OIST Innovation and Lifetime Ventures co-host Startup Elevate on September 29-30, 2025, at the Okinawa Institute of Science and Technology (OIST). This article features some of the startups that participated in this deep tech startup showcase event.
Sustainable Aviation Fuel (SAF) has emerged as the most promising solution to the aviation industry’s most challenging decarbonization crisis. Achieving the carbon-neutral targets set by the International Civil Aviation Organization (ICAO) requires establishing innovative alternative fuels to replace conventional jet fuel. Current SAF production costs three times more than conventional fuel, creating a major barrier where establishing technology that balances stable supply with economic viability has become urgent.
Against this backdrop, Atierra, a startup emerging from the Okinawa Institute of Science and Technology (OIST), is developing microalgae technology that could revolutionize the SAF industry. Founded in February 2024, the company is developing technology to extract high-quality oils from genetically engineered microalgae, fundamentally improving conventional SAF manufacturing processes. Atierra’s approach aims to dramatically reduce SAF production costs through enhanced oil purity and reduced hydrogen demand.
In August 2025, Atierra won the Japan finals and placed 2nd in the APAC regionals of Climate Launchpad, the world’s largest environmental startup competition, securing a spot in the global finals in Vienna, Austria in October. This achievement demonstrates that the company’s technology has received high evaluation from international expert communities. Currently participating in JETRO’s Global Startup Acceleration Program (GSAP), the company is preparing to expand into the US market, positioning itself as a potential game-changer in the SAF industry.
SAF Supply Crisis
The aviation industry accounts for approximately 2.5% of global CO₂ emissions, and according to the International Energy Agency (IEA), these emissions could triple by 2050. However, aircraft electrification remains technically extremely difficult, leaving chemical fuels as the only realistic option for long-distance flights. In this context, SAF is positioned as the “last hope” for achieving aviation industry decarbonization.
The International Civil Aviation Organization (ICAO) has set an ambitious target to reduce CO₂ emissions to 85% or less compared to 2019 levels from 2024 onwards. This is expected to create explosive demand for SAF, but current supply systems are completely inadequate to meet this demand. In Japan, 16 companies including airlines and plant construction companies crossed industry boundaries in March 2022 to establish ACT FOR SKY, a new organization aimed at domestically producing SAF that currently relies on imports.
The fundamental challenges facing the SAF industry are absolute supply shortages and high manufacturing costs. Hydroprocessed Esters and Fatty Acids (HEFA), currently the most established SAF manufacturing technology, processes waste cooking oil and other oils through hydrogenation to produce SAF, but this method results in production costs three times higher than conventional jet fuel. Particularly severe issues include the high-cost structure where raw material costs account for about 60% of total manufacturing costs, and supply shortages and price surges of waste cooking oil due to increased global demand.
The global SAF market continues rapid growth, with governments worldwide implementing active policy support. The European Union has created legislation to increase SAF’s proportion of airport fuel supplies to 6% by 2030 and 85% by 2050. Japan has also set a target for SAF to comprise 10% of domestic aviation fuel consumption by 2030, with Idemitsu Kosan planning to begin supply in fiscal 2028 using ATJ (Alcohol to Jet) technology at its Chiba facility (100,000 kL/year) and HEFA technology at its Tokuyama facility (250,000 kL/year).
However, current technologies face fundamental limitations in responding to rapidly expanding demand. Conventional biomass feedstocks are susceptible to geographical constraints and seasonal variations, creating stable supply challenges. Additionally, the use of edible feedstocks tends to be restricted from food security perspectives, making the development of non-edible feedstocks urgent.
Under these circumstances, expectations are rising for SAF manufacturing technology utilizing microalgae.
| Aspect | Conventional Biomass Feedstocks | Atierra’s Microalgae Technology |
| Land Use | Requires agricultural land cultivation, risks food production competition and deforestation | Industrial environment cultivation, completely avoids land use competition |
| Production Stability | Heavily influenced by seasonal and climate variations | Stable year-round production in controlled environments |
| Feedstock Composition | Dependent on natural composition, difficult to control | Design and produce optimized fatty acid compositions through genetic engineering |
| CO₂ Utilization | Indirect utilization through plant photosynthesis | Direct utilization of atmospheric and industrial exhaust CO₂ as feedstock |
Advantages of Microalgae Technology
From Academic Research to Entrepreneurship
Photo credit: OIST
Atierra’s technological foundation stems from co-founder and CEO Shivani Sathish’s doctoral research at OIST. Her doctoral thesis focused on developing surface-based microfluidic systems through an interdisciplinary approach integrating microfluidics, materials science, and chemical engineering. Specifically, she explored applications in disease diagnostics through developing point-of-care testing systems aimed at enhancing biomarker detection.
However, Sathish’s true passion had always been environmental issues and climate change countermeasures. Parallel to her doctoral studies, she co-founded a small group focused on environmental and social impact—though not officially registered as a nonprofit—continuing her commitment to climate change initiatives.
After completing my PhD, I deeply explored my core values and research expertise. My passion has always been focused on environmental issues and climate change. So I explored how I could apply my research experience and expertise to develop technologies that can combat climate change. (Sathish)
Through this introspective process, with the continued mentorship from Koshu Kunii, General Partner of Lifetime Ventures, Sathish discovered the emerging field of carbon removal.
After graduating from my PhD, this was a new field for me. I was introduced to the field by Koshu Kunii, General Partner of Lifetime Ventures. By learning about all the research initiatives in this field and understanding the impact it could have, I was really motivated to use all my learning to focus on technology development in climate-related fields rather than healthcare. (Sathish)
In Atierra’s early days, the company actually explored multiple different business areas. Initially, they considered diverse approaches including microalgae-based skincare oil ingredients, cosmetics applications, and coral protection and restoration projects. Through rapidly validating these various business models, they established an approach that emphasized customer dialogue and determined technology development directions based on market needs, ultimately leading to their current specialization in the SAF field.
Atierra’s founding process adopted a unique approach different from typical deep-tech startups. While conventional academic-origin startups typically follow a “technology push” model where existing research results and technologies are brought to market, Sathish intentionally chose a “market pull” approach.
Kunii guided me toward adopting a market pull approach rather than the typical technology push model that most academic startups follow. (Sathish)
She first established the company, then began developing technology optimized for the company’s vision—a reverse approach. This was a strategic decision to maximize commercial success potential by closely linking market needs with technology development. Although an OIST graduate, the company is positioned as an independent entity developing proprietary technology within the OIST Innovation Incubator rather than commercializing existing OIST research.
In transitioning from researcher to entrepreneur, Sathish faced the greatest challenge in “scientist mindset transformation.”
As scientists, we’re always trained to focus on data and research quality before we can talk to companies. We’re very particular about the state of technology and precision. So we start working extensively on perfecting technology. But what I learned after starting the company is that it goes hand in hand.
Rather than perfecting technology before exploring the market side, we need to develop technology based on market needs. If we focus only on technology and then have to change it again to fit the market, we lose a lot of time (Sathish)
Microalgae SAF Technology Innovation
The core of Atierra’s technological innovation lies in metabolic engineering of microalgae utilizing synthetic biology. The company’s approach transforms the conventional thinking of “manufacturing SAF from available feedstocks” to an innovative method of “biologically designing and producing feedstocks optimized for SAF manufacturing.”
What we’re working on is analyzing the entire metabolic pathway from CO₂ uptake into microalgae cells to the final oil product. Through this analysis, we identify metabolic pathways that generate the specific fatty acids we need and genetically engineer the enzymes involved in those pathways. This is a very complex process. (Sathish)
Specifically, the company is developing microalgae strains with significantly reduced unsaturated fatty acid content. This dramatically reduces hydrogen demand during SAF manufacturing, achieving production cost reductions. They also improve downstream refining process efficiency by increasing the proportion of fatty acids with specific molecular weights and structures.
For example, we’re all familiar with omega-3 fatty acids, right? They’re very good for health, but actually not good for SAF. The more omega-3 in the oil, the more hydrogen is needed for processing. So what we’re trying to do is reduce that content. (Sathish)
Importantly, the company’s metabolic engineering approach aims to optimize entire metabolic pathways rather than single enzyme modifications. To maximize conversion efficiency from CO₂ to target fatty acids, they simultaneously improve multiple enzymes and optimize metabolic flux. This systematic approach will enable high-yield, high-purity oil production.
Atierra’s technological advantages extend beyond genetic engineering to microalgae cultivation process optimization. The company is developing proprietary bioreactor technology, achieving high performance in microalgae growth rates, and is currently quantifying oil production volumes, and quality consistency. The company is building cultivation systems that can continuously produce stable-quality oils by precisely controlling cultivation conditions including pH, temperature, light irradiation, and nutrient concentrations.
Atierra’s business model is characterized by a strategy emphasizing technology licensing. Rather than building large-scale manufacturing facilities themselves, the company plans business expansion by licensing their developed microalgae strains and cultivation process technologies to partner companies.
Our preference is a licensing model. What we want to develop is engineering the highest-performing microalgae strains and the process to cultivate them. We want to license out this combination of core technologies to partners who have the capacity, funding, and capital to carry out this process. (Sathish)
Global SAF Market Strategy
Photo credit: Neste
Atierra’s market expansion strategy emphasizes building strategic partnerships based on understanding the entire SAF industry value chain. The company initially began with dialogue with end-users like airlines, but through deepening understanding of industry structure, identified refiners as the most important partners.
We actually started with initial dialogue with an airline company. In the case of airlines, we found they focus on purchasing the final product, SAF. So we identified that our real customers and partners would actually be the refiners, because airlines receive the final product. (Sathish)
Currently, the company is advancing dialogue with technical experts at Honeywell UOP (US) and has begun discussions with Total Energies (France). These dialogues involve detailed verification of the specific improvement effects Atierra’s microalgae-derived oils have on SAF manufacturing processes and the conditions necessary for commercial-scale technical implementation.
The Japanese market occupies a special position in Atierra’s global expansion strategy. As an OIST-origin startup, the company has strong connections with Japan and has gained valuable market insights through initial dialogue with Japanese aviation industry stakeholders.
The core of Atierra’s international expansion strategy is establishing strategic positions in the Nordic market, where SAF manufacturing is most advanced globally. The company has clearly stated plans to begin with Nordic SAF refining companies, including Finland’s Neste, the world’s largest SAF manufacturer, then gradually expand to the European Union (EU) and worldwide.
The Nordic region leads the SAF industry globally in government policy, technology development, and market formation. Finland’s Neste, in particular, has annual SAF manufacturing capacity of approximately 3 million tons using HEFA technology, accounting for about 30% of global SAF supply. Having Atierra’s technological advantages recognized in such advanced markets is critically important for establishing credibility in global markets.
In the SAF market, oil majors and major chemical manufacturers are rapidly entering using existing infrastructure and capital strength. In competition with such existing players, Atierra aims to establish unique positioning through technological differentiation.
The company’s competitive advantage lies in “optimization at the feedstock level.” While existing players develop SAF manufacturing technology based on available feedstocks (waste cooking oil, animal fats, etc.), Atierra can biologically design and produce feedstocks optimized for SAF manufacturing. This fundamental difference in approach creates differentiation in both manufacturing costs and product quality.
Commercialization and Social Impact
Photo credit: PDIE Group / Climate Launchpad
A crucial turning point in Atierra’s international business expansion was selection for JETRO’s Global Startup Acceleration Program (GSAP). The company was chosen among 10 companies selected nationwide, receiving world-class support while preparing for market expansion into the US.
GSAP’s distinguishing feature is comprehensive business development support by international top-tier organizations rather than simple funding provision. The sustainability course Atierra participates in is operated by world-class cleantech specialist organizations like Third Derivative, providing consistent support from technology evaluation and market analysis to strategy formulation and investor networking.
In this program, I have conversations with a dedicated mentor from Third Derivative every two weeks, discussing challenges. And they help us find mentors, industry experts, and make intros to potential partners. They have been instrumental in our journey to date. (Sathish)
The October pitch event in San Jose, California represents an extremely important opportunity for the company. It provides a venue to directly appeal their technology’s value to US cleantech investors and corporate partners in Silicon Valley’s heart, expected to serve as a foothold for the US market expansion.
Atierra won the Japan finals on August 29, 2025, and placed second in the APAC regionals on September 5th, 2025, of Climate Launchpad, the world’s largest environmental startup competition. This achievement demonstrates that the company’s technological advantages and business potential received high evaluation from international expert communities.
Climate Launchpad is the world’s largest climate change countermeasures competition with startups from 40 countries participating, held under observation by the Dutch Ambassador to Japan and others. Among 10 companies reaching final selection after five months of bootcamp and coaching, Atierra’s business ideas and impact received the highest evaluation.
Photo credit: PDIE Group / Climate Launchpad
Victory secured the company’s qualification for the global finals in Vienna, Austria in October. This event brings together winning companies from countries worldwide to compete for the pinnacle of global climate change countermeasures startups. European exposure provides important opportunities for building strategic relationships with the aforementioned Nordic SAF refining companies.
Currently, Atierra is actively advancing dialogue with strategic investors, targeting $250,000 US in pre-seed round funding to complete the laboratory-scale validation of their technology. The company has already achieved fundraising including initial investment from Lifetime Ventures, establishing the foundation necessary for technology development and customer discovery.
The company’s fundraising strategy is characterized by emphasizing strategic investors who can provide business strategic added value rather than simple financial investors. Particularly for the US market expansion, establishing capital relationships with local cleantech investors and SAF industry stakeholders holds important meaning for both technology validation and market development.
Parallel to fundraising, the company is strengthening its technology development structure. While currently under Sathish’s sole management, they plan to recruit a CTO (Chief Technology Officer) after completing the pre-seed round.
Additionally, OIST faculty – Prof. Saacnicteh Toledo-Patino and Prof. Mahesh Bandi – participate as chief scientific advisors, building a technical support structure with expertise in protein engineering/computational biology and non-linear physical/biochemical process optimization.
Strict regulatory compliance and certification acquisition in each country are unavoidable for SAF business commercialization. Atierra is currently analyzing detailed regulatory requirements in major markets including Japan, US, and Europe, formulating phased certification acquisition plans.
| Aspect | Conventional Technology | Atierra’s Technology |
| Water Resource Use | Requires large amounts of irrigation water | Water circulation utilization; can also utilize seawater and industrial wastewater |
| CO₂ Reduction Effect | Carbon neutral (approximately 50% reduction) | Achieves over 80% CO₂ reduction |
| Land Use | Agricultural land use creates food competition | Industrial facility production without land competition |
| Production Stability | Heavily influenced by seasonal and climate variations | Stable year-round supply |
Environmental Advantage Comparison
Atierra’s technology has potential to create high environmental and social value in addition to economic value. The company’s microalgae technology shows environmental impact advantages over conventional SAF manufacturing technology across multiple aspects.
From a social impact perspective, the company’s technology could contribute to regional economic revitalization. Microalgae cultivation facilities can be established in relatively small-scale, regionally distributed configurations, leading to new industry creation in rural areas and remote islands. Additionally, reducing dependence on oil imports contributes to improved energy security.
An even more important social value is improving clean energy access in developing countries through technology transfer. The company’s technology can be implemented with relatively simple equipment, enabling independent biofuel production in various countries with appropriate technical support.
Currently, the company is also exploring integration possibilities with carbon credit markets. Conventional SAF manufacturing utilizes CO₂ accumulated in plant biomass, remaining within “carbon neutral” categories. Conversely, Atierra’s technology has potential for “carbon negative” fuel manufacturing by directly capturing and utilizing atmospheric or industrial exhaust CO₂ .
Normally, acquiring carbon credits requires removing CO₂ from the atmosphere and storing it permanently. However, our technology converts CO₂ into fuel for reuse, making direct application to conventional carbon credit systems difficult. Therefore, establishing new evaluation frameworks suited to our technology has become a challenge. (Sathish)
Next-Gen Energy Technology Outlook
Image credit: ICAO LTAG Report, with modifications by METI and Growstock Pulse
The company’s technology development benefits from OIST’s international research environment and Okinawa Prefecture’s strategic startup support policies. OIST’s startup support program “OIST Innovation Incubator” has evolved further with support from JST (Japan Science and Technology Agency)’s COI-NEXT program (a collaborative research hub formation project aimed at creating innovation through industry-academia-government collaboration). This environment enables the company to achieve technology development utilizing world-class research infrastructure and international networks.
In Japan’s biotechnology field, while most companies focus on medical and healthcare areas, Atierra works on developing synthetic biology technology specialized for climate change countermeasures. According to Global Information research, the microalgae market was valued at $10.75 billion in 2023 and is predicted to reach $19.21 billion by 2030. In this rapidly growing market, Atierra adopts a differentiated approach of “application-specific bioengineering.”
Particularly noteworthy are the advantages Okinawa’s geographical characteristics provide for microalgae research. Stable year-round light irradiation conditions from subtropical climate and abundant marine biological resources provide ideal environments for microalgae research and development. The company utilizes these natural conditions to conduct long-term outdoor cultivation experiments and explore new microalgae species that would be difficult in other regions.
In global SAF technology development competition, while Atierra is a latecomer company, it aims to establish competitive advantages through unique technological differentiation. In the US, pioneering companies like Gevo and Fulcrum BioEnergy are advancing large-scale commercial plant construction, but these companies mainly emphasize utilizing existing biomass feedstocks.
The company’s strategic advantage lies in a fundamentally different approach of “optimization from feedstock design.” While competing companies advance technology development within constraints of existing feedstocks, Atierra can biologically create ideal feedstocks, achieving performance improvements difficult with conventional technologies.
We aim to validate the entire process – from engineering the microalgae strains, to low-cost cultivation and oil extraction – to prepare for our first pilot with partners by mid 2027. (Sathish)
Sathish explains specific business plans. Achieving these targets will establish footholds in major global SAF markets and build foundations for the next growth phase.
In society from the 2030s onward, Atierra’s technology has potential to contribute to sustainability transformation of entire social systems beyond single industry improvements. The synthetic biology platform the company develops could become foundational technology for realizing a broader “bio-based economy” starting from SAF.
A particularly important development possibility is evolution toward “Carbon-to-Products” technology. While currently specialized in SAF feedstocks, the same technology platform could be utilized to produce diverse products including chemical industry feedstocks, plastic alternative materials, and food additives. This could contribute to decarbonizing the entire petrochemical industry.
Long-term, Atierra’s technology could become an important component toward realizing a “renewable carbon circulation society.” Establishing technology systems that utilize atmospheric CO₂ as resources and convert it into various useful substances could enable building sustainable social systems independent of fossil resources.
Atierra’s challenge to unleash the enormous potential hidden in microalgae—such small organisms—symbolizes humanity’s technological innovation toward a sustainable future. The day may come when this small startup that began in Okinawa’s blue seas will change the color of skies worldwide.
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