About construction of bio-jet diesel fuel production demonstration plant
~ Euglena and Chiyoda Corporation have signed a contract for construction work, etc., and the completion date of the demonstration plant has been confirmed.
Steady progress of "domestic biofuel plan" aiming at practical use of biojet diesel fuel by 2020

Euglena Co., Ltd.
Chiyoda Corporation

　Euglena Co., Ltd. (Headquarters: Minato-ku, Tokyo, President: Mitsuru Izumo, hereinafter "Euglena") and Chiyoda Corporation (Headquarters: Yokohama, Kanagawa, Vice President: Keiichi Nakagaki, hereinafter "Chiyoda Corporation" ) Has signed a contract contract for the construction of Japan's first bio-jet diesel fuel production demonstration plant in the Keihin coastal area of Yokohama City today. With the conclusion of this agreement, the construction schedule of the demonstration plant was confirmed with the start of construction in June 2017 and the completion in October 2018, and we have made great strides toward the start of production of biojet diesel fuel scheduled for the first half of 2019.

　Euglena Co., Ltd. plans to commercialize domestic biojet diesel fuel for 2020 on December 1, 2015, with the cooperation of Yokohama City, Chiyoda Corporation, Itochu Enex, Isuzu Motors, and All Japan Air Transport. , "Domestic Biofuel Plan"), and proceeded with basic design for construction of biojet / diesel fuel demonstration plant, notification / application to related parties, maintenance of planned construction site, etc. In the construction contract contract concluded this time, the completion date of the demonstration plant construction is fixed in advance on October 31, 2018, and Chiyoda Corporation says that the demonstration plant will be designed, procured and constructed so as to comply with the completion date. We will carry out a series of tasks. The contract amount is also fixed, and Euglena has already secured all of the total investment including the contract amount through public offering and cash on hand. In addition, on the same day as the conclusion of the contract for this work, etc., we concluded a fixed-term land lease for business use with Asahi Glass Co., Ltd.
　For this reason, with the conclusion of the contract for construction work, etc., the establishment of a manufacturing system for the practical application of domestic bio-jet diesel fuel by 2020 has been completed.

■ Overview of bio-jet diesel fuel production demonstration plant

　(* 1) Regarding the start, completion, and operation time, the time after the construction period change announced on August 12, 2016 is stated.
　(* 2) A fixed-term land lease agreement for business was signed with Asahi Glass Co., Ltd. on February 10, 2017, and June 1, 2017.
　　　　　Start renting more.
　(* 3) The completion date of the demonstration plant in the construction contract contract concluded this time.
　(* 4) In addition to the contract amount in the construction contract contract concluded this time, basic design costs related to the demonstration plant, land
　　　　　Amount including various expenses for maintenance (some have already been paid).

■ Latest completed image (as of February 10, 2017)

　① Office building ② Reaction equipment building ③ Service equipment ④ Storage tank ⑤ Shipping place

■ Steps to conclude a contract for construction work and future schedule
　See Attachment 1.

■ Other progress
　The "Domestic Biofuel Plan" is making steady progress in initiatives other than manufacturing. The current progress is as follows.
　・ Regarding biofuel raw materials, on September 1, 2016, we announced a project to build one of the largest fuel microalgae culture pools in Japan in Taki Town, Mie Prefecture.
In addition, we are conducting discussions and surveys on raw material procurement with Itochu Enex.
　-Regarding the operation of the demonstration plant, the person in charge of plant management necessary for the operation has Euglena Co., Ltd., and the hiring of operation personnel for other demonstration plants is proceeding smoothly.
　・ Regarding the improvement of the environment for the practical use of bio-jet fuel, we will demonstrate it through participation in the "Guideline Review Committee for the Introduction of Bio-Jet Fuel for the 2020 Olympic and Paralympic Tokyo Games" and discussions with related parties. While studying a series of logistics such as quality evaluation, mixing, storage, transportation, and refueling at the airport of bio-jet fuel produced at the plant, we will conduct research and information exchange with All Japan Air Transport to realize paid flights. Doing.
　-Regarding the improvement of the environment for the practical use of biodiesel fuel, we have begun studying with Isuzu Motors for the realization of driving on public roads using next-generation biodiesel fuel.
-Regarding the US ASTM standard, which biojet fuel must comply with when supplying to airlines, toward the ASTM standardization of "biofuel isoconversion process technology", which is the biofuel manufacturing technology adopted in the demonstration plant. Chevron Lummus Global & Applied Research Associates of the United States, which is the licensee of this technology, is proceeding with ASTM standardization of this process.

　Euglena will continue to promote the "Domestic Biofuel Plan" toward the practical application of biojet diesel fuel by 2020 with the cooperation of various partners and related parties. After the completion of the "Domestic Biofuel Plan", we will start studying and preparing for the construction of a commercial plant. We will endeavor to promote research and development and business in order to contribute to the spread of bio-jet diesel fuel in Japan and the reduction of greenhouse gas emissions in Japan.

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-Contact for inquiries from the press-
Euglena Co., Ltd. Public Relations and IR Division