Strategic Cooperation Eneos Partners with German Efuel One for Synthetic Fuels

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Under a strategic cooperation between Eneos and German eFuel One, both the parties aim to support the introduction of synthetic fuels in Japan and to advance the development of international value chains for low-carbon fuels.

Tokyo/Japan – Eneos Corporation (Eneos) and German eFuel One (GEF1) have recently announced the launch of a strategic cooperation to support the introduction of synthetic fuels in Japan and to advance the development of international value chains for low-carbon fuels.

The cooperation builds on the existing relationship between Eneos and eFuel and enters a new phase of industrial and commercial collaboration within the GEF1 project structure. As part of this cooperation, Eneos and eFuel have entered into a Sale and Purchase Agreement (SPA) covering future supplies of eGasoline. eFuel is a shareholder and strategic partner of GEF1 and GEF1 is developing the first large-scale industrial eGasoline plant in Germany.

The agreement marks Eneos’ first import of synthetic fuels into Japan and represents an important step toward promoting their adoption in the Japanese market. For GEF1/eFuel, it also marks their first export beyond Europe, contributing to the development of an international synthetic fuels value chain and strengthening energy cooperation between Germany and Japan.

Synthetic fuels are produced from feedstocks such as green hydrogen generated from renewable electricity and recycled CO₂, or from synthesis gas derived from biomass gasification. When produced in accordance with strict sustainability and regulatory requirements, these fuels can significantly reduce CO₂ emissions over their entire lifecycle while remaining fully compatible with existing infrastructure, engines and distribution systems.

Strategic Importance for Eneos

For Eneos, the partnership with GEF1 is an important building block in its strategy to advance the energy transition and establish new low carbon fuel supply chains for the Japanese market. Synthetic fuels are positioned as a key decarbonization measure under Eneos’ Carbon Neutrality Plan. By importing synthetic fuels from GEF1, Eneos will gain early practical experience in the introduction, distribution, and use of synthetic fuels in Japan, preparing for potential future scaling of volumes as demand and regulation continue to evolve.

The agreement enables Eneos to offer customers in the transport and mobility sector an additional low net CO₂ emission fuel option, underscoring the company’s commitment to contributing to a carbon-neutral society through the energy transition.

Strategic Importance for GEF1

With this agreement, GEF1 secures its first offtake partner in Asia, creating an important reference case for further international supply contracts. The synthetic fuels are produced at Germany’s first large-scale eGasoline production facility.

By combining green hydrogen with recycled CO₂, the project replaces fossil energy sources and contributes to achieving German, European and Japanese climate targets, while simultaneously strengthening Germany’s role as a location for the production and export of sustainable fuels.

Towards a Global Market for Synthetic Fuels

With increasing global pressure to decarbonize the transport sector, synthetic fuels are gaining attention as a practical solution with low net CO₂ emissions, particularly for applications that are difficult to electrify. In Europe, the implementation of the Red III framework further increases the importance of advanced biofuels and renewable fuels of non-biological origin (RFNBOs). GEF1’s production concept is designed to meet these European sustainability and classification requirements.

Through the cooperation, Eneos and GEF1 aim to contribute to the development of a global market for synthetic fuels by linking European production capacities with demand in Japan. The agreement is a concrete example of how cross-border partnerships can accelerate the deployment of new technologies and support the decarbonization of existing vehicle fleets and infrastructure.

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