Humber Freeport has welcomed an announcement from world-leading carbon recycling company LanzaTech that it plans to invest £600m in a sustainable aviation fuel facility at Saltend Chemicals Park.
LanzaTech’s DRAGON II facility is expected to produce around 80,000 tonnes of sustainable aviation fuel every year – around one per cent of UK jet fuel requirements – and 8,000 tonnes of renewable diesel.
The project will support around 300 skilled jobs during construction and 150 permanent roles once operational. It is the second DRAGON project announced by LanzaTech in the UK, with a similar facility planned to be established at Port Talbot in South Wales.
Saltend Chemicals Park is owned and operated by px Group and LanzaTech’s proposed facility will be located in part of the site that lies within the Humber Freeport Hull East tax site. It means LanzaTech can benefit from a range of investment incentives, from business rates relief and Employer National Insurance Contribution relief to Enhanced Capital Allowances on new plant and machinery.
Previous investments within the Hull East tax site include expansions from both Mitsubishi Chemical Group and Siemens Gamesa at its offshore wind turbine blade manufacturing facility at Alexandra Dock.
Meld Energy is also planning to deliver a green hydrogen facility at Saltend. Meld recently announced investment from Schroders Greencoat to strengthen its development capabilities.
Simon Green, CEO of Humber Freeport
Humber Freeport CEO Simon Green said: “LanzaTech’s announcement represents a significant investment for the Humber region. In joining a world-class cluster of low carbon technology and innovation, LanzaTech benefits from Saltend Chemicals Park’s ‘plug and play’ proposition, with feedstock and offtake partners on site.
“With a similar facility already operational in the US, LanzaTech’s technology is proven and will reinforce the Humber’s growing status as a leading UK hub for the development of sustainable aviation fuel and associated critical chemicals.
“It is also a major direct inward investment into Humber Freeport’s Hull East tax site, enabling LanzaTech to benefit from a range of incentives designed to attract important developments such as this.
“We’re delighted to welcome LanzaTech to the Humber and look forward to working closely with the business to maximise supply chain opportunities and growth across the region.”
LanzaTech’s technology converts waste carbon dioxide and green hydrogen into ethanol, which can then be used to produce a form of sustainable aviation fuel.
The planned facility is scheduled to begin construction in the second half of 2027 and be operational during 2030.
LanzaTech’s proposed facility will be located at Saltend Chemicals Park, near Hull.
LanzaTech said its announcement “represents a significant contribution to the UK’s net-zero ambitions, national energy security, and the creation of high-value jobs and industrial growth across the region”.
Jim Woodger, LanzaTech’s Managing Director for Europe, Middle East, Africa and Americas, said: “We are excited to bring LanzaTech’s carbon recycling technology, paired with our partner LanzaJet’s world-leading SAF production technology, to Humberside.
“We selected the px Saltend Chemicals Park because it offers exceptional infrastructure for SAF production and the future prospect for hydrogen and CO2 pipelines and storage. The skills of the px Group team also provides an excellent fit with LanzaTech.”
Geoff Holmes, CEO of Saltend Chemicals Park owner and operator px Group, added: “This major investment from LanzaTech demonstrates Saltend’s continued attractiveness for world-first, low-carbon projects.
“DRAGON II will further strengthen the Humber’s status as the UK’s Energy Estuary, delivering jobs and a resilient, net zero future for the region.”
