Green fuel firm LanzaTech unveils £600 million factory plans

A green fuels firm has unveiled £600 million factory plans.

LanzaTech is set to build a plant at Saltend Chemicals Park, on the outskirts of Hull.

Bosses say the venture will create 150 jobs and make 80,000 tonnes of sustainable aviation fuel and 8000 tonnes of renewable diesel a year.

They add building work will start in mid-2027 – supporting 300 construction posts – with the factory earmarked to begin production in 2030.

The plant will operate as a base for LanzaTech’s DRAGON II project, which was previously backed by multi-million-pound Government support from the Department for Transport’s Advanced Fuels Fund, alongside the sister sustainable aviation fuel DRAGON I scheme in Port Talbot, South Wales.

Jim Woodger, LanzaTech managing director for Europe, the Middle East, Africa and Americas, said: “We are excited to bring our carbon recycling technology, paired with our partner LanzaJet’s world-leading sustainable aviation fuel production technology, to Humberside.

“We selected Saltend Chemicals Park because it offers exceptional infrastructure for sustainable aviation fuel production and the future prospect for hydrogen and CO2 pipelines and storage.”

Saltend Chemicals Park is owned by Stockton-headquartered PX Group.

Geoff Holmes, PX Group chief executive, said: “This major investment demonstrates Saltend’s continued attractiveness for world-first, low-carbon projects.

“DRAGON II will further strengthen the Humber’s status as the UK’s energy estuary, delivering jobs and a resilient, net-zero future for the region.”

Welcoming LanzaTech’s plans, Simon Green, Humber Freeport chief executive, said the endeavour will “reinforce the Humber’s growing status as a leading UK hub for the development of sustainable aviation fuel and associated critical chemicals”.

He added: “This announcement represents a significant investment for the Humber region.

“In joining a world-class cluster of low-carbon technology and innovation, LanzaTech benefits from feedstock and off-take partners on site.”

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