Eneos, Mitsubishi to move ahead with sustainable aviation fuel project at Japan's Wakayama

Cosmo Energy Holdings Co

21/02/2025 09:17

TOKYO, Feb 21 (Reuters) - Japan's biggest refiner, Eneos
Corp, and trading house Mitsubishi Corp  8058.T  said on Friday
they would move forward with front-end engineering design (FEED)
for sustainable aviation fuel (SAF) production at the Wakayama
plant.
    The plant is expected to produce about 300,000 metric tons
(400,000 kilolitres) of SAF annually, along with some naphtha
and light oil fractions, from fiscal 2028. The feedstock will
mainly consist of waste products and by-products, such as used
cooking oil and tallow.
    The two companies will accelerate discussions to establish a
system for mass producing and supplying domestically produced
SAF, they said in a joint statement. 
    They will combine Eneos' expertise in manufacturing
technology, raw material procurement and sales network with
Mitsubishi's expertise in SAF raw-material sourcing both in
Japan and overseas, they added.
    Eneos, a unit of Eneos Holdings  5020.T , also said the
industry ministry selected the Wakayama project for a publicly
solicited initiative to support the expansion of the production
and supply of SAF. Eneos declined to disclose the size of the
subsidy.
    SAF projects by Idemitsu Kosan  5019.T  and Cosmo Energy
Holdings  5021.T  were also selected for the initiative, the two
companies said on Friday. 

 (Reporting by Yuka Obayashi; Editing by Janane Venkatraman)
 ((Yuka.Obayashi@thomsonreuters.com; +813-4520-1265;))