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Travel Radar - Aviation News > News > Aviation > Airline Economics > OXCCU Raises £20.75 million to develop Sustainable Aviation Fuel from Waste Carbon
Airline EconomicsAviationManufacturingTechnology

OXCCU Raises £20.75 million to develop Sustainable Aviation Fuel from Waste Carbon

Oliver Devine
Last updated: 8 October 2025 12:54
By Oliver Devine
4 Min Read
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OX1 Plant © OXCCU
OX1 Plant © OXCCU
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Oxford University spin-out OXCCU has raised £20.75 million ($28 million) in funding in a Series B round, to develop Sustainable Aviation Fuel from waste carbon. OXCCU announced the funding on September 29th. The spin-out company is positioned as a leading climate tech innovator in the UK, tackling aviation emissions, with its latest funding round being oversubscribed.

Summary
Funding and InvestmentTechnology and InnovationBenefits of growth
OXCCU plant at Oxford airport
OXCCU demonstration plant at London Oxford Airport © OXCCU

Funding and Investment

The most recent round of funding includes new investors such as Orlen VC, Safron Corporate Ventures, and International Airlines Group (IAG). Existing investors include Clean Energy Ventures and the University of Oxford.

Investor demand exceeded available shares in the latest funding round, indicating strong investor confidence. The funding amount will accelerate commercialisation efforts and advance the next phase of technology scale-up. OX2, the next demonstration plant, will be fully operational by 2026.

Pathway to scale - climate tech © OXCCU
Pathway to scale – climate tech © OXCCU

Technology and Innovation

OXCCU employs a one-step process to produce sustainable aviation fuel. It involves an iron-based catalyst enabling the synthesis of jet-fuel-range hydrocarbons from waste carbon in a single exothermic reaction. The process eliminates the need for steps such as water gas shift or e-methanol, reducing operating costs.

The SAF mandate in the UK and the RefuelEU Aviation initiative in the EU set clear targets for airlines to increase the use of sustainable fuels in their operations. However, this may be a challenge as conventional fuel is still significantly cheaper.

OXCCU has mentioned that although their process has reduced costs, high production costs remain a barrier. By developing the one-step process, however, OXCCU is attempting to provide a cost-saving alternative to the current SAF production methods.

Andrew Symes © OXCCU
Andrew Symes © OXCCU

Benefits of growth

The investment will inevitably help the UK meet its SAF mandate by producing more sustainable fuel. It is also one of many UK-based SAF plants, making the country a leading player in the market. Creating new SAF plants will create green jobs and increase aviation fuel exports.

Andrew Symes, CEO of OXCCU:

“In a market where capital is tight and investors are rightly selective, this raise is a testament to the strength of our science, the clarity of our mission, and the urgency of the problem we’re solving.”

Johnathon Counsell, Group Sustainability Director at IAG, said:

“IAG has been a leader in the sector, being the first airline group globally to commit to net zero by 2050. We are further committed to our goal of meeting 10% of our fuel needs with SAF by 2030.” – IAG expect to meet their target of 10% through their investment in OXCCU.

What is your opinion on sustainable fuels? Let us know in the comments below!

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SOURCES:Images from Press ReleasePress ReleaseOXCCU Official websiteSAF MandateEU SAF
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Oliver Devine
ByOliver Devine
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Journalism Intern at Travel Radar, concerned with exploring and developing engaging stories in a contextual manner.
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