International Airlines Group (IAG) has joined the £20.75 million (US$28 million) Series B funding round for OXCCU, a UK SAF innovator.
The round attracted new and existing investors, including Safran Corporate Ventures, Orlen and Aramco Ventures, among other backers.
IAG invested through IAGi Ventures, its corporate venturing arm, which committed up to €200 million (US$234 million) over five years earlier this year. This represents the largest such investment pledge by a European airline group to date.
OXCCU, spun out of Oxford University, has created a patented process converting waste carbon gases and hydrogen into jet fuel hydrocarbons. The process removes a conventional step, reducing capital and operating costs while allowing use of varied carbon dioxide, carbon monoxide and hydrogen inputs.
The Series B funding will help OXCCU execute its scale-up strategy and accelerate commercialisation of its technology. The raise follows the opening of its first demonstration plant at London Oxford Airport last year. It will also support a larger facility, expected to be operational in 2026, advancing the UK’s SAF mandate and IAG’s decarbonisation goals.
Ignacio Tovar, IAG’s Director of Innovation, said the group focuses on backing companies with meaningful climate impact. He highlighted OXCCU’s technology as vital for scaling sustainable aviation. According to him, IAG helps partners grow faster by acting as early adopters, sharing expertise, and encouraging collaboration across its airline ecosystem.
IAG was the first airline group to pledge net zero by 2050. It also targets 10% SAF usage by 2030. In 2024, 1.9% of its fuel came from SAF, saving 469,000 tonnes of CO2, nearly double the previous year.
