AgBioEn invest $2 billion in Katunga and regional Victoria, turning agricultural waste into renewable fuels

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Media Release

Construction of the multi-million-dollar AgBioEn renewable energy facility in Katunga, Central Victoria, the first in Australia to generate energy and fuel from agricultural waste, will commence earthworks on Tuesday February 4th.

A total investment in land, equipment, and buildings in Katunga and the surrounding region will be around $2 billion.

“AgBioEn will contribute approximately $500 million to local communities through local business and contractor work, supported by an economic impact assessment report” says Peter Holmgren, AgBioEn Managing Director

The facility will be a key part of Australia’s first large scale, fully integrated renewable energy business operation.


AgBioEn will incorporate world class technology to deliver clean, low emission renewable energy and liquid fuels.

AgBioEn will use a combination of pyrolysis technology and Fischer Tropsch, to process organic waste materials (biomass) such as cereal straw. The Katunga facility will produce electricity, high quality renewable diesel and jet fuel, fertiliser and food grade CO2.

“As a result, up to 1000 jobs will be created, whilst ~75,00 hectares of land will be established by 2023 to supply biomass for the facility. All agricultural land used to supply biomass to the facility will also be used to cultivate food crops. It is a priority for AgBioEn that no agricultural land is taken away from food cultivation to create fuels” said Lubey Lozevski, AgBioEn Program Director

“Katunga Fresh, one of Australia’s leading hydroponic tomato growers next door to the AgBioEn facility will be one of the first local companies to receive renewable energy and fuels for their existing 16 hectares of glasshouses, and allow them to expand their business with another 5 hectare glasshouse being developed in 2020,” said Peter van den Goor, Owner of Katunga Fresh

This new source of renewable energy and fuels will enable another forty hectares of glasshouses that will be constructed during the next four years.

AgBioEn Chairman, Charles Hunting said “Producing cost effective renewable energy and fuels at Katunga will allow local businesses to expand and also offer multi-industry benefits including providing a supply chain that is net carbon negative.”

“For example, in addition to satisfying local energy needs, AgBioEn will be able to supply renewable diesel for local transportation and bio-jet fuel for the aviation industry along with other by-products of the process like food grade CO2,” he said

“AgBioEn will provide key support in the process of adhering to the Australian Government’s environmental protection and GHG targets by saving >450,000 tonnes (measured in tCO2e) of GHG emissions p.a. compared to fossil fuel equivalent (Lifecycle assessment completed by Ndevr Environmental)”

“Thanks to AgBioEn, the Kooyong Classic tennis tournament has been officially certified Carbon Neutral by Climate Active in Australia, adhering to strict guidelines for carbon neutrality” said Lubey Lozevski.

80% of AgBioEn is Australian owned, which is both innovative and refreshing in the space on a global scale.

The Mayor of Moira Shire Council Libro Mustica said “We are excited to have AgBioEn building its first facility here in Moira Shire. Not only will AgBioEn create an abundance of new local jobs, and add to the already growing green energy sector but they will also bring an uplift in economic activity.”

AgBioEn will commence earthworks on Tuesday 4th February 2020 at Katunga on their ‘Renewable Energy & Fuels Facility’ with local contractors Chris Smith & Associates managing the work and Kris Lee Earthworks also from Katunga.

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