LanzaTech Awarded Contract by Spray Engineering Devices Ltd. (SED) to build second generation ethanol facility in India as part of “SED Smart Village” Initiative
Rhea-AI Summary
LanzaTech (NASDAQ: LNZA) was awarded a contract by Spray Engineering Devices Ltd to build a next-generation ethanol facility in Uttar Pradesh, India, as part of the SED Smart Village initiative.
The plant will use LanzaTech's carbon recycling bioreactor technology to convert syngas from oxygen-enriched air gasification of sugarcane bagasse (processed up to 300 tons per day) into ethanol and produce 5–10% nutrient-rich biochar. The facility is expected to begin operations within two years and will operate under the PM JI-VAN Yojana program, advancing local fuel and chemical production from waste-based feedstocks.
Positive
- Contract award expands LanzaTech footprint in India
- Facility processing capacity: ~300 tons per day of bagasse
- Biochar output expected at 5–10% to support soil fertility
- Project aligned with PM JI-VAN Yojana supporting advanced bioethanol
Negative
- None.
Key Figures
Market Reality Check
Peers on Argus
LNZA was down 2.36% pre-news, while several waste/industrial peers also traded lower (e.g., QRHC -4.07%, DXST -11.34%, AQMS -2.26%), but no peers appeared in the momentum scanner, suggesting stock-specific trading rather than a confirmed sector-wide move.
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Jan 22 | Private placement | Negative | -1.5% | Closed <b>$20M</b> common stock private placement with new institutional investors. |
| Jan 07 | Project performance | Positive | -2.8% | Kuji MSW-to-ethanol pilot exceeded guaranteed ethanol yields for over 14 days. |
| Dec 22 | Ownership milestone | Positive | -2.7% | Increased LanzaJet ownership to <b>53%</b> via pre-agreed equity tranches without new cash. |
| Nov 19 | Earnings update | Positive | -2.0% | Reported Q3 revenue <b>$9.3M</b> and net income <b>$2.9M</b> with improved losses. |
| Nov 13 | Commercial launch | Positive | -4.2% | World’s first commercial ethanol-to-jet fuel plant reached full operation at Freedom Pines. |
Recent history shows LNZA often trading lower following operational or strategic positives, including project milestones and financing announcements.
Over the last few months, LNZA reported several milestones and financings. A $20M private placement on Jan 22, 2026, positive performance data from the Kuji MSW-to-ethanol pilot, and increasing its LanzaJet stake to 53% all preceded negative next-day moves. Q3 2025 results highlighted $9.3M revenue and narrowed losses, and the world’s first commercial ethanol-to-jet plant became operational in Nov 2025, yet these also saw shares trade down. Today’s India contract continues a pattern of operational progress against a weak share trend.
Market Pulse Summary
This announcement expands LanzaTech’s project pipeline with a 24K MTA ethanol facility in India that converts sugarcane bagasse into fuels and chemicals, reinforcing its waste-to-value positioning. It builds on existing deployments such as Indian Oil’s Panipat plant and NTPC’s 10 tpd unit. Recent history shows multiple operational achievements alongside financings and regulatory filings, so tracking execution timelines, capital needs, and incremental contracts remains important for understanding the company’s trajectory.
Key Terms
syngas technical
biochar technical
sustainable aviation fuel technical
bioreactor technical
AI-generated analysis. Not financial advice.
- 24K MTA Ethanol Plant would be the first facility in India using LanzaTech’s technology for converting sugarcane bagasse to produce essential fuels and/ or chemicals.
- Facility will use syngas produced by oxygen-enriched air gasification of bagasse, indigenously developed by Ankur Scientific, Vadodara, to support commercial-scale deployment of LanzaTech’s carbon recycling technology for the production of ethanol from waste-based feedstocks.
- Project to advance groundbreaking “SED Smart Village” concept model, committed to driving energy-efficient technologies, and fostering economic growth across rural India.
SKOKIE, Ill., Jan. 27, 2026 (GLOBE NEWSWIRE) -- LanzaTech Global, Inc (NASDAQ: LNZA) (“LanzaTech”), has been awarded a contract by Spray Engineering Devices Ltd (SED), a leading provider of sustainable energy solutions, to build a next generation ethanol facility using sugarcane bagasse, a widely available agricultural waste product, for production of sustainable fuels and chemicals.
The facility, projected to process up to 300 tons per day of bagasse, will be in the state of Uttar Pradesh, India, and is a key component of the "SED Smart Village" concept. The SED Smart Village framework is designed to capture the full economic value of renewable power and carbon resources. The model anticipates that abundant low-cost power will shift carbon demand toward high-value products like green chemicals, polymers, aviation fuels, and e-fuels. In addition, the LanzaTech project is expected to generate nutrient-rich biochar (5–
"Modern agriculture is poised for a significant transformation through green solar power and hydrogen, which will create boundless opportunities for rural economies," said Mr. Vivek Verma, Founder of SED. "India’s year-round solar potential, fertile land, and growing energy demand position it uniquely for a low-cost renewable energy future. As solar, wind, battery, and storage technologies mature, electricity costs are expected to decline significantly, supported by distributed energy storage. The critical element is ensuring biomass processing and nutrient recycling occur locally to preserve soil health and strengthen rural economies. By utilizing non-food agricultural biomass and animal waste as carbon feedstock, we can both decarbonize agriculture and create a sustainable hydrocarbon ecosystem."
LanzaTech equips industrial facilities with bioreactor hardware that works like a brewery, but instead of using yeast to convert sugar into beer, proprietary microbes convert carbon-rich gases, including CO2 coupled with green H2, to ethanol, a key building block for the production of consumer goods and profitable fuels, including sustainable aviation fuel (including e-fuels) and renewable diesel.
By leveraging the existing supply chain, the facility will divert bagasse/biomass waste from being burned and enable local production of fuels, chemicals, and raw materials. This innovative approach supports circular economies and helps build a more resilient future for sugarcane-growing communities. The plant is expected to begin operations within two years.
This project will mark one of the first instances of a private company developing an ethanol project, using sugar industry by-product bagasse, under the PM JI-VAN Yojana, an Indian government program designed to support the production of advanced bioethanol from agricultural and other industrial waste.
“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, LanzaTech’s CEO and member of the US-India Strategic Partnership Forum’s (USISPF)’s Board of Directors. “Waste-based feedstocks can support Prime Minister Modi’s Make in India initiative by boosting the regional domestic manufacture of essential goods and materials.”
In India, LanzaTech’s technology is already deployed at Indian Oil Corporation’s Panipat facility using refinery off-gases, the sixth commercial scale plant using LanzaTech’s technology worldwide. A 10 ton per day ethanol production unit by NTPC from waste CO2 and green H2 is under advanced stage of execution at NTPC’s Pudimadaka site in Andhra Pradesh.
About Spray Engineering Devices Ltd.
Spray Engineering Devices Limited (SED) is an innovative technological solutions based sustainable engineering company specializing in thermal heat recycling, zero-fuel-burning process systems, biomass to syngas & ethanol production and zero-carbon industrial technologies for the sugar, water, jaggery and biofuel sectors. Founded in 1992 and incorporated as a public limited company in 2004, with its corporate office in Mohali, Punjab, India, SED focuses sustainable development on the design and supply of high-efficient evaporation, crystallization, condensation, vapour recompression, and heat-exchange systems. The company is recognized for its Mechanical Vapor Recompression (MVR)-based low-temperature evaporation technologies, enabling complete waste-heat utilization, no fuel burning, zero liquid discharge (ZLD), more than
Contacts:
Spray Engineering Devices Ltd.
Corporate Communications
info@sprayengineering.com
About LanzaTech
LanzaTech (NASDAQ: LNZA) is a leader in carbon management, using its proprietary gas-fermentation platform to transform waste carbon into valuable products. Through global partnerships, LanzaTech enables the production of feedstocks for high-value markets including SAF and chemicals. Headquartered in the U.S., the company provides technology and commercial pathways that strengthen industrial resilience and unlock new economic value from carbon.
LanzaTech: Freya Burton press@lanzatech.com
Forward-Looking Statements
This press release includes forward-looking statements regarding, among other things, the plans, strategies and prospects, both business and financial, of LanzaTech. These statements are based on the beliefs and assumptions of LanzaTech’s management. Although LanzaTech believes that its plans, intentions and expectations reflected in or suggested by these forward-looking statements are reasonable, LanzaTech cannot assure you that it will achieve or realize these plans, intentions or expectations. Forward-looking statements are inherently subject to risks, uncertainties and assumptions. Generally, statements that are not historical facts, including statements concerning possible or assumed future actions, business strategies, events or results of operations, are forward-looking statements. These statements may be preceded by, followed by or include the words “believes,” “estimates,” “expects,” “projects,” “forecasts,” “may,” “will,” “should,” “seeks,” “plans,” “scheduled,” “anticipates,” “intends” or similar expressions. The forward-looking statements are based on projections prepared by, and are the responsibility of, LanzaTech’s management. These forward-looking statements are not guarantees of future performance, conditions or results, and involve a number of known and unknown risks, uncertainties, assumptions and other important factors, many of which are outside LanzaTech’s control, that could cause actual results or outcomes to differ materially from those discussed in the forward-looking statements, including LanzaTech’s ability to continue to operate as a going concern;; delays or interruptions in government contract awards, funding cycles or agency operations (including due to a government shutdown) that could postpone project milestones and defer related revenue recognition; LanzaTech’s ability to attract new investors and raise substantial additional financing to fund its operations and/or execute on its other strategic options LanzaTech’s ability to maintain the listing of the Nasdaq Stock Market LLC; LanzaTech’s ability to execute on its business strategy and achieve profitability; and LanzaTech’s ability to attract, retain and motivate qualified personnel. LanzaTech may be adversely affected by other economic, business, or competitive factors, and other risks and uncertainties, including those described under the header “Risk Factors” in its Form 10-K for the year ended December 31, 2024, its Form 10-Q for the quarter ended March 31, 2025, June 30, 2025 and September 30, 2025 and in future SEC filings. New risk factors that may affect actual results or outcomes emerge from time to time and it is not possible to predict all such risk factors, nor can LanzaTech assess the impact of all such risk factors on its business, or the extent to which any factor or combination of factors may cause actual results to differ materially from those contained in any forward-looking statements. Forward-looking statements are not guarantees of performance. You should not put undue reliance on these statements, which speak only as of the date hereof. All forward-looking statements attributable to LanzaTech or persons acting on its behalf are expressly qualified in their entirety by the foregoing cautionary statements. LanzaTech undertakes no obligations to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
FAQ
What did LanzaTech (LNZA) announce on January 27, 2026 about India?
What is the processing capacity of the LNZA-backed ethanol plant in India?
When is the LanzaTech (LNZA) ethanol plant expected to start operations?
What products will the LanzaTech (LNZA) technology produce from bagasse in India?
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