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UK’s Largest Bioethanol Plant Takes Final Wheat Delivery as Closure Looms

Winding down operations after its import tariff was removed, Vivergo Fuels faces closure that could derail a £1.25bn sustainable aviation fuel project.

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Overview

  • Vivergo Fuels received its final scheduled wheat delivery on August 1 as it proceeds with staff consultations ahead of a potential shutdown by mid-September.
  • The Saltend plant employs over 160 people, buys more than one million tonnes of British wheat annually, and supplies high-purity carbon dioxide to sectors including the NHS and food production.
  • Meld Energy has warned that without Vivergo’s bioethanol output, its Saltend Chemicals Park sustainable aviation fuel facility could be moved overseas.
  • Formal negotiations between the UK Government, Vivergo Fuels, and Ensus are ongoing with external advisers; no financial support package has yet been agreed.
  • Producers argue that removal of the 19% US ethanol tariff under the UKUS trade deal and existing regulations has made domestic bioethanol production commercially unviable.