As part of the EU Catalyst partnership, the European Investment Bank (EIB) and Breakthrough Energy Catalyst have provided a financing package of 70 million euros for ineratec, a company based in Karlsruhe that deals with the production of e-fuel. The EIB provides Venture Deb in the amount of 40 million euros, which is supported by the EU Inveu program, while Breakthrough Energy Catalyst grants a grant of 30 million euros. The package supports the financing of the carbon-neutral e-fuel production system from Ineratec in Frankfurt as well as further research and development. The facility in Frankfurt will be the largest in Europe after its opening in 2025.
- The capital commitment serves to finance the development of Europe’s first commercial e-fuel facility in Frankfurt as well as the further research and development of ineratecs e-fuel.
- Ineratec’s electric fuel will help to meet EU regulations for reducing CO2 emissions in air traffic by mixing conventional flight fuel with almost carbon-neutral synthetic kerosene.
- For the first time for a German company, the financing includes a grant of 30 million euros from Breakthrough Energy Catalyst, which underpins the maturity of the ineratec technology.
Long-term market growth for E-SAF and e-fuel expected
Biogenes CO2 and green hydrogen are used in the production of e-fuel to produce synthetic fuels and chemicals that are carbon-neutral or almost carbon neutral when using them. They have significant potential in sectors that are difficult to decorate, such as aviation, where commercial demand is supported by clear regulations. Therefore, long -term market growth can be expected.
The EU Regulation Refuelu Aviation stipulates that the provider of flight fuel must offer a minimum share of 1.2 percent of synthetic fuel by 2030, which should increase to 35 percent by 2050. Ineratec is well positioned for this growing market and offers an efficient, scalable and modular system concept.
The ineratec system in Frankfurt will produce up to 2,500 tons of e-fuel and e-chemicals, including synthetic kerosene, ie “e-sustainable aviation fuel” (e-SAF). The system comprises a processing system that refines the synthetic crude oil on site to certifiable, ready -to -use, sustainable flight fuel. The fuel will contribute to the fulfillment of the EU mandate for synthetic flight fuel.
The Ineratec system in Frankfurt shows that the production of e-fuel is possible on a large scale
Ineratec CEO Tim Böltken: “Inertecs pioneering system will show that the production of e-fuel is no longer a technological concept, but a scalable reality. Throughout the sustainable aviation.
EIB Vice President Nicola Beer: “E-Fuels are a decisive factor on the way to a competitive net zero economy, especially in the mobility and transport sector. Payback technologies such as those of INERATEC play a decisive role in this transition. Together with the The European Commission and Breakthrough Energy supports the EIB with venture Debt an innovative start-up in scaling its production and research funding in order to make e-fuel a sustainable, sustainable alternative to fossil fuels.
Mario Fernandez, head of Breakthrough Energy Catalyst: “We look forward to working with INERATEC. This groundbreaking project will bring us a crucial step closer to the decarbonization of the aviation.”
Financing strengthens the position of the EIB as a “Klimabank”, a priority in the strategic timetable of the EIB group for the period 2024-2027, and supports the goals of the Refueleu regulation of the European Commission.
Die European investment bank (EIB) is the institution of the European Union for long -term financing. Your shareholders are the EU Member States. The EIB is financing investment projects that contribute to achieving the EU’s political goals. The EIB projects strengthen competitiveness, promote innovations, support sustainable development, improve social and territorial cohesion and contribute to a fair and rapid transition to climate neutrality.
The Investeu the program provides the European Union important long -term funds by mobilizing significant private and public funds to support sustainable recovery. It also helps mobilize private investments for the political priorities of the European Union, such as the European Green Deal and digital change. The Inveu program combines the multitude of currently available EU finance instruments to support investments in the European Union under one roof and makes the financing of investment projects easier, more efficient and more flexible. The program consists of three components: the Inveu-Fonds, the Inveuenu advisory platform and the Inveuer portal. The Inveuenfonds is implemented through financial partners who invest in projects with the EU budget guarantee of EUR 26.2 billion. The entire budgetary guarantee will secure the investment projects of the implementation partners, increase their risk reliability and thus mobilize at least 372 billion euros in additional investments.
EIB Venture Debt is an investment product similar to equity that is suitable for companies in the early and growth phase and combines a long-term loan with an instrument that couples the return to the company’s performance. Since 2015, the EIB has invested 6 billion euros in risk capital, supported over 200 companies and realized over 50 exits. With the support of Inveu, EIB wants to promote European companies and growth companies in the areas of Cleantech, Deeptech and Biosciences.
Breakthrough Energy It is committed to accelerating the path of the world into a clean energy future. The organization finances groundbreaking technologies, is committed to climate -friendly politics and mobilizes partners around the world to take effective measures and accelerate progress in every phase.
Breakthrough Energy Catalyst is a platform for financing and investing in new commercial projects for emerging air conditioning technologies. Through these investments, Catalyst wants to accelerate the introduction of new technologies worldwide and reduce their costs.
Catalyst is currently focusing on five technology areas: clean hydrogen, sustainable flight fuel, direct air capture, long -term energy storage and decarbonization of production processes. In addition to the capital, Catalyst uses the team’s experience in the areas of energy infrastructure investments and project development to work with innovators and to promote their projects from the development phase to financing and finally to build. Find out more about Breakthrough Energy and Catalyst under breakthroughenergy.org.
Ineratec stands for defossilization and decarbonization. The company produces e-fuel and e-chemicals: carbon-neutral substitute substances for fossil fuels that are used in aviation, shipping and chemical industry.
The modular, scalable systems use renewable hydrogen and biogenic CO2 for the production of synthetic kerosene, gasoline, diesel, grow, methanol or natural gas. In Frankfurt, Ineratec is building the world’s largest e-fuel system so far, which will produce up to 2,500 tons of low-carbon fuel per year. The company is based in Karlsruhe, Germany, and is supported by various international investors. www.ineratec.de