Raízen, a leading integrated energy company with a strong portfolio of renewable energy, has teamed up with Dutch biotechnology accelerator Vertoro through a Joint Development Agreement (JDA) to elevate the value of lignin by converting it into advanced biofuels, chemicals, and sustainable materials. As a by-product of 2nd Generation Ethanol production, lignin has a remarkably low carbon footprint, presenting a promising solution for decarbonizing hard-to-abate industries.
Advancing the Energy Transition with Lignin
As the largest global producer of 2nd Generation Ethanol, Raízen generates substantial quantities of lignin as a by-product in its ethanol operations. This collaboration offers a significant opportunity for Raízen to enhance its contribution to the global energy transition by leveraging lignin for new low-carbon, renewable applications. Raízen’s projected lignin production capacity stands at 1.5 million tons (wet basis) across seven announced and two operational E2G (second-generation ethanol) plants. Additionally, the company has the potential to scale this capacity to 3.4 million tons across 20 E2G plants in the future.
By joining forces, Raízen will utilize Vertoro’s innovative technology to improve lignin’s transformation into more versatile and sustainable products. Vertoro’s patented process focuses on converting woody and agricultural residues into a broad spectrum of bio-based chemicals, fuels, and materials. A critical element of this collaboration is Vertoro’s ability to make lignin dissolve and blend more efficiently with other materials, which simplifies its application across various sectors.
“Raízen already plays a pivotal role in the global energy transition as the only company to have successfully produced Cellulosic Ethanol at a commercial scale. Now, by integrating our growing 2nd Generation Ethanol production with Vertoro’s innovative lignin conversion technology, we foresee a transformation in how lignin is perceived and utilized globally,” stated Mateus Lopes, Energy Transition Director at Raízen. “This announcement strengthens Raízen’s commitment to pioneering renewable fuels, chemicals, and material solutions while expanding our sustainable product portfolio.”
Michael Boot, co-founder and co-CEO of Vertoro, expressed enthusiasm about the collaboration: “We are excited to partner with Raízen on what is set to become the world’s most substantial lignin valorization endeavor. This partnership promises to conclusively demonstrate that lignin can be both a financially- and industrially viable resource.”
Key Collaborative Initiatives
The Joint Development Agreement will focus on three core initiatives aimed at transforming lignin into value-added products:
- Lignin-Ethanol/Methanol Blend: The first initiative is centered around creating a unique blend of lignin with ethanol or methanol using Vertoro’s proprietary “Goldilocks” process. This blend will be utilized as sustainable fuel for dual-fuel maritime engines, improving both the efficiency and energy output of biofuel production. The collaboration will also explore the possibility of using this blend in oil refining processes to develop Sustainable Aviation Fuel (SAF), marine fuel, and other chemicals.
- Sustainable Maritime and Aviation Fuel Development: The partnership will evaluate the feasibility of using the lignin-ethanol/methanol blend in the production of sustainable marine and aviation fuels. This initiative aims to reduce emissions in the maritime and aviation sectors, which are both key contributors to global greenhouse gas emissions.
- Low Molecular Weight Lignin for Chemical Applications: The third initiative involves developing pure, low molecular weight lignin for use in chemical and material applications. This effort will help Raízen and Vertoro tap into new markets where sustainable chemicals and materials are in high demand.
Next Steps for the Partnership
The collaboration will initially focus on producing large-scale samples of Raízen’s new lignin products using Vertoro’s Goldilocks bio-technology process at Vertoro’s demonstration plant in the Netherlands. These samples will be distributed to select producers in the fuel, chemical, and material sectors for testing and application. The ultimate goal is to secure offtake agreements for a commercial-scale production site, which will be integrated into Raízen’s 2nd Generation Ethanol facilities. Initial testing is set to begin in summer 2024.
This collaboration marks a significant step forward in the development of waste-based sustainable energy solutions, with the potential to revolutionize biofuel production and expand the use of lignin in various sectors.
About Vertoro
Vertoro is a Dutch biotechnology accelerator focused on converting lignin and other woody residues into high-value biofuels, chemicals, and materials. With its proprietary technology, Vertoro aims to unlock the full potential of lignin as a low-carbon resource for decarbonizing hard-to-abate sectors like aviation and shipping.
About Raízen
Raízen is a global leader in renewable energy, specializing in the production of ethanol, bioelectricity, and second-generation renewable fuels. As one of the largest producers of ethanol in the world, Raízen is dedicated to driving the global energy transition by developing sustainable solutions for cleaner fuels and reducing carbon emissions across multiple industries.
Source Raízen Brazil