CHITOSE Group Obtains Funding from Japanese Government-affiliated NEDO

for Green Innovation Fund of USD400M Range

Chitose Laboratory Corp., the core company of the CHITOSE Group (hereinafter "CHITOSE"), has won funding from a Japanese government-affiliated entity for a project on the self-proposed theme of "Building a global industry originating in Japan based on the direct use of CO2 through photosynthesis" for the "Green Innovation Fund Project (hereinafter "GI Fund"): Promotion of Carbon Recycling Using CO2 from Biomanufacturing Technology as a Direct Raw Material." CHITOSE has been selected as a prospective implementing agency for this theme by the New Energy and Industrial Technology Development Organization (hereinafter "NEDO"). The total project cost is approximately USD400 million, and the implementation period is scheduled from FY2023 to FY2030.

Project partners' logos: https://kyodonewsprwire.jp/prwfile/release/M107621/202304054622/_prw_PI1fl_MS4l1pKj.jpg

CHITOSE is collaborating with other companies/organizations in various positions and industries through the "MATSURI" (meaning "festival" in Japanese) project to build a new algae-based industry to replace the petroleum-based industry. CHITOSE is working on the development of bio-products, the construction of the world's largest 5-hectare microalgae production facility and the demonstration of long-term large-scale production in Malaysia (*).

Under the GI Fund project theme, for which CHITOSE has been selected as a prospective implementing agency, it will develop the algae production technology on a 100 ha production scale with a focus on both economic rationality and environmental sustainability, and on the development of a wide range of applications such as chemical products, toiletry, fuels, feeds and foods using microalgal biomass produced directly from CO2 as a raw material. Through these business activities, CHITOSE will promote the establishment of a global algae-based industry originating from Japan, and contribute to the realization of zero carbon emission by 2050 as advocated by the Japanese government.

This project will be implemented with 34 partner companies of the MATSURI project operated by CHITOSE, Sumitomo Mitsui Banking Corporation (SMBC), Hiroshima University, Nagaoka University of Technology, Nagoya University, and Institute of Microalgal Technology, Japan (IMAT). In addition, CHITOSE will start raising private funds in order to accelerate this project through the GI Fund.

MATSURI partners' enthusiasm and expectations for this project

https://kyodonewsprwire.jp/attach/202304054622-O1-SkgkNm4n.pdf

About the commissioned and subsidized project which has been adopted

- Business/project name:

Green Innovation Fund Project (GI Fund): Promotion of Carbon Recycling Using CO2 from Biomanufacturing Technology as a Direct Raw Material

- Adopted theme:

Building a global industry originating in Japan based on the direct use of CO2 through photosynthesis

- Theme overview:

Using microalgae, with sunlight as an energy source and CO2 as a direct feedstock, the commercial production of chemicals such as bioplastics and functional materials, fuels, foods and feeds, with the aim of realizing zero carbon emission by 2050.

- NEDO disclosure of information on this matter

Details of the public call: https://www.nedo.go.jp/koubo/EF2_100190.html (Japanese)

Adoption announcement: https://www.nedo.go.jp/koubo/EF3_100190.html (Japanese)

Press release on the adoption: https://www.nedo.go.jp/news/press/AA5_101619.html (Japanese)

* Commissioned by NEDO to Chitose Laboratory Corp. since 2020

- Press release on adoption: https://chitose-bio.com/jp/news/3514/ (Japanese)

- Press release on the start of operation: https://chitose-bio.com/jp/news/5124/ (Japanese)

About MATSURI

The MATSURI project aims towards the establishment of an advanced microalgae-based industry. CHITOSE has considerable expertise in large-scale microalgae production technologies, and is leading the MATSURI project collaborating with Japanese progressive enterprises. As what MATSURI means in Japanese, CHITOSE keeps leading a festival to develop a sustainable society.

Image: https://kyodonewsprwire.jp/prwfile/release/M107621/202304054622/_prw_PI2fl_oI14u9jJ.jpg

Video: A story with a heart for the future, the MATSURI project for building the "algae industry": The world's largest microalgae production facility will accelerate from here.

https://matsuri.chitose-bio.com/pages/gallery

Website: https://matsuri-partners.chitose-bio.com/en

About CHITOSE Group

CHITOSE Group is a family of biotechnology companies leading the global bioeconomy. To live in abundance beyond the next millennium using the ability of living things, CHITOSE pursues the possibilities of biotechnology through technological and business development collaborating with its business partners all over the world.

Website: https://chitose-bio.com/

About CHITOSE BIO EVOLUTION PTE. LTD. (head office that oversees entire Group)

Established in October, 2011

Head Office located in Singapore

CEO: Tomohiro FUJITA, Ph. D.

About Chitose Laboratory Corp. (responsible for the project)

Established in November, 2002

Head Office located in Kanagawa Prefecture, Japan

CEO: Tomohiro FUJITA, Ph. D.

COO: Rie KUGIMIYA