LanzaTech Pilot Plant in Japan Sustains Guaranteed Ethanol Yields for 14 Days

LNZA
January 08, 2026

LanzaTech Global announced that its 1/10th‑scale municipal solid waste‑to‑ethanol pilot plant in Kuji City, Iwate, has sustained guaranteed ethanol yields for 14 consecutive days after reaching steady state, marking a key technical milestone.

The plant, which has been operating since April 2022, processes syngas with 40‑55% CO + H₂ and an H₂:CO ratio of 1.1‑1.4—conditions that challenge many fermentation systems. Sustaining yields above the guaranteed threshold under these variable gas mixtures demonstrates the robustness of LanzaTech’s proprietary gas‑fermentation platform and its ability to convert diverse, inhomogeneous waste streams that would otherwise be landfilled or incinerated.

The facility is owned and operated by Sekisui Chemical and was funded through a joint venture, SBR, and a grant from the Japanese Ministry of the Environment. Its 400‑ton‑per‑year capacity places it at 1/10th of a commercial‑scale plant, providing a scalable proof‑of‑concept for future commercial projects in Japan and beyond.

While the technical success underscores LanzaTech’s technology, the company’s broader financial picture remains challenging. Recent filings show declining revenues, rising net losses, and a high cash burn rate. In addition, Sekisui announced in December 2025 that it would record a significant impairment loss on the Kuji plant as it postponed commercialization, raising questions about the long‑term viability of the pilot facility.

Despite these headwinds, the milestone supports LanzaTech’s strategy to expand its circular carbon portfolio and reinforces its competitive advantage, backed by more than 200 granted patents. The achievement also strengthens the company’s position as a leading provider of low‑carbon ethanol for sustainable aviation fuel and other downstream products, positioning it for future commercial deployments.

"The results at Kuji once again demonstrate the scalability and technical viability of our fermentation platform," said Dr. Jennifer Holmgren, CEO of LanzaTech.

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