OXCCU, an Oxford University spin-out developing a one-step process to convert waste carbon into SAF, has raised €23.7 million in an oversubscribed Series B funding round to accelerate its commercialisation efforts, expand its operations, and advance its next phase of technology scale-up.
The round includes new investors Orlen VC, Safran Corporate Ventures, International Airlines Group (IAG), Hostplus, and TCVC, alongside continued support from existing backers Clean Energy Ventures, IP Group/Kiko Ventures, Aramco Ventures, Eni Next, Braavos Capital, and the University of Oxford.
“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,” said Andrew Symes, CEO of OXCCU. “What we’re seeing is that serious players with truly distinctive technologies are still getting funded.”
OXCCU’s Series B is one of the larger deals in the European clean fuels/carbon conversion space to date in 2025, relative to the mid-single digit millions more typical of earlier-stage players. While many of the comparators remain at pre-Seed or Seed scale (e.g. the €2.3 million for Spark e-Fuels, or the €3.2 million for Crosstown), OXCCU is advancing into commercialisation and demonstration scale.
Its raise reflects investor appetite for more mature, de-risked technologies in the carbon-to-liquids/SAF domain, particularly where there is a credible pathway to cost reduction and industrial deployment.
Notably, Catalyxx in Spain is operating in a somewhat related niche (converting bioethanol into renewable chemicals/SAF intermediates), so there is a similar echo of interest in Southern Europe. But none of the comparators identified in 2025 reach quite the same scale or share exactly the same one-step carbon to hydrocarbon approach.
Jonathon Counsell, Group Sustainability Director at International Airlines Group (IAG), said: “We recognise the need for the world to achieve net zero emissions by 2050 and for the aviation sector to play its part and to develop sustainably. 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. Meeting these goals will be supported by this investment into OXCCU which is part of our strategy of developing new partnerships to produce next-generation fuels.”
Founded in 2021, OXCCU is developing novel catalysts and reactor designs to convert waste carbon into liquid hydrocarbons with high conversion and selectivity for use as fuels and chemicals.
The new capital builds on the launch of the company’s OX1 demonstration plant at London Oxford Airport in 2024. Their second demonstration plant, OX2, is underway and will be fully operational in 2026.
The announcement comes at a time of growing regulatory momentum and market demand for sustainable fuels. However, despite mandates such as the UK SAF mandate and ReFuelEU, the company says high production costs remain a major barrier to widespread adoption.
Ireneusz Fąfara, President of the Management Board of ORLEN, added: “We invest in the technologies of tomorrow to effectively transform our business. This year, we introduced SAF – sustainable aviation fuel produced from renewable and waste raw materials – into our offering. In line with our strategy, by 2035 we aim to become one of the leading producers of SAF in Europe.
“Supporting the achievement of this goal is a new investment by ORLEN VC in the technology of OXCCU, a company enabling the conversion of green hydrogen and carbon dioxide into synthetic aviation fuel. Its commercialisation will strengthen our market competitiveness and support our pursuit of carbon neutrality.”
The funding reflects increasing recognition that driving down SAF production costs is critical to unlocking aviation decarbonisation at scale.
OXCCU’s process simplifies SAF production pathways by eliminating the need for reverse water gas shift or e-methanol steps. Instead, its patented iron-based catalyst enables the direct synthesis of jet-fuel-range hydrocarbons from gaseous waste carbon in a single exothermic reaction.
This reportedly reduces capital and operating costs, and reduces the carbon intensity of the fuel.
The catalyst’s ability to operate with a wide range of carbon dioxide, carbon monoxide and hydrogen input gas compositions gives it the flexibility to efficiently convert different feedstocks such as reformed biogas, gasified wood waste, and pure carbon dioxide with hydrogen.
“This is a critical time for ClimateTech, as the urgency continues to increase,” added Symes. “Aviation needs a solution, and the serious lever is SAF. The challenge is SAF cost and that is exactly what we are addressing at OXCCU.”
EU-Startups previously covered OXCCU’s €20.6 million funding round in 2023.
Read the orginal article: https://www.eu-startups.com/2025/09/oxford-university-spin-out-oxccu-raises-e23-7-million-to-scale-waste-carbon-to-fuel-process/
