LanzaTech Global, Inc., a leader in industrial carbon recycling, has been awarded a €40 million grant from the European Union’s Innovation Fund, pending finalization of the grant agreement. The funding will support the first commercial deployment of LanzaTech’s second-generation bioreactor at the Porsgrunn Manganese Smelter, operated by Eramet Norway AS, a leading ferroalloy producer. The project aims to produce approximately 23.5 kilotonnes (around 8 million U.S. gallons) of ethanol per year by capturing greenhouse gases emitted from the smelter furnace.
If fully implemented with carbon capture and storage (CCS), the initiative seeks to achieve up to a 97% reduction in emissions, targeting an annual greenhouse gas avoidance of 1,698,175 tons of CO2 equivalent. The process also generates highly concentrated CO2 as a co-product, which will be purified, liquefied, and transported for permanent geological storage in the North Sea, ensuring safe and sustainable disposal of carbon emissions.
The project represents a significant advancement in sustainable industrial practices by integrating carbon capture and utilization (CCU) with CCS. Using carbon monoxide-rich furnace gas from ferroalloy production, the initiative addresses the needs of both the chemicals and aviation sectors while demonstrating the potential of innovative carbon management technologies.
Jennifer Holmgren, CEO of LanzaTech, emphasized that the EU Innovation Fund’s recognition underscores the company’s commitment to transforming the carbon recycling sector. She highlighted the environmental benefits achievable through technological integration and the economic potential of sustainable solutions, particularly in reducing industrial emissions and advancing sustainable aviation fuels.
Enova SF, a Norwegian government enterprise focused on energy efficiency and environmental protection, has played a key role in supporting the project with funding and technical assistance. Acting as Norway’s National Contact Point for the EU Innovation Fund, Enova recognizes the strategic importance of the project in advancing Norway’s climate objectives.
The EU grant will enable LanzaTech to demonstrate and optimize its technology under real-world industrial conditions. This milestone is expected to serve as a steppingstone for broader adoption of the technology across other sectors and geographies, potentially reshaping global approaches to industrial carbon emissions.
