Key Takeaways
- LanzaTech Global has been awarded a contract by Spray Engineering Devices Ltd to develop a next-generation ethanol facility in India.
- The facility will process up to 300 tons per day of sugarcane bagasse to produce sustainable fuels and chemicals.
- The project is part of the SED Smart Village concept and aligns with India’s PM JI-VAN Yojana program.
- The plant is expected to begin operations within two years and will also generate biochar for local agricultural use.
- The project expands LanzaTech Global’s commercial footprint in India.
LanzaTech Global to Develop Ethanol Facility Using Agricultural Waste
LanzaTech Global, Inc. (NASDAQ: LNZA) has been awarded a contract by Spray Engineering Devices Ltd (SED) to build a next-generation ethanol facility utilizing sugarcane bagasse, an agricultural by-product widely available in India. The facility will be located in the state of Uttar Pradesh and is designed to process up to 300 tons per day of bagasse for the production of sustainable fuels and chemicals.
The project is a core component of the SED Smart Village concept, which focuses on capturing economic value from renewable power and carbon resources. The model integrates biomass processing, renewable energy, and carbon utilization to support local production systems and rural economies.
Integration with SED Smart Village and Local Agriculture
Under the SED Smart Village framework, the facility will leverage low-cost renewable power to support the production of higher-value outputs such as green chemicals, polymers, aviation fuels, and e-fuels. In addition to ethanol, the LanzaTech Global facility is expected to generate between 5% and 10% nutrient-rich biochar, which can be used by local farming communities to improve soil fertility.
“Modern agriculture is poised for a significant transformation through green solar power and hydrogen, which will create boundless opportunities for rural economies,” said Vivek Verma, Founder of SED. He added that utilizing non-food agricultural biomass locally is critical for maintaining soil health while strengthening rural economic systems.
LanzaTech Global Technology and Circular Economy Focus
LanzaTech Global provides bioreactor systems that convert carbon-rich gases, including CO₂ combined with green hydrogen, into ethanol using proprietary microbes. The ethanol produced serves as a building block for consumer goods and fuels, including sustainable aviation fuel and renewable diesel.
By leveraging existing supply chains, the facility will divert bagasse and biomass waste from open burning, enabling localized production of fuels and chemicals and supporting circular economy principles. The plant is expected to begin operations within two years.
Alignment with Indian Biofuel Policy and Existing Deployments
This project represents one of the first private-sector ethanol facilities using sugar industry by-product bagasse under India’s PM JI-VAN Yojana program, which supports advanced bioethanol production from waste materials.
“Our partnership with SED for this project expands our footprint in India while creating a roadmap for commercial deployment of agricultural residue as a key feedstock for producing ethanol,” said Dr. Jennifer Holmgren, CEO of LanzaTech Global. She noted that waste-based feedstocks support India’s domestic manufacturing objectives.
LanzaTech Global’s technology is already in use at Indian Oil Corporation’s Panipat facility and at an advanced-stage project with NTPC in Andhra Pradesh.
