Twelve’s historic sustainable aviation fuel deal with IAG is deep-tech gold

When DCVC led Twelve​’s Series Seed back in 2018, we were captivated by what cofounder and CEO Nicholas Flanders and his team could do: turn waste CO₂ into useful industrial products — like ingredients for Procter & Gamble’s laundry detergent or foam dashboards for Mercedes-Benz — that have until now been derived from petroleum. In fact, Twelve’s ​“carbon trans­for­ma­tion” offers a high number of appli­ca­tions that are as commer­cially attractive as they are environmentally positive. 

One such use is sustainable aviation fuel (SAF), which is increas­ingly in demand as major airlines strive to reduce their carbon footprint. In response, Twelve uses renewable energy to combine water and CO₂ into what it calls E‑Jet®, a SAF that can reduce lifecycle greenhouse gas emissions by up to 95% compared to conven­tional jet fuel. In mid-2023, Twelve broke ground on a commercial-scale facility in Moses Lake, Washington, that will produce a million gallons per year of E‑Jet® fuel.

We’re beyond thrilled to see Twelve and IAG announce their major E‑Jet® offtake agreement. IAG is one of the world’s largest publicly traded airline groups, and Twelve will supply its five European airlines, including British Airways, Iberia and Aer Lingus, with 785,000 metric tons of E‑Jet® fuel over 14 years, with first deliveries starting as early as 2025.

For IAG, which has a target to use 10% SAF by 2030 — equivalent to taking 1 million cars off the road for a year — the deal with Twelve is a major step in their journey to achieving net zero emissions.

For Twelve, an offtake agreement of this scale is obviously a significant vote of confidence in their technology. But it also signals a monumental shift in the way we perceive and use CO₂. By converting a destructive byproduct of industrial activities into something as valuable as aviation fuel, Twelve is leading a paradigm shift in redefining the possi­bil­i­ties of carbon transformation. 

Lastly, the agreement between Twelve and IAG showcases the practical realization of our vision at DCVC: to support deep-tech pioneers that can solve trillion-dollar problems and redefine entire industries. We’re proud to back Nicholas and his team and look forward to continuing to support them as they lead the way in carbon transformation.

Zachary Bogue is Co-Founder and Managing Partner of DCVC.