Ineratec’s Frankfurt eFuel demo plant gets 70-million euros from European Investment Bank, Breakthrough Energy

Photo: Ineratec

The European Investment Bank announced in late January that it and Breakthrough Energy Catalyst are providing a 70-million-euro (USD$72.6 million) funding package through the EU-Catalyst Partnership to Ineratec, a Germany based eFuel company. 

EIB is providing a 40-million-euro venture-debt loan backed by the EU’s InvestEU program while Breakthrough Energy Catalyst is awarding a grant of 30-million euros.

The package will support the financing of Ineratec’s carbon-neutral eFuel production plant in Frankfurt, as well as further research and development.

The Frankfurt plant is set to be Europe’s largest when opening in 2025.

Long-term market growth expected for eSAF, eFuels

The production of eFuel uses CO2 and hydrogen to produce synthetic fuels and chemicals that are carbon neutral or close to carbon neutral when used.

They have significant potential in hard-to-decarbonize sectors such as aviation, where commercial demand is underpinned by clear regulation.

Therefore, long-term market growth can be expected.

The EU’s ReFuelEU aviation regulation requires that aviation fuel suppliers provide jet fuel with 1.2 percent minimum synthetic fuel content by 2030, rising to 35 percent in 2050.

Based in Karlsruhe, Germany, Ineratec is well placed for this growing market, offering an efficient, scalable modular design.

Ineratec’s Frankfurt plant will produce up to 2,500 tons of eFuels and eChemicals, including sustainable aviation fuel (eSAF).

The plant will also incorporate an upgrading facility, enabling the eCrude oil to be refined into certifiable, ready-to-use SAF on site.

The fuel will support compliance with the EU’s synthetic aviation fuel mandate.

Ineratec’s Frankfurt plant to show eFuel production possible at scale

“eFuels are a crucial part of achieving a competitive net-zero economy, particularly in the mobility and transport sector,” said Nicola Beer, EIB vice president. “Game-changing technologies like Ineratec’s play a vital role in this transition. Together with the European Commission and Breakthrough Energy, through the EIB’s venture-debt product, we are supporting an innovative startup in scaling up production and advancing research to make eFuels a viable, sustainable alternative to fossil fuels.”

Ineratec CEO Tim Boeltken said, “Ineratec’s Frankfurt production plant will show that eFuel production is no longer a technological concept but a scalable reality. Reliable production of certifiable eSAF is possible in the near-term—at commercial scale, that will be a breakthrough for sustainable aviation. This investment from EIB and Breakthrough Energy Catalyst is a sign of confidence in the Ineratec technology and approach.”

Mario Fernandez, the head of Breakthrough Energy Catalyst, added, “We are delighted to be working with Ineratec. This groundbreaking project will bring us a decisive step closer to the decarbonization of aviation.”

EIB said the financing reinforces its position as the “climate bank,” a priority in the EIB Group’s 2024-’27 strategic roadmap, and supports the objectives of the European Commission’s RefuelEU aviation regulations.