LanzaTech Achieves Guaranteed Performance at Japan MSW-to-Ethanol Plant

Rhea-AI Summary

LanzaTech (NASDAQ: LNZA) reported that its Kuji, Japan MSW-to-ethanol pilot (1/10th commercial, ~400 tons ethanol/year) sustained specific ethanol yields above guaranteed performance for over 14 consecutive days at steady state. The nearly four-year-operated facility processed highly inhomogeneous waste-derived syngas with combined CO+H₂ content of 40%–55% and an H₂:CO ratio of 1.1–1.4, demonstrating the fermentation platform's robustness and adaptability to variable waste feeds and gasifier designs.

Positive

• Ethanol yields sustained above guaranteed levels for >14 consecutive days
• Kuji pilot capacity ~400 tons ethanol per year (1/10th commercial scale)
• Successfully processed syngas with CO+H₂ as low as 40% and H₂:CO 1.1–1.4
• Plant operated nearly four years since mechanical completion in April 2022

Negative

• None.

Key Figures

Plant capacity 400 tons of ethanol per year Kuji City MSW-to-ethanol pilot plant (1/10th commercial scale)

Performance duration Over 14 consecutive days Ethanol yields exceeded guaranteed performance at steady state

Syngas content low end 40% CO + H₂ Operated successfully on complex syngas streams at low combined content

Syngas content range 40% to 55% CO + H₂ Feed gas composition range during robust operation

H₂:CO ratio range 1.1 to 1.4 Demanding gas balance managed by LanzaTech’s fermentation process

Market Reality Check

$0.0131 Last Close

Volume Volume 2,202 vs 20-day average 7,466 (relative volume 0.29) indicates subdued pre-news trading. low

Technical Price $14.10 is trading below the 200-day MA at $24.13, reflecting a longer-term downtrend.

Peers on Argus

Peers showed mixed moves pre-news: QRHC +3.47%, DXST +0.69%, AQMS +2.17%, while CDTG -6.29% and AWX -0.98%. With LNZA up 0.79% and no peers in the momentum scanner, the setup looked stock-specific rather than a clear sector rotation.

Historical Context

Date	Event	Sentiment	Move	Catalyst
Dec 22	Ownership increase	Positive	-2.7%	Increased LanzaJet stake to <b>53%</b> without new capital investment.
Nov 19	Earnings update	Positive	-2.0%	Q3 2025 showed net income and improved adjusted EBITDA versus prior year.
Nov 13	Plant operational	Positive	-4.2%	World’s first commercial-scale ethanol-to-jet plant reached full operation.
Nov 05	EU grant award	Positive	-4.0%	Secured <b>€40 million</b> grant for first-of-its-kind CCUS project in Norway.
Oct 23	LanzaJet agreements	Positive	+3.5%	Amended agreements to boost SAF commercialization and potential 50% stake.

Pattern Detected

Recent positive strategic and funding updates have often been followed by negative 24h price reactions, suggesting a pattern of selling into good news.

Recent Company History

Over the last few months, LanzaTech reported several strategic milestones. On Oct 23, 2025, it amended LanzaJet agreements to support accelerated SAF commercialization. This was followed by a €40 million EU Innovation Fund grant for a Norwegian CCUS project on Nov 5, 2025, and news that the Freedom Pines ethanol-to-jet plant became operational on Nov 13, 2025. Q3 2025 earnings on Nov 19, 2025 showed improved profitability, and on Dec 22, 2025 LanzaTech’s stake in LanzaJet rose to 53%. Despite these positives, most events saw negative next-day price moves.

Market Pulse Summary

This announcement highlights sustained ethanol yields above guaranteed levels at a 400‑ton/year MSW‑to‑ethanol pilot in Japan, even on challenging syngas with 40–55% CO+H₂ and H₂:CO ratios of 1.1–1.4. In recent months, LanzaTech has reported grants, operational milestones, and a higher LanzaJet stake. Investors may monitor how such technical validation translates into commercial projects, revenue growth, and balance‑sheet resilience over time.

Key Terms

syngas technical

"The plant processed syngas (a blend of carbon monoxide and hydrogen) with"

Syngas is a manufactured fuel gas made mainly of hydrogen and carbon monoxide, produced by heating carbon-based materials (like coal, natural gas, biomass or waste) in a controlled, low-oxygen process—think of it as breaking raw ingredients into a simple cooking gas. Investors care because syngas can be turned into electricity, fuels or chemical feedstocks and its cost, efficiency and emissions profile directly affect project profits, regulatory compliance and long-term market demand.

gasification technical

"Gasification is a widely used and established technology for processing solid waste"

Gasification is a process that turns solid or liquid fuels such as coal, biomass, or waste into a combustible gas mixture by heating them with a controlled amount of oxygen or steam. Investors care because it can create a flexible, lower-emission fuel or chemical feedstock and enable new revenue streams from waste or renewable materials; think of it like cooking without burning, producing a useful gas instead of smoke, which affects project costs, permits and long-term returns.

AI-generated analysis. Not financial advice.

Collaborative pilot at Kuji facility showcases robust ethanol yields using LanzaTech’s fermentation technology

• Achieved ethanol yields exceeding guaranteed performance for over 14 consecutive days at steady state
• Successfully operated on complex syngas streams with CO + H_₂ contents as low as 40%
• Demonstrated robust waste-to-ethanol process under varying feedstock conditions

SKOKIE, Ill., Jan. 07, 2026 (GLOBE NEWSWIRE) -- LanzaTech Global, Inc. (NASDAQ: LNZA), a leader in industrial carbon recycling, has announced successful operational results at the municipal solid waste (MSW) to ethanol pilot plant in Kuji City, Iwate, Japan owned and operated by longstanding partner, SEKISUI CHEMICAL CO., LTD. (TSE: 4204) (SEKISUI). This 1/10th commercial scale facility, with the capacity to produce approximately 400 tons of ethanol per year, operated for nearly four years following mechanical completion in April 2022. Throughout this period, the plant demonstrated that LanzaTech’s gas fermentation platform can reliably process highly inhomogeneous, unsorted mixed non-recyclable waste streams—materials that would otherwise be destined for landfill or incineration. The demonstrated ability to manage challenging and variable waste sources is especially significant, as it shows that the technology can adapt to diverse regional waste profiles and support the development of a global circular carbon economy.

The waste-to-ethanol plant was funded with investment by SBR, a joint venture between Sekisui Chemical and INCJ, a private-public fund overseen by the Japanese Ministry of Economy, Trade, and Industry (METI). It also received funding from the Japanese Ministry of the Environment.

The plant achieved its guaranteed performance, sustaining specific ethanol yields above guaranteed values for over 14 consecutive days after reaching steady state - making this the most productive fermentation campaign at the site to date. Notably, the ethanol yield was maintained above guaranteed performance despite operating on particularly challenging gas mixtures. The plant processed syngas (a blend of carbon monoxide and hydrogen) with a combined CO + H_₂ content ranging from 40% to 55%, and an H_₂:CO ratio between 1.1 and 1.4, a balance that can be especially demanding for other catalytic technologies. To put this in context, achieving high performance under these conditions is akin to running a marathon at high altitude; it demonstrates both the adaptability and resilience of the LanzaTech process.

Gasification is a widely used and established technology for processing solid waste streams, with LanzaTech having successfully integrated its fermentation platform with several proven, traditional gasifier systems. The project at Kuji provided an opportunity to collaborate on a novel gasifier design, underscoring both the value of ongoing innovation in waste conversion technologies and the adaptability of LanzaTech’s fermentation process. Even with varied feed gas conditions, the process not only remained robust but also met key performance targets, demonstrating the reliability and effectiveness of LanzaTech’s platform.

“We are immensely proud of what we’ve achieved together at our Japan demonstration facility,” said Dr. Jennifer Holmgren, CEO of LanzaTech. “Our sincere thanks go to our partner Sekisui Chemical and the prefecture of Iwate and the city of Kuji for their outstanding collaboration and support. The results at Kuji once again demonstrate the scalability and technical viability of our fermentation platform. We are also grateful to the Government of Japan for its continued support and investment in sustainable technologies. We look forward to building on this progress and expanding sustainable fuels and chemicals in Japan and beyond.”

LanzaTech remains committed to advancing waste-to-energy solutions that are essential for a circular economy and that create valuable feedstocks for sustainable aviation fuel and other chemicals. By turning challenging waste streams into critical resources, projects like this help enable low-carbon industries and accelerate the global transition to more sustainable fuels.

About LanzaTech

LanzaTech Global, Inc. (NASDAQ: LNZA) is a carbon management solutions company that transforms industrial emissions, gasified solid waste and carbon dioxide into recycled carbon ethanol via proprietary bio-fermentation technology. Ethanol is a crucial building block in the world – a key feedstock for Sustainable Aviation Fuel (SAF), marine fuel and other downstream chemical derivatives. Operating commercially at six assets today, LanzaTech’s technology unlocks value across the supply chain, reducing the carbon footprint of hard-to-abate sectors while shepherding recycled carbon fuels and products to the world, building a circular carbon economy. www.lanzatech.com

Contact: freya@lanzatech.com

FAQ

What performance milestone did LanzaTech (LNZA) achieve at the Kuji MSW-to-ethanol pilot on January 7, 2026?

The Kuji pilot sustained specific ethanol yields above guaranteed performance for over 14 consecutive days at steady state.

What is the production capacity of the Kuji pilot plant mentioned by LanzaTech (LNZA)?

The facility is a 1/10th commercial scale pilot with capacity to produce approximately 400 tons of ethanol per year.

What syngas composition did LanzaTech demonstrate reliable operation on at the Kuji plant?

The process ran on syngas with combined CO+H₂ content between 40% and 55% and an H₂:CO ratio of 1.1–1.4.

How long has the Kuji demonstration plant been in operation according to LanzaTech (LNZA)?

The plant operated for nearly four years following mechanical completion in April 2022.

Who funded and partnered on the Kuji MSW-to-ethanol project referenced by LanzaTech (LNZA)?

Funding and partnership included SBR (a Sekisui Chemical and INCJ joint venture), the Japanese Ministry of the Environment, and support from government entities including METI.