Cosmo Oil will combine its expertise in plant operations, fuel quality control, and logistics with Mitsui's capabilities in ethanol procurement to develop the project.
Japan’s Ministry of Economy, Trade, and Industry awarded a subsidy to Cosmo Oil for a large-scale sustainable aviation fuel (SAF) project with Mitsui & Co. and LanzaJet. The SAF production facility will use LanzaJet’s ethanol-to-SAF technology and, upon completion, the project will produce approximately 150,000 kiloliters of SAF and 17,000 kiloliters of renewable diesel per year. Production starts in 2029 at the Sakaide Logistics Base.
"Today's announcement signifies an important milestone for SAF production and scaling of the industry in Japan,” said Jimmy Samartzis, Chief Executive Officer of LanzaJet. “LanzaJet's proprietary alcohol-to-jet technology is helping governments worldwide as well as the global aviation industry meet ambitious demands for sustainable growth and alternative fuels goals. In support of Cosmo Oil, Mitsui & Co., and the Japanese government, we look forward to accelerating the development of domestic SAF and advancing an energy-diverse aviation sector."
Cosmo Oil will combine its expertise in plant operations, fuel quality control, and logistics with Mitsui's capabilities in ethanol procurement to develop the project, creating new business opportunities within Japan's growing biofuels market and increasing SAF supply for the aviation industry. To meet the increasing global demand for SAF, Japan has set a goal to replace 10% of petroleum-based fuels with alternatives by 2030.
Ethanol-to-SAF system; image credit: LanzaJet
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In February 2025, MITSUI E&S began full-scale ammonia testing for MAN Energy’s two-stroke, dual-fuel prototype ammonia engine at its Tamano Factory in Japan. The 60-bore engine, following successful testing, will be installed on a 200,000-dwt bulk carrier at Imabari Shipbuilding—part of a joint venture between K LINE, NS United and ITOCHU Corp.
In addition to commencing the ammonia fuel test-run for MAN’s B&W 7S60ME-LGIA engine, the test phase will verify the safety and performance of MITSUI E&S’s proprietary ammonia fuel-supply system and peripheral systems. The testing and eventual installation also features MAN Energy Solutions’ high-pressure selective catalytic reduction system for IMO Tier III compliance.
In March 2024, MITSUI E&S announced the successful test of a 50-bore MAN B&W two-stroke engine up to 100% load at its Tamano facility while running on hydrogen. MITSUI collaborated with MAN Energy to convert one of the four cylinders on the ME-GI (gas injection) engine to hydrogen operation. Hydrogen was supplied from a hydrogen gas-supply system developed by MITSUI in 2023.
Stable operation was maintained at different loads and operating conditions, including a successful hydrogen combustion up to 100% load. MITSUI’s testing also confirmed greenhouse gas emission reductions of up to 95%—the remaining portion originating from the pilot fuel used during testing.