News: QAN Idemitsu, Qantas and Airbus back Australia biofuel refiner with $19.2 mln

SYDNEY, March 12 (Reuters) - Biofuel refiner Jet Zero Australia said on Tuesday it had received new funding commitments of A$29 million ($19.2 million) from Idemitsu 5019.T , Qantas (QAN) and Airbus AIR.PA for its flagship Sustainable Aviation Fuel (SAF) project.

It marks the first investment by Japanese oil refiner Idemitsu Kosan in a SAF project outside Japan, and was supported by Jet Zero Australia's foundational investors, including Qantas and Airbus, Jet Zero said in a statement.

Qantas and Airbus last year said it would jointly invest A$2 million in the project. Both companies in 2022 set up a $200 million fund to help meet Qantas' goal of using at least 10% of SAF in its fuel mix by 2030 after the airline placed a multibillion-dollar order for Airbus planes.

The refinery, to be set up in the state of Queensland, will convert bioethanol from domestic agricultural by-products into sustainable fuels. It is expected to produce up to 102 million litres of SAF a year and 11 million litres of renewable diesel once operational.

SAF can be blended with conventional jet fuel and can reduce carbon emissions by up to about 80%. ($1 = 1.5131 Australian dollars)