Climeworks has raised US$ 162 million in a new equity funding round aimed at accelerating the scale up of its Direct Air Capture (DAC) technology and broadening the scope of its carbon removal platform. This latest capital infusion is among the largest carbon removal investment round globally so far in 2025 and brings the company’s total equity funding to over US$ 1 billion.
The investment round was led by BigPoint Holding and Partners Group, with participation from several existing investors. The continued backing from these investors reflects a deep level of confidence in Climeworks’ technological development, commercial momentum and its integrated approach to carbon removal. The company’s financing success demonstrates growing recognition of the role that engineered carbon removal solutions are expected to play in achieving global climate objectives.
Focused Investment in Technology Development
Climeworks intends to use the US$ 162 million raised to further enhance its Direct Air Capture technology, aiming to reduce the cost of carbon removal processes and scale up infrastructure. The company has already recorded several technological milestones through its operational plants. Orca, the company’s first commercial scale DAC facility, served to validate the feasibility of its core approach. Building on that foundation, Climeworks has launched Mammoth, its second plant, which is being used to test and implement improvements at a larger scale.
The development of Mammoth is enabling the company to conduct extensive, real world testing of next generation removal technologies. These include enhancements in energy efficiency, with Climeworks reporting that its systems have achieved a doubling of energy efficiency compared to earlier configurations. Throughput, the volume of air processed, has also increased, alongside an extended lifespan for filter materials used in the capture process. These advancements are crucial steps in Climeworks’ objective to establish the world’s first commercially viable, profitable Direct Air Capture plant.
Expansion of Carbon Removal Portfolio
The newly raised capital will also support Climeworks’ efforts to expand its carbon removal portfolio. The company offers a range of carbon removal solutions designed to meet evolving market needs. These offerings allow corporate customers to begin investing in carbon removal, distribute risk across different solution types, and gradually shift toward higher-quality removal options over time.
Climeworks’ approach involves a mix of nature based, hybrid, and engineered solutions tailored to the removal timelines and climate targets of its customers. As demand for carbon removal increases, this flexible portfolio positions Climeworks to address both immediate and long term requirements. Currently, the company’s global supply agreements amount to more than 6 million tons of secured carbon removal, making it a key player in the engineered removals space.
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Market Trajectory and Strategic Positioning
Industry forecasts suggest that the carbon removal market has the potential to reach USD 80 billion by 2030 and may grow to US$ 1 trillion by 2050. Climeworks’ ongoing scale up efforts and its focus on cost efficiency are aligned with these projections, as the company seeks to build a robust and competitive presence in an expanding sector.
Climeworks is pursuing a hybrid business model that enables it to drive long term market growth while generating near term revenue. By scaling up technology and offering diverse removal options, the company is laying the groundwork for broader adoption of permanent carbon removal solutions.
With over US$ 1 billion raised in equity to date and its latest US$ 162 million round marking a high point in 2025’s climate technology investments, Climeworks is now in a position to accelerate its operations further. The company continues to emphasize that carbon removal is not a theoretical construct but an active, growing sector with immediate relevance to global decarbonization pathways.