The OKKO Group of Companies has had to postpone the full launch of its EUR 110 million bioethanol plant from the third quarter of 2026 to the first quarter of 2027, the group's CEO Vasyl Danyliak has said.
"Unfortunately, there were manufacturing delays for some units, so we plan to launch the bioethanol plant in the first quarter of 2027," Daniliak told reporters during a press tour.
He noted, however, that part of the facility – specifically, the storage area for finished products – has already been built.
Danyliak also said that the company's retail network alone will not be able to consume all of the plant's bioethanol, which has a design capacity of 83,000 metric tonnes.
"Will our network be able to consume 100% of the output? No, we won't. Even if we blend 10% bioethanol into gasoline, given our sales volume, which is actually the largest in Ukraine, we'll be able to consume up to 60% of the plant's capacity. We will sell the rest to other networks or export it," the OKKO CEO said.
As previously reported, the OKKO Group of Companies planned to launch a bioethanol plant in the third quarter of 2026. A year ago, Danyliak said total investment in the plant for 2024-2026 amounts to EUR 110 million, of which EUR 35 million is the group's own contribution and EUR 75 million is debt financing. Of this amount, EUR 60 million was provided by the EBRD for a nine-year term, and another EUR 15 million by Raiffeisen Bank Ukraine for a seven-year term.
According to Danyliak, the plant's annual capacity is 83,000 metric tonnes of bioethanol, 70,000 metric tonnes of animal feed, and 270,000 metric tonnes of corn processing.
Starting July 1, 2026, Ukraine is set to adopt the E-10 standard, which requires the addition of 7-10% bioethanol to motor gasoline with an octane rating below 98. Currently, retail chains are purchasing ready-to-sell fuel for distribution in Ukraine but are considering the prospect of sourcing domestic bioethanol. However, they note that blending technologies are complex and require significant investment.
OKKO Group brings together more than 10 diverse businesses in the fields of manufacturing, trade, construction, insurance, services, and other sectors. The group's flagship company is Halnaftogaz concern, which operates one of Ukraine's largest gas station chains under the OKKO brand, comprising approximately 400 gas stations.
The founder and ultimate beneficiary of the group is Vitaliy Antonov.
