Japanese company looks to finance algae jet fuels
Tokyo-based Euglena is offering equity shares to five companies to boost its efforts to create a jet fuel from microalgae by 2020. Agricultural machinery firm Kobashi Kogyo will gain a 0.5% stake in the company, and will provide it with JPY500m ($4.5m), with industrial engineering firm Chiyoda investing JPY300m. The three remaining companies, one of which is Isuzu Motors, will each provide Euglena with JPY100m apiece. The company is scheduled to begin operating a test facility in 2019, and plans to supply its fuel for use in planes in 2020.

TOKYO -- Japanese bioventure Euglena is arranging equity tie-ups with five companies to speed up its efforts to commercialize jet fuel made from microalgae -- thereby cutting carbon emissions -- by 2020.

The Tokyo-based company will allocate new shares to the companies as early as June, procuring 1.1 billion yen ($9.86 million) for its new biojet fuel testing facility. Agricultural machinery producer Kobashi Kogyo will provide 500 million yen, gaining a roughly 0.5% stake in Euglena, while Chiyoda Corp. will invest 300 million yen. The other three, including Isuzu Motors and Itochu Enex, will put up 100 million yen each.