14. January 2022 Meghan Sapp

LanzaJet scores $50M investment from Microsoft Climate Innovation Fund

In Illinois, LanzaJet has secured financing for its Freedom Pines Fuels plant in Soperton, Georgia, through the Microsoft Climate Innovation Fund. The Microsoft Climate Innovation Fund has made a $50 million investment to support the construction of LanzaJet’s (and the world’s) first alcohol-to-jet sustainable aviation fuel (SAF) production plant. The innovative structure of Microsoft’s financing will enable LanzaJet to bring lower-cost sustainable aviation fuel and renewable diesel to the global market.

LanzaJet is dedicated to accelerating the energy transition in sectors where decarbonization is hard, such as aviation. LanzaJet produces SAF and renewable diesel from low-carbon, sustainable ethanol sources. This investment also creates the opportunity for LanzaJet and the Microsoft Climate Innovation Fund to work together in enabling LanzaJet, through the Freedom Pines Fuels plant, to catalyze the market for 2nd generation, waste-based ethanol feedstock, demonstrating clear demand signals for ethanol that can achieve greater carbon reductions.

The construction of Freedom Pines Fuels is progressing as planned, even with supply chain, manufacturing, and labor shortages impacting the global economy. Fabrication of the plant is well underway; some modules are already completed and final site engineering is nearing completion. The LanzaJet Freedom Pines Fuels plant is expected to achieve mechanical completion this year and begin producing 10 million gallons of SAF and renewable diesel per year from sustainable ethanol, including from waste-based feedstocks, in 2023.

The investment was made as part of Microsoft’s efforts to achieve its 2030 goal of becoming carbon negative and advancing a net-zero economy. It also allows Microsoft to access sustainable, renewable diesel for its data centers to enable Microsoft to further achieve its net-zero goals.