SINGAPORE : Apeiron Bioenergy has successfully closed an equity financing round from Mitsui Chemicals. The funds will support Apeiron to increase its collection capacity for waste-based feedstocks across Asian markets and position the company for exponential growth amidst growing demand for renewable feedstock for advanced biofuels such as sustainable aviation fuel (SAF).
According to the International Energy Agency , global demand for renewable diesel is set to more than double, or by 11 billion litres, over the next five years. The demand mainly stems from government regulations in the US and the EU as established in the decarbonisation targets by COP26. However, the planned capacity is set to outpace domestic feedstock supply significantly, and production must keep up with the climate emergency – where will the additional feedstock come from?
A leading integrated player and solutions provider in the bioenergy space, Apeiron Bioenergy, collects and processes a range of renewable feedstocks including used cooking oil (UCO) and palm oil mill effluent (POME) acts as a critical exporter across an ever-expanding Asian market. Over the past 15 years, Apeiron Bioenergy has built its presence in over 10 countries and collected more than 500 million litres of UCO between 2017-2021, offsetting an estimated 1.5 million tonnes of carbon emissions.
“Zero Carbon emissions is one of our strategic targets by 2050. As one of Japan’s leading chemical companies, our investment in Apeiron is our way of contributing to solving the world’s future environmental issues,” said Tadashi Yoshino, Representative Director, Managing Executive Officer, Mitsui Chemicals. “Apeiron Bioenergy has a proven track record of aggregating renewable feedstock and streamlining the supply chain across Asia. We are delighted to invest in the company as it aligns with our sustainability goals.”
Apeiron Bioenergy’s access to diversified sources and networks of feedstock and relationships with downstream customers means it is in an excellent position to access and supply downstream by-products for Mitsui Chemicals to help achieve its net zero targets.
With Mitsui Chemicals serving as a strategic investor, Apeiron Bioenergy will be well-positioned to meet the substantial rise in demand for biofuels by ramping up its capacity of collection points and processing facilities through both organic and inorganic growth. The company is actively seeking to acquire or collaborate with local collectors of sustainable feedstocks in the Asian markets.
“Tackling supply chain issues in Bioenergy across Asia requires a community-focused, collaborative approach – our seasoned management team has proven that we can resolve supply chain inefficiencies with our multicultural and multi-jurisdictional strategy,” said Chris Chen, Managing Director of Apeiron Bioenergy. “We will be ramping up our collection capability, collaborating closely with our downstream partners to resolve the wider sustainability problem of reducing carbon emissions across the land, sea and air transportation spaces.”