United announced an investment in a low-carbon fuels company that will produce sustainable aviation fuel (SAF).
The airline made an investment in Twelve, an innovative low-carbon fuels company that uses a process similar to photosynthesis to transform CO2 and water into SAF using renewable energy.
This investment by the United Airlines Ventures Sustainable Flight Fund follows Twelve’s $83 million Series C funding round and project financing for its first SAF production facility, AirPlant™ One, located in Moses Lake, Washington. The facility is expected to begin production this year and plans to produce 50,000 gallons of SAF annually.
In 2024, Twelve secured a SAF purchase agreement with a large European-based airline company. Under the 14-year contract, Twelve will supply 260 million gallons of SAF to support its five airlines. This long-term agreement, combined with the development of Twelve’s first plant, underscores the demand for the company’s innovative technology and SAF.
The fuel Twelve plans to produce once its plant becomes operational is expected to be a lower-carbon alternative with the potential to reduce lifecycle emissions by up to 90% compared to conventional jet fuel.
“Scaling the SAF industry is the major hurdle air travel needs to clear in order to increase the supply and reduce the price of lower carbon fuels,” said Andrew Chang, head of United Airlines Ventures in a statement. “Twelve has differentiated themselves through the capital they have raised and the SAF contracts they have secured, providing them with the flexibility to commercialize their technology and grow their operations expediently.”
Twelve’s technology uses renewable energy to combine carbon captured from air and hydrogen obtained from water into the basic building blocks that make fuels, plastics and other materials. By using renewable electricity, captured carbon and water, the process reduces the reliance on fossil fuels, lowering lifecycle GHG emissions — including the emissions associated with production of fuels and in manufacturing.