Eni (E) and Q8 Italy said Tuesday they are making a major investment in the ongoing project for the construction of a new biorefinery in Sicily.

The plan for the construction and operation of the Versalis biorefinery in Sicily's Priolo was approved by Eni and Kuwait Petroleum following an official binding offer submitted by Q8, the companies said.

The plant, expected to be completed by the end of 2028, will have a capacity of 500,000 metric tons per year and will be able to produce hydrotreated vegetable oil and aviation fuel, the companies said.