CleanJoule, a startup based in the United States that specializes in the production of Sustainable Aviation Fuel (SAF), has announced a successful investment round of $50 million.
The round was led by the principals of Indigo Partners, a private equity firm based in the US, and included participation from GenZero, a decarbonization-focused investment platform under Temasek in Singapore, Cleanhill Partners, a US-based private equity firm focused on decarbonization, as well as three airlines: Frontier Airlines based in the US, Wizz Air based in Europe, and Volaris based in Mexico.
The funds raised from this round will support the further advancement of CleanJoule’s technology to produce high-performance SAF at a lower cost using agricultural residues and other waste biomass.
The investment round signifies a significant milestone in the global efforts to reduce carbon emissions and take meaningful climate action. Sustainable Aviation Fuel (SAF), a biofuel with a lower carbon footprint used to power commercial aircraft, has the potential to contribute up to 65 percent of the emission reduction required by the aviation sector to achieve net-zero emissions by 2050, according to the International Air Transport Association.
Depending on the feedstock and production technologies utilized, SAF can significantly reduce greenhouse gas emissions throughout its lifecycle compared to conventional jet fuel.
As part of the investment consortium, Frontier Airlines, Wizz Air, and Volaris have committed to purchasing up to 90 million gallons of SAF through binding agreements. Additionally, the principals of Indigo Partners will hold a seat on CleanJoule’s Board of Directors.
Dr. Mukund Karanjikar, co-founder and CEO of CleanJoule, expressed the importance of addressing carbon emissions in the aviation industry. CleanJoule aims to lead the change by providing viable and sustainable fuel alternatives. With the commercialization of their fuel technology progressing, CleanJoule is well-positioned to scale the supply of SAF in the market and expedite the transition towards a greener aviation industry.
The support from their new investor partners, who share their mission and have placed their trust and capital in CleanJoule, is a source of pride and motivation for driving the transformation of global aviation.
- Company press release
