KGAL has announced that its new Article 9 impact fund, KGAL ESPF 6, has invested in Arcadia eFuels’ hydrogen-based production facility in Vordingborg, Denmark. The investment follows the fund’s first close.
KGAL ESPF 6 focuses on new hydrogen infrastructure projects in the EU-27 and the United Kingdom. The firm’s investment in Arcadia eFuels seeks to increase adoption of decarbonized fuel for the aviation industry.
Arcadia eFuels uses green hydrogen to produce e-kerosene, which can be used as a sustainable aviation fuel (SAF). According to E.U. targets, the blend will have to include at least 2 percent of SAF as early as 2025, rising to 6 percent in 2030 and 70 percent in 2050. However, currently, the global production of SAF accounts for only 0.15 percent of kerosene consumption.
Starting in mid-2026, the plant is expected to produce approximately 68,000 tonnes of climate-neutral synthetic aviation fuel (eSAF) each year using self-produced green hydrogen.