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 today 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.
Alasdair Lumsden, Co-Founder of Carbon Neutral Fuels, said:
“This award is a clear signal that the UK intends to lead on advanced synthetic fuels. ASAP-DAC sets a new benchmark for efficiency, impact, and scalability, and this funding brings us one step closer to making it real.”
Sophie Zienkiewicz, Co-Founder of Carbon Neutral Fuels, added:
“Our vision for Carbon Neutral Fuels is to prove that decarbonising flight is both possible and essential. This Government funding will help us deliver a facility that significantly reduces the aviation industry’s overall carbon footprint, but reshapes what’s possible for future fuels.”
Richard Dyson, io consulting’s CEO said:
“The AFF Window 3 award is testament to the long-term collaboration between io and CNF. From our earliest engagement, we’ve been focused on helping CNF turn an ambitious vision into an executable, bankable project — blending technical rigour, commercial clarity, and a shared belief in the energy transition. This award validates the strategy we built together, and we’re proud to stand alongside CNF as we progress through FEED and move another step closer to delivering the scale of impact that the industry needs. We look forward to continuing to support CNF as these opportunities progress from concept to reality.”
Capture pioneers Mission Zero Technologies, and is supported locally by Cumberland Council and Josh MacAlister OBE, MP for Whitehaven and Workington.
Josh MacAlister, MP for Whitehaven and Workington, said:
“This is fantastic news for Workington and West Cumbria. The £6 million government grant awarded to Carbon Neutral Fuels is a clear vote of confidence in our ability to host new industry, clustered around the Port of Workington. The new facility will create new jobs and investment in industries of the future. I am proud to see Workington at the forefront of climate solutions with national impact. I will continue to champion this project until its future is guaranteed.”
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.
For More Details Or To Schedule Interviews, Contact:
Troy Fielder
External Relations Manager, Carbon Neutral Fuels
press@cnf.energy
About Carbon Neutral Fuels
Carbon Neutral Fuels is pioneering a novel ‘Power-to-Liquid’ e-fuel production pathway that can be rapidly scaled to meet SAF demand globally. Founded in 2022 by Alasdair Lumsden and Sophie Zienkiewicz, we are driven by the belief that climate change can be solved through technology whilst maintaining prosperity and a high standard of living for all. For the latest updates and to follow our journey, visit us at https://carbonneutralfuels.com
