LISBON, Dec 19 (Reuters) - Portugal's Galp Energia anticipates to start producing biodiesel and biojet fuel from waste in an industrial-scale system it is building at its Sines refinery in 2026, the business, which is mainly an oil manufacturer and refiner, stated on Thursday.

Last year Galp participated in a 75%-25% joint endeavor with Mitsui to invest 400 million euros ($415 million) in the Hydrogenated Grease (HVO) plant, which will have a production capacity of 270,000 metric loads per year.

It will change waste materials, such as used cooking oils, into sustainable biodiesel and biojet fuel, also called sustainable aviation fuel (SAF), utilizing green hydrogen produced by an electrolyser powered by wind or solar energy.

Galp said in a declaration it received on Wednesday the three reactors to process biofuels, which will enable the HVO unit to “produce SAF and biodiesel in 2026 ... putting Galp at the forefront of developing low-carbon services necessary for the energy transition”.

Galp is likewise investing 250 million euros in a 100 megawatt (MW) electrolyser system to produce green hydrogen to power the refinery in Sines. ($1 = 0.9637 euros) (Reporting by Sergio Goncalves