Mitsui & Co. Contributes to the Development of Decarbonization Solutions by Investing in the US Synthetic Fuel Manufacturer Twelve

Mitsui & Co., Ltd. ("Mitsui", Head Office: Chiyoda-ku, Tokyo, President and CEO: Kenichi Hori) has invested in Twelve Benefit Corporation ("Twelve"), a Berkeley, California-based startup developing E-Jet® fuel, a synthetic sustainable aviation fuel (SAF) made from clean energy, water, and CO2.

Synthetic fuels are liquid fuels produced through chemical and catalytic reactions. The ingredients are green hydrogen, which is made by electrolyzing water using clean energy, and CO2. In addition to fuels for aircraft, ships, and other mobility sector applications, these fuels can also be used for a wide variety of other purposes, including the manufacture of plastics and other chemical products.

>> In Other News: Mercedes-AMG PETRONAS F1 Partners with Chestnut Carbon to Restore 200 Hectares of Biodiverse Forest

GHG emissions are over 90% lower compared with products derived from fossil fuels. These products are increasingly seen as potential decarbonization solutions for transportation sector areas in which decarbonization through the use of electricity or hydrogen is impractical, such as aviation, shipping, and long-distance trucking, since they allow the continued use of existing equipment and fuel transportation and storage infrastructure.

Twelve is a leader in the development of efficient CO2 electrolysis technology. It has commercialized an electrolysis method that allows synthetic gas, the basic ingredient for synthetic fuels, to be manufactured cleanly from clean energy, water and CO2.

There is potential to achieve dramatic cost reductions by scaling up production over the medium to long term. The first manufacturing plant is under construction at Moses Lake, Washington.

Scheduled to become operational in 2025, it will be able to produce up to five barrels of fuel per day. Offtake agreements for e-SAF, e-naphtha, and environmental credits have been signed with a number of companies, including Alaska Airlines, the International Airlines Group (IAG), and Microsoft. The world's first regular commercial service on e-SAF is expected to take off this year.

Japanese companies that have invested in Twelve include not only Mitsui & Co., but also Mitsui O.S.K. Lines, Development Bank of Japan, TGVP (Toppan Global Venture Partners, Inc.), Advantage Partners and so on.

Mitsui is accelerating its initiatives in the carbon value chain, which range from direct air capture (DAC) and carbon dioxide capture and storage (CCS) to CO2 utilization in synthetic fuel manufacturing, and the creation and sale of carbon credits.

In the synthetic fuel field, we aim to capture future growth by building a lineup of promising solutions based on different technologies and other elements. Initially we will deepen our collaboration with Twelve on efforts to develop clean energy by expanding production and sales of carbon-neutral fuels.

We will work to maximize value across the value chain by linking diverse sources of CO2, such as biomass and DAC, to demand for various types of fuel. By expanding the low-carbon fuel business on a global scale, we will contribute to the creation of the carbon management industry.