IAG Backs OXCCU to Scale Sustainable Aviation Fuel

IAG has invested in OXCCU to speed up commercial production of sustainable aviation fuel (SAF).

On October 2, 2025, International Airlines Group (IAG) — the parent of British Airways (IATA: BA), Iberia (IATA: IB) and Aer Lingus (IATA: EI) — announced it took part in a £20.75 million (about $28 million) Series B funding round in UK-based OXCCU. The goal: help bring a novel process that converts carbon dioxide and hydrogen into drop-in jet fuel to market.

OXCCU’s approach aims to produce a direct replacement for conventional jet kerosene using captured CO2 and electrolytic hydrogen. That drop-in capability is important because it lets airlines use existing aircraft and infrastructure while cutting lifecycle CO2 emissions — a practical bridge while new aircraft technologies mature.

Sustainable Aviation Fuel: why this matters

IAG has repeatedly flagged SAF as a core pathway to meet emissions targets and regulatory requirements across Europe and North America. By investing in startups like OXCCU, the group is betting that scalable, lower-carbon jet fuel will be essential to decarbonize long-haul operations where battery or hydrogen propulsion remains years away.

Why it’s notable: the Series B funds will support OXCCU’s commercial scaling of sustainable aviation fuel.
Amount: £20.75 million (~$28 million) raised in the round announced October 2, 2025.
Scope: technology converts CO2 + hydrogen into drop-in jet fuel, enabling immediate use in current aircraft fleets.

Industry interest in SAF startups has grown as airlines face stricter rules and voluntary targets. IAG’s participation signals continued demand from major carriers for fuels that can be certified and blended into existing supply chains. For passengers, that could mean greener long-haul flights without changes to aircraft or schedules.