BP, the multinational oil and gas company, has announced a $10 million investment in WasteFuel, a biofuels company with plans to develop its first waste-to-bio-methanol plant in Dubai. The investment will enable WasteFuel to enhance its project and accelerate the development of the plant in the United Arab Emirates (UAE), according to a statement released by BP on Thursday.
WasteFuel, headquartered in California, specializes in converting municipal solid waste into low-carbon fuels, specifically bio-methanol. The company’s existing investors include prominent names such as Maersk, NetJets, Prime Infra, i(x) Net Zero, Marc Benioff’s TIME Ventures, Guy Oseary, and Aileen Getty.
WasteFuel aims to establish multiple bio-methanol plants worldwide through partnerships with local strategic allies, including waste management companies. As part of their collaboration, BP and WasteFuel have signed a memorandum of understanding for BP to purchase the produced bio-methanol and work together to optimize and enhance bio-methanol production.
Gareth Burns, Vice President of BP Ventures, emphasized the potential of WasteFuel’s projects in addressing the global waste challenge while advancing low-carbon solutions for hard-to-abate sectors like shipping. Burns stated that biofuels play a crucial role in decarbonizing the shipping industry, and he looks forward to supporting WasteFuel’s growth and market development.
Bioenergy is one of BP’s strategic growth areas, and the company plans to make significant investments in this sector throughout the current decade. Alongside convenience, electric vehicle charging, hydrogen and renewables, and power, bioenergy is a key part of BP’s transition to becoming an integrated energy company and achieving its net-zero ambition.
Philipp Schoelzel, Vice President of Next Generation Biofuels in BP, highlighted the importance of investments like this in the company’s efforts to produce more biofuels and support the decarbonization of transportation. BP aims to deliver approximately 100,000 barrels per day of biofuels by 2030.
Trevor Neilson, Co-founder, Chairman, and CEO of WasteFuel, expressed that the investment from BP Ventures marks a significant milestone for the company, as it will help scale up bio-methanol production and contribute to decarbonizing the shipping sector. Neilson emphasized the need to expand the availability of these fuels to support companies reliant on shipping in reducing their greenhouse gas emissions.
Both BP and WasteFuel are members of the Sustainable Markets Initiative (SMI), further highlighting their commitment to sustainable solutions and the transition to a low-carbon future.
