A system and method for reducing the CO2 in a gaseous stream between 33% up to and even in excess of 90%, by reducing CO2. A gaseous stream that includes substantial amounts of CO2 is provided to a reaction chamber along with H2O (steam) and a carbon source such as charcoal, coke or other carbonaceous material. Carbon is provided to the chamber at a ratio (C/CO2) of between about 0.100 to 0.850, and between about 0.200 to 0.900 of H2O to the provided CO2. The CO2, H2O and carbon are heated to between about 1500° F. and about 3000° F. at about one atmosphere to produce syngas (i.e. carbon monoxide (CO) and hydrogen (H2)) and reduces the amount of CO2. The Syngas may then be cleaned and provided to a Fischer-Tropsch synthesis reactor or a Bio-catalytic synthesis reactor to produce a fuel, such as Methanol, Ethanol, Diesel and Jet Fuel.