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LanzaTech is developing a synthetic palm oil substitute from recycled carbon to enhance sustainable aviation fuel (SAF) production. This initiative aims to create a deforestation-free feedstock for bio-naphtha and specialty chemicals.

The company is collaborating with Germany's Fraunhofer Institute and Mibelle Group to convert captured CO2 into palm oil-like fats through yeast fermentation. The project expects to clarify scalability and commercial viability within three years, with initial demand from the cosmetics sector.

LanzaTech's platform utilizes waste gases and agricultural residues for ethanol production, which can be upgraded to SAF. The 'Circul Air' concept integrates waste-to-ethanol with SAF conversion, supporting projects like UK's Project Dragon and Project Speedbird. Holmgren highlighted the necessity of corporate carbon credits in making SAF economically viable and called for policy stability to ensure investment in carbon recycling technologies.