The funding from the Netherlands Enterprise Agency will be directed to the firm’s joint Turbe project with liquid energy and chemical storage company Evos, which will mark the first commercial deployment of Metafuels’ technology.

In a LinkedIn statement, Metafuels said the grant will support “key development activities” for the project.

Turbe will use the start-up’s Aerobrew technology, which converts green methanol into jet fuel.

Originally unveiled last May, the project is expected to initially produce 12,000 litres of e-SAF per day from 2028, with plans to eventually increase production tenfold to 120,000 litres per day in a second phase by 2031.

Final investment decision is due by the middle of this year.

Green methanol sources have not yet been disclosed. However, Evos says its Rotterdam facility can “store renewable methanol that meets International Methanol Producers and Consumers Association specifications.”

The funding comes as European SAF mandates come into force. From 2030, 1.2% of all jet fuel supplied at EU airports will need to be e-SAF.

However, a growing number of airline groups have raised concerns about securing fuel supplies to meet the mandates, while warning the shift to the cleaner fuels could raise ticket prices.

So far, the European Commission has reaffirmed that it will enforce penalties for non-compliance with the mandates.