Carbon Neutral Fuels Secures £6 Million to Fast-Track eSAF Facility

Carbon Neutral Fuels has been awarded £6 million from the UK Department for Transport’s Advanced Fuels Fund (AFF) Window 3 to accelerate the development of its ASAP-DAC project, a commercial-scale facility that will produce sustainable aviation fuel (SAF) using carbon dioxide and low-carbon electricity.

Announced as part of the Department’s third AFF grant window, this funding marks a major milestone in Carbon Neutral Fuels’ 2025 "year of acceleration" and reinforces the company’s mission to deliver genuine climate solutions through advanced fuel synthesis. The grant will support the completion of Front-End Engineering Design (FEED) for the facility, positioning it for investment and construction in 2027, with a target operation date of 2031.

Located on a former industrial site in Workington, Cumbria, ASAP-DAC integrates Solid Oxide Electrolysis (SOEC), Direct Air Capture (DAC), and Fischer-Tropsch synthesis to produce 25,000 tonnes per year of eSAF. Once operational, the facility could deliver an 89% reduction in lifecycle emissions compared to fossil jet fuel, making a significant contribution to the UK’s climate targets.

Carbon Neutral Fuels received the largest award for an e-fuels project in this funding round, and is the only project awarded in Cumbria. This represents a major step forward not only for the UK’s SAF ambitions but also for Cumbria’s industrial regeneration. ASAP-DAC strengthens the North West’s role as a national hub for clean growth, supporting the long-term development of sustainable industries across the region.

The £6 million award is also four times greater than the company’s previous grant award under AFF Window 2 - reflecting growing government confidence in Carbon Neutral Fuels’ technical maturity and strategic vision.

The project is backed by key partners including engineering specialists io consulting, Direct Air Capture pioneers Mission Zero Technologies, and is supported locally by Cumberland Council and Josh MacAlister OBE, MP for Whitehaven and Workington.

ASAP-DAC is one of 17 projects sharing £63 million in this latest AFF round, which aims to accelerate the development of the UK’s SAF sector and support delivery of the government’s Jet Zero Strategy. Carbon Neutral Fuels’ award was made from a dedicated sub-fund prioritising CO2-based fuel pathways, reflecting the UK’s intent to broaden and diversify its SAF technology base.