LanzaTech and LanzaJet Announce New Project with Wagner Sustainable Fuels in Australia

Rhea-AI Summary

LanzaTech Global, Inc. (NASDAQ: LNZA) and LanzaJet, Inc. have announced a new project with Australia's Wagner Sustainable Fuels to evaluate equipping Wagner's Brisbane SAF Refinery with the CirculAir™ platform. This platform converts waste carbon and renewable power into Sustainable Aviation Fuel (SAF). The project has received financial investments from The Boeing Company and the Queensland Government.

The CirculAir process utilizes LanzaTech's carbon recycling technology to transform local waste streams into CarbonSmart™ ethanol, which is then converted into SAF using LanzaJet's Alcohol-to-Jet (ATJ) technology. This project aims to accelerate the development of a domestic Australian SAF market, create jobs in Queensland, increase energy security, and reduce global aviation greenhouse gas emissions.

Positive

• Project received financial investments from The Boeing Company and Queensland Government
• CirculAir platform can utilize various local waste-based feedstocks to produce SAF
• Project aims to create jobs in Queensland and increase domestic energy security for Australia
• Partnership expected to accelerate SAF industry development in Australia

Negative

• None.

Insights

Sustainable Energy Expert

This collaboration marks a significant step in Australia's sustainable aviation fuel (SAF) industry. The CirculAir platform's ability to convert various waste streams into SAF addresses two critical challenges: reducing carbon emissions and enhancing energy security. By utilizing local waste resources, the project not only supports circular economy principles but also reduces dependency on imported fuels.

The flexibility of the CirculAir platform is particularly noteworthy. Its capacity to process diverse feedstocks like industrial emissions and municipal solid waste makes it adaptable to different regional contexts, potentially setting a blueprint for similar projects globally. However, the success of this venture will largely depend on the consistent availability of suitable waste streams and the efficiency of the conversion process.

While promising, investors should monitor the project's scalability and cost-effectiveness, as these factors will determine its long-term viability and impact on Australia's SAF market.

Aviation Industry Analyst

This project represents a significant leap towards meeting the aviation industry's ambitious goal of net-zero emissions by 2050. With SAF expected to contribute 65-70% of required emission reductions, the CirculAir platform addresses important supply constraints and technical barriers that have hindered widespread SAF adoption.

The involvement of Boeing and the Queensland Government adds credibility and financial backing to the project. However, the true test will be in achieving cost parity with conventional jet fuel. The projected economies of scale from global adoption of the CirculAir platform could be a game-changer, potentially driving down SAF costs to competitive levels.

For investors, this project signals a growing market opportunity in the SAF sector, with potential for significant growth as airlines increasingly seek to reduce their carbon footprint.

Environmental Policy Expert

This project aligns well with global efforts to decarbonize hard-to-abate sectors like aviation. By converting waste carbon into SAF, it addresses both waste management and emissions reduction, creating a double environmental benefit. The CirculAir platform's ability to use diverse feedstocks is particularly valuable, as it can adapt to local waste streams, potentially reducing transportation emissions associated with feedstock sourcing.

However, careful lifecycle analysis will be important to ensure net positive environmental impact. Investors should look for transparency in emissions accounting and feedstock sourcing. The project's success could influence policy decisions, potentially leading to more supportive regulatory frameworks for SAF production globally.

While promising, the long-term environmental impact will depend on the scale of adoption and the project's ability to displace significant quantities of fossil-based jet fuel.

First Project to be Developed with the CirculAir Platform, the End-to-End Commercial Sustainable Fuels Technology Solution Converting Waste Feedstocks into SAF

CHICAGO, Aug. 19, 2024 (GLOBE NEWSWIRE) -- LanzaTech Global, Inc. (NASDAQ: LNZA), the carbon recycling company transforming waste carbon into sustainable fuels, chemicals, and materials, and LanzaJet, Inc., a leading sustainable fuels technology company and fuels producer, today announced a new project with Australia’s Wagner Sustainable Fuels to evaluate equipping Wagner’s Brisbane SAF Refinery (the “Project”) with the CirculAir™ platform. The CirculAir platform is LanzaTech and LanzaJet’s joint technology solution that converts waste carbon and renewable power into Sustainable Aviation Fuel (SAF).

In addition to securing a commercial partnership with LanzaTech and LanzaJet, the Project has received financial investments from The Boeing Company and the Queensland Government. The Project is expected to generate a multitude of benefits, including creating jobs in Queensland, increasing domestic energy security for Australia, and helping reduce global greenhouse gas emissions from aviation.

“LanzaTech and LanzaJet look forward to providing our joint commercial solution to Wagner Sustainable Fuels to accelerate the development of a domestic Australian SAF market,” said Dr. Jennifer Holmgren, CEO of LanzaTech and Board Chair of LanzaJet. “There is enough carbon above ground to transition the 100 billion gallons of fossil fuel-derived jet fuel consumed each year to jet fuel made from recycled carbon. The flexibility of the CirculAir platform makes it possible for this Project to unlock carbon from the myriad waste-based resources available in Australia to meet local demand.”

The CirculAir process first utilizes LanzaTech’s carbon recycling technology to transform local waste streams, such as industrial emissions and municipal solid waste, into CarbonSmart™ ethanol. Then, LanzaJet’s Alcohol-to-Jet (ATJ) technology converts the ethanol into drop-in SAF. The CirculAir platform was designed to accelerate decarbonization of the global aviation industry by utilizing a variety of locally sourced waste-based feedstocks to produce the SAF volumes needed to supplant fossil fuels.

“The Wagner Sustainable Fuels project in Brisbane allows Australia to continue to stand out as a leader in Sustainable Aviation Fuel, now leveraging the CirculAir platform we co-created with LanzaTech to convert different forms of waste carbon into sustainable fuels,” said Jimmy Samartzis, CEO of LanzaJet. “The combination of LanzaJet’s leading SAF solution with the front-end of LanzaTech’s proven and commercialized carbon recycling technology makes it possible to create a domestic SAF supply in Australia using local renewable waste sources, further supporting the country’s energy security, while also working to protect its natural environment.”

Enhancing SAF production is critical for aviation to reduce its carbon footprint, as it is estimated that SAF will account for 65-70% of the emission reductions needed to meet the industry’s 2050 goal of net zero emissions. Historic supply constraints, high costs, and technical barriers have made it difficult for the industry to default to SAF as the primary aviation fuel source. The CirculAir platform breaks down these barriers, as the technology is able to turn a wide range of waste-based feedstocks into SAF to meet demand, and it is being adopted by a range of customers across the globe. This widespread adoption is projected to accelerate the production and economies of scale necessary to bring down the global cost of SAF.

“Our partnership with LanzaTech and LanzaJet will advance the Wagner SAF Refinery in Brisbane, accelerating the SAF industry in Australia and helping to decarbonize aviation by 2050,” said Matt Doyle, Wagner Sustainable Fuels Chief Executive Officer. “Together, these proven technologies can help us realize Australia’s first, fully integrated SAF production facility and provide a path to producing domestic fuel at scale.”

About LanzaTech

LanzaTech Global, Inc. (NASDAQ: LNZA) is the carbon recycling company transforming waste carbon into sustainable fuels, chemicals, and materials for everyday products. Using its biorecycling technology, LanzaTech captures carbon generated by energy-intensive industries at the source, preventing it from being emitted into the air. LanzaTech then gives that captured carbon a new life as a clean replacement for virgin fossil carbon in everything from household cleaners and clothing fibers to packaging and fuels. By partnering with companies across the global supply chain like ArcelorMittal, Zara, H&M Move, Coty, and On, LanzaTech is paving the way for a circular carbon economy. For more information about LanzaTech, visit https://lanzatech.com.

About LanzaJet

LanzaJet is a leading sustainable fuels technology company dedicated to accelerating the clean energy transition. As a Sustainable Aviation Fuel (SAF) technology provider and producer with patented ethanol-based alcohol-to-jet (ATJ) technology, LanzaJet is creating an opportunity for future generations by accelerating the deployment of SAF and other clean technologies critical to addressing the climate crisis and transforming the global economy. Further information is available at https://www.lanzajet.com/

About Wagner Sustainable Fuels

Wagner Sustainable Fuels is a company focused on reducing CO₂ emissions from Australia’s hard to abate sectors including aviation and heavy transport through the supply of SAF and Renewable Diesel (RD).

Forward Looking Statements

This press release includes forward-looking statements regarding, among other things, the plans, strategies and prospects, both business and financial, of LanzaTech. These statements are based on the beliefs and assumptions of LanzaTech’s management. Although LanzaTech believes that its plans, intentions and expectations reflected in or suggested by these forward-looking statements are reasonable, LanzaTech cannot assure you that it will achieve or realize these plans, intentions or expectations. Forward-looking statements are inherently subject to risks, uncertainties and assumptions. Generally, statements that are not historical facts, including statements concerning possible or assumed future actions, business strategies, events or results of operations, are forward-looking statements. These statements may be preceded by, followed by or include the words “believes,” “estimates,” “expects,” “projects,” “forecasts,” “may,” “will,” “should,” “seeks,” “plans,” “scheduled,” “anticipates,” “intends” or similar expressions. The forward-looking statements are based on projections prepared by, and are the responsibility of, LanzaTech’s management. These forward-looking statements are not guarantees of future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside LanzaTech’s control, that could cause actual results or outcomes to differ materially from those discussed in the forward-looking statements, including the adoption of our technology by third parties, fluctuations in prices of waste feedstocks and process inputs, and the availability of government funding. In addition, LanzaTech may be adversely affected by other economic, business, or competitive factors, and other risks and uncertainties, including those described under the header “Risk Factors” in its Annual Report on Form 10-K for the year ended December 31, 2023 filed by LanzaTech with the SEC, and in subsequent SEC filings. New risk factors that may affect actual results or outcomes emerge from time to time and it is not possible to predict all such risk factors, nor can LanzaTech assess the impact of all such risk factors on its business, or the extent to which any factor or combination of factors may cause actual results to differ materially from those contained in any forward-looking statements. Forward-looking statements are not guarantees of performance. You should not put undue reliance on these statements, which speak only as of the date hereof. All forward-looking statements attributable to LanzaTech or persons acting on its behalf are expressly qualified in their entirety by the foregoing cautionary statements. LanzaTech undertakes no obligations to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

Contacts:

LanzaTech

Investor Relations
Kate Walsh
VP, Investor Relations & Tax
Investor.Relations@lanzatech.com

Media
Kit McDonnell
Director of Communications
press@lanzatech.com

LanzaJet

Media
Meg Whitty
VP, Corporate Relations and Marketing
meg.whitty@lanzajet.com

FAQ

What is the CirculAir platform announced by LanzaTech and LanzaJet for the Wagner Sustainable Fuels project?

The CirculAir platform is a joint technology solution by LanzaTech and LanzaJet that converts waste carbon and renewable power into Sustainable Aviation Fuel (SAF). It combines LanzaTech's carbon recycling technology with LanzaJet's Alcohol-to-Jet (ATJ) technology.

How does the CirculAir process work to produce SAF for the LNZA project in Australia?

The CirculAir process first uses LanzaTech's technology to transform local waste streams into CarbonSmart ethanol. Then, LanzaJet's ATJ technology converts this ethanol into drop-in Sustainable Aviation Fuel (SAF).

What are the expected benefits of the LanzaTech and LanzaJet project with Wagner Sustainable Fuels?

The project is expected to create jobs in Queensland, increase domestic energy security for Australia, help reduce global greenhouse gas emissions from aviation, and accelerate the development of a domestic Australian SAF market.

Who are the investors in the LanzaTech (LNZA) and Wagner Sustainable Fuels project in Brisbane?

The project has received financial investments from The Boeing Company and the Queensland Government, in addition to the commercial partnership with LanzaTech and LanzaJet.