Government subsidizes SAF production in Japan

LanzaJet announced that Japan’s Ministry of Economy, Trade and Industry (METI) has selected Cosmo Oil to receive a FY2024 subsidy to support a project developed with Mitsui & Co. that plans to utilize LanzaJet technology. This funding marks an important milestone for large-scale domestic SAF production in Japan and for increasing the supply of SAF to the aviation industry.

Global demand for SAF is expected to grow rapidly, and Japan has set a goal of diversifying away from petroleum-based fuels by 10 percent by 2030 and adopting alternative fuels.Cosmo Oil plans to develop the project utilizing LanzaJet’s proprietary ethanol to SAF technology and leveraging the company’s expertise in plant operations, fuel quality control and logistics, as well as Mitsui’s capabilities in ethanol sourcing, which will establish a large SAF production facility and create new business opportunities in Japan’s growing biofuel industry.

Upon completion of the project, the Sakae logistics site will produce approximately 150,000 kiloliters of SAF and 17,000 kiloliters of renewable diesel per year starting in 2029.