are developing at Lipigas with different actors, and now with Enap in Chile, are more sustainable energy solutions, possible to implement in the short and medium term thanks to collaboration and the common purpose of contributing to decarbonization.”

Enap and Lipigas signed an agreement to jointly develop low-carbon fuels produced from organic waste in the state-owned company's refineries and make them available to the domestic market.

This is a relevant milestone for the development and widespread use of low-carbon fuels in our country, a key aspect to reduce emissions from the industrial sector, transportation and in Chilean homes in a simple way and thus advance in meeting the decarbonization goals committed to by Chile .  

Enap already has a first batch of renewable diesel. Last July, the state-owned company carried out a test at its Aconcagua Refinery that allowed it to process more than 350,000 liters of used cooking oil (UCO) that were transformed into renewable diesel.

Processing this volume reduces emissions by 1,131 tonnes of CO2 equivalent compared to traditional diesel.

The process was verified by an independent certifier, who confirmed the reduction in the carbon footprint compared to traditional diesel.

The test was successful and will allow the company to offer this product in the national market with a growth plan adjusted to local requirements and the availability of renewable raw materials.   Meanwhile, the first renewable liquefied gas molecules would be available in the first quarter of 2025.

As part of this agreement, Enap sold a first batch of renewable diesel to Lipigas, which is now available to its end customers.

Enap Board Chairwoman Gloria Maldonado highlighted the importance of this agreement for the company and stressed that “the production of low-carbon fuels is an essential part of our Enap 2040 Strategic Plan, whose objective is to become a key player in Chile's energy transition, making fuels with a lower environmental impact available to people.”  

For his part, Enap's general manager, Julio Friedmann, said that " the actions we have taken to strengthen our operational performance and achieve greater financial strength give us the support to address challenges like this today, which are key to advancing in the transformation of our business and having a sustainable company over time."

This collaborative work responds to Enap's corporate strategy of promoting, through innovation, the development and final use of cleaner and more sustainable fuels.

At the same time, it is in line with Lipigas' strategy to make its core business, gas, increasingly sustainable.

“Our commitment is to develop a renewable energy supply in Chile and Latin America, where we see great opportunities for growth and the possibility of providing massive access to clean energy to millions of people. Moving forward in this direction through this alliance with Enap is a very important step in the industry,” said Ángel Mafucci, general manager of LipiAndes, parent company of Lipigas.

The new fuels differ from traditional diesel and LPG in that they are of biological origin, but are chemically identical to their fossil counterparts, so they can be used in the same appliances and infrastructure that exist today.

In this regard, Lipigas' LNG and Biofuels Manager, Esteban Rodríguez, said that "this alliance allows us to continue adding alternatives to advance towards an offer of renewable products for different types of clients, using the same infrastructure that currently exists in the country.

Therefore, what we are developing at Lipigas with different actors, and now with Enap in Chile, are more sustainable energy solutions, possible to implement in the short and medium term thanks to collaboration and the common purpose of contributing to decarbonization.”