(Alliance News) - BP PLC on Thursday said it is investing USD10 million into WasteFuel, a company that converts trash and agricultural waste into low-carbon fuels such as sustainable aviation fuel and renewable natural gas.

"The investment allows WasteFuel to advance its plans to develop its first waste-to-bio-methanol plant in the UAE," BP said.

The London-based oil company said it entered a memorandum of understanding with Los-Angeles based WasteFuel for bp to offtake produced bio-methanol.

WasteFuel is planning to develop a network of plants to convert municipal and agricultural waste into bio-methanol.

Gareth Burns, vice president of BP ventures, said: "WasteFuel projects will look to help with the growing volumes of global waste, whilst advancing the development of lower carbon solutions for hard-to-abate sectors. Achieving decarbonization in shipping will require a step-change, and biofuels have a key role to play in helping the industry to decarbonize. We look forward to working together on WasteFuel's next stage of growth and market development."

London-based energy-focused investor i(x) Net Zero PLC, which invests in WasteFuel, noted the release.

BP shares were 1.0% lower at 455.45 pence each on Thursday morning in London, while i(x) Net Zero shares doubled in value to 28.00p.

By Tom Budszus, Alliance News reporter

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