LISBON, Dec 19 (Reuters) - Portugal’s Galp Energia expects to begin producing biodiesel and biojet fuel from waste in an industrial-scale unit it is building at its in 2026, the company, which is mainly an oil producer and refiner, stated on Thursday.

In 2015 Galp participated in a 75%-25% joint venture with Japan’s Mitsui to invest 400 million euros ($415 million) in the Hydrogenated Grease (HVO) plant, which will have a production capacity of 270,000 metric loads annually.

It will transform waste materials, such as utilized cooking oils, into sustainable biodiesel and biojet fuel, likewise called sustainable air travel fuel (SAF), utilizing green hydrogen produced by an electrolyser powered by wind or solar power.

Galp said in a declaration it got on Wednesday the 3 reactors to process biofuels, which will permit the HVO system to “produce SAF and biodiesel in 2026 … placing Galp at the forefront of establishing low-carbon solutions essential for the energy shift”.

Galp is likewise investing 250 million euros in a 100 megawatt (MW) electrolyser system to produce green hydrogen to power the refinery in Sines. ($1 = 0.9637 euros) (Reporting by Sergio Goncalves