News
Porsche Set To Invest An Additional $75 Million On Synthetic Fuel Production
Porsche is strengthening its investment in synthetic fuel, investing $75 million into a holding company responsible for multiple synthetic fuel production facilities. The automaker said it is taking what it calls a “long-term stake” in HIF Global LLC, a holding company for projects to develop synthetic fuel production facilities.
One of the projects Chile-based HIF is involved in is the Porsche-backed Haru Oni pilot plant in Punta Arenas, Chile. The plant is scheduled to start producing synthetic fuel in mid-2022, according to Porsche. The automaker previously estimated 34,340 gallons of fuel would be produced in 2022.
Porsche, along with partners Siemens Energy and ExxonMobil, will produce synthetic fuels from hydrogen and C02 using wind energy for mid-2022. A number of other companies have also invested in the synthetic fuel company, whose total investments now reach the “low nine-figure range” according to Porsche.
“Synthetic fuels make an important contribution to climate protection and complement our electromobility in a meaningful way. By investing in industrial synthetic fuel production, Porsche is further expanding its commitment to sustainable mobility. In total, our investment in the development and provision of this innovative technology amounts to more than USD 100 million,” says Barbara Frenkel, Member of the Executive Board for Procurement at Porsche AG.
The automaker previously estimated an 85% reduction in carbon emissions for synthetic fuels made with renewable energy, with lower “well to wheels” emissions than EVs, once emissions related to manufacturing are factored in.
Some environmental groups don’t agree with these claims, however. Europe’s Transport & Environment has called synthetic fuels “a mirage.”
