POSCO International is the latest investor to throw its weight behind Townsville aviation biofuels refinery proponent Jet Zero Australia as the company notches up final development approval for the project.

Jet Zero is also celebrating the completion of a $30 million funding round, managed by Barrenjoey, and supported by investors including Qantas and Airbus.

The proceeds will support completion of front-end engineering design (FEED) for Project Ulysses and its progression towards final investment decision and construction.

The company plans to build a sustainable aviation fuel (SAF) plant at Cleveland Bay Industrial Park with the capacity to process at least 183 million litres per year of ethanol to SAF and renewable diesel fuels.  

“Completing our $30 million funding round, welcoming POSCO International and securing final development approval are defining milestones for Project Ulysses,” Jet Zero Australia chief executive officer Ed Mason said.

“We are particularly pleased to welcome POSCO International as a strategic investor. Their financial strength, global reach and deep understanding of energy markets make them an ideal partner as we progress the project towards construction.

“Some organisations will buy low-carbon liquid fuels. Others will invest in building the industry. We are fortunate to be backed by organisations committed to doing both.”

A POSCO spokesman said Australia had always been a strategic core hub for the group’s traditional energy and mineral businesses, and this investment marked a significant step in transitioning its portfolio towards a decarbonised future.

“By strategically securing essential low-carbon liquid fuels like SAF and renewable diesel, we are expanding our sustainable energy and feedstock distribution capabilities,” he said.

“Using Project Ulysses as an anchor asset, we look forward to co-developing SAF supply chains that will ultimately grow into a vital hub, contributing to the shared energy security of both South Korea and Australia.”

Townsville Enterprise chief executive officer Claudia Brumme described the investment and final development approval as fantastic news for Townsville and a strong vote of confidence in its potential to play a leading role in Australia’s emerging biofuels industry.

“Project Ulysses is set to deliver significant economic benefits for our region, creating around 1000 jobs during construction and 100 ongoing operational roles, while opening up opportunities across agriculture, manufacturing, logistics and the broader supply chain,” she said.