Direct air capture (DAC) pioneer Climeworks announced that it has secured the striking amount of $162 million in its latest funding round.
This major investment sets Climeworks’s total funding to date beyond the $1 billion threshold, cementing the company’s trailblazing role in the industry.
The groundbreaking round was led by BigPoint Holding and Partners Group, with the remaining support coming mainly from the company’s existing investors.
With this funding, Climeworks will continue refining its DAC technology, working on lowering the costs for carbon removals.
On its path so far, the company has successfully validated its carbon removal approach through the Orca plant launched in 2021 in Iceland, which was followed by the launch of the Mammoth plant 3 years later, where DAC innovations are being tested and scaled on a larger level.
As part of this journey, Climeworks has succeeded in unlocking some key advancements for its systems, coming up with ways for doubling the energy efficiency through its Gen 3 DAC tech offering, upping the throughput, and prolonging the lifespan of the DAC filter material.
These tweaks, in turn, pave the way for the delivery of the world’s first profitable DAC plant—a vision underscored as the landmark ambition of Climeworks.
At the same time, Climeworks offers its clients tailored carbon removal portfolios suitable for short- and long-term commitments. As shared by the company, its team has already secured over 6 million tons of carbon credits supply and is prepared to meet the needs of sustainability-conscious corporate buyers.
Despite this strong market momentum and purpose-driven future roadmap, Climeworks has also experienced some curveballs in 2025.
Just two months ago, the company made headlines by announcing that it’s looking into team cuts amid a dynamic and shaky carbon removal industry.
Relevant: Climeworks Planning Team Cuts Amid Growing Sector Uncertainties
Project Cypress, the company’s planned large-scale DAC+S facility slated for construction in Louisiana, was rumored to be on a list for federal funding cuts put together by the new U.S. administration.
This rumor was later put to rest, as the U.S. White House released a clarification that DAC projects that have already been approved will not be affected by funding cancellations.
Read more: DOE Considering Funding Cuts For The Two Largest DAC Projects In The US
