In the presence of UAE President His Highness Sheikh Mohamed bin Zayed Al Nahyan and Brazil's President Luiz Inacio Lula da Silva, Mubadala MD & Group CEO Khaldoon Khalifa Al Mubarak and Jerônimo Rodrigues, Governor of the State of Bahia, take part in an MoU signing ceremony. Image Credit: Twitter/@Mubadala

Abu Dhabi’s Mubadala Capital plans to invest 12 billion reais ($2.4 billion) over 10 years to build a green diesel and sustainable aviation kerosene factory in Brazil’s northeastern state of Bahia.

The investment will be made through the company’s Acelen unit in Brazil, and the company expects to start production in the first quarter of 2026.

“This agreement underscores the strong partnership between Brazil and the UAE, specifically in the energy sector, as well as our commitment to Brazil, a country we’ve been investing in since 2012,” Mubadala said in a tweet on Sunday.


The memorandum of understanding was part of several other agreements signed during a state visit of Brazil’s President Luiz Inacio Lula da Silva to Abu Dhabi. He was received by the UAE President, His Highness Sheikh Mohamed bin Zayed Al Nahyan.

“I return to the country 20 years later to reinforce the relationship between Brazil and the United Arab Emirates,” Lula wrote on Twitter. “The Emirates is the country in the region that invests the most in Brazil, will host the COP28 this year and will expand investments in biofuels and renewable energies.”

Members of the Brazilian delegation and the UAE government also signed agreements covering trade, sports and artificial intelligence, the Brazilian government said on Twitter.