LanzaTech, LanzaJet partner with Australia's Wagner to convert waste to SAF

LanzaTech Global and LanzaJet have announced a partnership with Wagner Sustainable Fuels to support the latter's Brisbane-based sustainable aviation fuel refinery with technology to transform waste-based feedstocks into SAF, the companies said in a statement on Aug. 19.

This technology, called CirculAir, is designed to convert waste-based carbon from local waste streams, such as industrial emissions and municipal solid waste, and renewable power into SAF.

According to market sources, the technology, if deployed at a mass scale, is anticipated to mitigate supply constraints and high costs traditionally associated with SAF production, thereby accelerating the aviation industry's decarbonization approach with respect to 2030 and 2050 targets.

"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," Jennifer Holmgren, CEO of LanzaTech and the board chairperson of LanzaJet, said. "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."

Financial support

According to the joint statement, the collaboration has secured financial investments from Boeing and the Queensland government.

"Our partnership with LanzaTech and LanzaJet will advance the Wagner SAF refinery, establishing Australia's first fully integrated SAF production facility," said Matt Doyle, CEO of Wagner Sustainable Fuels. "This venture is a significant step toward realizing a scalable domestic fuel production model that aligns with our decarbonization goals."

SAF is expected to account for 0.61% of global aviation fuel consumption in 2024, up from 0.31% in 2023, according to S&P Global Commodity Insights. This is projected to rise to 3.24% by 2040 and 24.06% by 2050, from 20,000 b/d in 2023.

Platts, part of S&P Global Commodity Insights, assessed SAF production costs (palm fatty acid distillate) in Southeast Asia at $1,624.38/metric ton Aug. 19, up $11.37/t from the previous assessment.