Canada-based Methanex is making an initial $5 million
investment in Carbon Recycling International
(CRI), a privately-held company with headquarters in Reykjavik,
Iceland, the company said on Tuesday.
CRI operates the world's first renewable methanol plant in
Iceland, which utilizes its emissions-to-liquids (ETL) technology to convert renewable
energy and recycled CO2 emissions to renewable methanol. As
a result of this investment, Methanex will become a
key shareholder of CRI, with board representation.
"The fastest growing markets for methanol are in the energy sector,
and we believe renewable methanol will play an important role
in future applications," said John Floren, CEO of
Methanex. "The CRI team has demonstrated the ability to
develop this technology, operate a production
plant and successfully market renewable methanol, which further
reinforces the value of this investment."
The companies said they hope to expand the use of
methanol-blended fuels in Europe, with Methanex also
considering further investments to support CRI's
"Based on our experience of building and operating the first
emission-to-liquids fuel plant in Iceland and the increasing
worldwide demand for ultra-low carbon automotive fuels, CRI is well
positioned to grow larger production plants based on our
relationship with providers of Icelandic hydro and geothermal
energy," said KC Tran, chief executive of CRI.
"Methanex's investment is a validation of our approach and will
strengthen our ability to execute our growth plan
successfully," he added.
CRI markets its renewable methanol in Europe, under the registered brand
name Vulcanol, where it is blended with gasoline and
used for production of biodiesel. Vulcanol is certified by the
International Sustainability and Carbon
Certification system (ISCC) as an ultra-low carbon advanced
renewable transport fuel with no biogenic
Methanex and CRI said they intend to collaborate on
large-scale projects based on CRI's ETL technology. They plan to leverage
Methanex's operational experience and global reach with
CRI's unique expertise in the production of ultra-low carbon renewable methanol.