Microsoft and Alaska Airlines' Role At E-Jet Fuel Plant

AirPlant One is the first e-fuel plant of its scale in the US and will produce low-carbon jet fuel using captured carbon dioxide, water and renewable electricity.

The fuel serves as a drop-in synthetic aviation fuel compatible with current aircraft and infrastructure, meeting technical specifications and delivering up to 90% lower lifecycle CO₂ emissions than conventional jet fuel.

In 2022, Microsoft and Alaska Airlines agreed to purchase the plant’s future fuel output, enabling Twelve to reduce project risk, secure funding and begin construction.

In addition to the offtake agreement, Alaska Star Ventures, the investment arm of Alaska Airlines, participated in Twelve’s US$645m funding round. Microsoft also contributed through its Climate Innovation Fund.

Microsoft plots cleaner business travel

Microsoft states that these investments will help reduce emissions from its business travel.

Melanie Nakagawa, Chief Sustainability Officer at Microsoft, emphasises that progress on climate and sustainability relies on innovative collaborations such as this.

"Our investment in Twelve helps scale energy solutions while laying the groundwork for cleaner aviation at a global scale," says Melanie.

“We look forward to sourcing future gallons of Washington-produced SAF to help reduce our business travel emissions."

Domestic supplies to limit risk

Alaska Airlines, in partnership with Microsoft, will operate regular domestic flights using AirPlant One’s E-Jet fuel.

"As Seattle's hometown airline, we are committed to supporting in-state production of sustainable aviation fuel, which is currently the best technology for the airline industry to reach net-zero carbon emissions", says Ryan Spies, Alaska Airlines' Managing Director of Sustainability. 

"Our partnership with Twelve and Microsoft demonstrates the power of innovation and collaboration to successfully advance SAF, while creating new jobs, diversifying fuel supply chains and strengthening energy security."

Stable prices

AirPlant One’s sustainable jet fuel is also supplied to other commercial aviation partners.

Twelve says it can offer airlines a more stable pricing framework, as prices are set by long-term power purchase agreements for the renewable energy used in the production process. Traditional jet fuel is exposed to the volatility of the crude oil market. 

"We broke ground on AirPlant One with a simple thesis: that the fuels powering the global economy could be made from renewable electricity and air, anywhere in the world," says Nicholas Flanders, Co-Founder and CEO of Twelve. 

In addition to aviation fuel, AirPlant One produces E-Naphtha, an e-chemical derived from CO₂, water and renewable energy. E-Naphtha can be used as a substitute in products such as plastics, packaging, solvents, and synthetic fibres.

Twelve has provided E-Naphtha solutions to major global manufacturers including Mercedes-Benz, PANGAIA and Procter & Gamble.