Carbon Engineering

What Carbon Engineering does

Carbon Engineering is a Direct Air Capture (DAC) technology developer founded in 2009 and headquartered in Squamish, British Columbia, Canada. The company builds proprietary liquid-based DAC systems that capture CO2 from ambient air using modular air contactors, a closed-loop liquid sorbent chemistry, and patented regeneration unit operations including pellet reactors and slakers; the captured CO2 can be concentrated for sequestration or combined with clean hydrogen to produce synthetic low-carbon transportation fuels under the AIR TO FUELS (A2F) brand. Following its 2023 acquisition by Occidental Petroleum for USD 1.1 billion, Carbon Engineering operates as a wholly-owned subsidiary of Oxy Low Carbon Ventures, with its technology deployed commercially by sister subsidiary 1PointFive — most notably through the STRATOS facility in Ector County, Texas, designed for 500,000 tonnes of CO2 removal annually and rated AAApre by BeZero Carbon in September 2025.

Revenue mechanics flow through three streams: licensing of DAC technology to 1PointFive for commercial deployment, sale of verified CDR credits (registered through Verra) by 1PointFive to enterprise buyers including Bain & Company, NYK Line, Microsoft, Amazon, Shopify, and Airbus, and a longer-dated AIR TO FUELS pathway for sustainable aviation fuel and other synthetic transportation fuels. The R&D engine is anchored at the 2021-built Innovation Centre in Squamish, with a new Technology Development Campus in development, and is supported by a granted U.S. patent portfolio spanning Air Contactors, Pellet Reactors, Slakers, AIR TO FUELS, and Regeneration Systems.

Customer concentration risk is moderated by diversification across consulting, shipping, technology, retail, and aerospace buyers but remains exposed to the broader engineered carbon removal market where Microsoft has historically accounted for 80–90% of global purchases and paused new buying in 2026. The combined footprint — ~185 employees, ~185 innovators across engineering and operations, and integration with Occidental's existing geological CO2 storage infrastructure — positions Carbon Engineering less as an independent growth equity bet and more as the technology nucleus of Occidental's emerging low-carbon ventures platform.

Name

Carbon Engineering

Legal name

Carbon Engineering Ltd.

Website

http://carbonengineering.com

Company type

Private

Founded year

2009

Operating status

Operating

Headcount range

101–250 employees

Short description

Carbon Engineering is a Squamish-based Direct Air Capture technology developer, founded 2009 and acquired by Occidental Petroleum in 2023, that licenses its liquid-based DAC platform to subsidiary 1PointFive for commercial deployment and CDR credit sales to enterprise net-zero buyers.

Ownership category

akta.pro rank

Product category

Direct Air Capture Technology

NAICS

Industrial Gas Manufacturing (32512), Industrial Gas Manufacturing (325120), Petrochemical Manufacturing (32511)

SIC

Industrial Inorganic Chemicals (2810), Chemicals & Allied Products (2800)

akta.pro primary industry

Direct Air Capture (DAC) Systems & Plants (EUABAFAA)

akta.pro secondary industry

Methane Abatement Projects (Landfill Gas, Manure, Coal Mine Methane, O&G Methane) (EUABABAL)

Keywords

• Direct air capture
• Carbon dioxide removal
• Carbon capture technology
• Sustainable aviation fuel
• Synthetic fuel production

Headquarters

HQ city

Squamish

HQ country

Canada

HQ region

North America

Offices3 records

Markets served

GTM type

B2B

Offering type

Services

Cost components

Technology or R&D, Infrastructure, Personnel, Operations, Supply Chain, Marketing or Sales

Revenue model

1. Carbon Dioxide Removal (CDR) Credits: 1PointFive sells CDR credits to corporations to help them achieve net-zero goals. Credits are produced from commercial DAC facilities like STRATOS and verified by third parties like Verra.
2. Technology Licensing: Carbon Engineering licenses its DAC technology to 1PointFive and potentially other partners for commercial deployment at scale.
3. Sustainable Aviation Fuel / Low-Carbon Fuels: Atmospheric CO2 captured using DAC technology can be combined with clean hydrogen to produce synthetic transportation fuels including sustainable aviation fuel.

Go-to-market motion2 records

Distribution channels1 record

Marketing channels4 records

Core offering

Carbon Engineering develops and owns proprietary liquid-based Direct Air Capture (DAC) technology that pulls carbon dioxide directly from ambient air using an industrial-scale Air Contactor, liquid sorbent, and closed-loop regeneration chemistry. Captured CO2 is concentrated and purified into a near-pure CO2 stream for either geological sequestration or conversion into synthetic low-carbon transportation fuels (gasoline, diesel, jet fuel) through its AIR TO FUELS pathway. Commercial-scale deployment and CDR credit sales are executed through its subsidiary 1PointFive, anchored by the STRATOS facility in Texas designed to capture up to 500,000 tonnes of CO2 annually.

Product overview

Carbon Engineering is a Direct Air Capture technology company offering a portfolio of climate solutions centered on its proprietary liquid-based DAC technology. The core product is the DAC system itself, which captures CO2 directly from ambient air using modular contactor units and closed-loop chemistry. The technology is complemented by the AIR TO FUELS pathway for converting captured CO2 into synthetic low-carbon fuels. Commercial deployment is handled through subsidiary 1PointFive, which operates the STRATOS facility (the world's largest DAC plant) and sells CDR credits to corporate buyers. Carbon Engineering retains R&D operations at its Innovation Centre in Squamish, B.C., focused on continuous technology improvement and cost reduction.

Differentiator

Problem solved

Functional benefit

Brands

• AIR TO FUELS™: Carbon Engineering's brand for low-carbon fuels produced from atmospheric CO2 captured using their DAC technology, including synthetic transportation fuels like Sustainable Aviation Fuel.

Products and services

• Direct Air Capture (DAC) Technology Carbon Engineering's proprietary liquid-based Direct Air Capture (DAC) technology that captures CO2 directly from ambient air using a closed-loop chemical process. The system uses modular air contactor units where air meets a liquid sorbent on a PVC structure to capture atmospheric CO2, which is then concentrated and purified through pellet reactor and regeneration systems into a near-pure CO2 stream suitable for sequestration or fuel synthesis. The technology is licensed to subsidiary 1PointFive for commercial deployment at industrial scale.
• AIR TO FUELS (A2F) A technology pathway that converts atmospheric CO2 captured by Carbon Engineering's DAC system into synthetic low-carbon transportation fuels, including gasoline, diesel, and jet fuel (sustainable aviation fuel), when combined with clean hydrogen. Carbon Engineering first produced low-carbon fuels in 2017 using this process. The offering is positioned to supply sustainable aviation fuel producers and hard-to-abate transport sectors.
• STRATOS DAC Facility (Commercial Deployment) The first commercial-scale Direct Air Capture facility deployed by subsidiary 1PointFive using Carbon Engineering's proprietary technology, located in Ector County, Texas. Designed to capture up to 500,000 tonnes of CO2 per year, STRATOS represents the industrial-scale deployment of CE's liquid-based DAC system and produces the CDR credits sold by 1PointFive to enterprise customers.
• Carbon Dioxide Removal (CDR) Credits Verified, durable carbon removal credits produced from Carbon Engineering's DAC facilities and sold by subsidiary 1PointFive. Credits are certified through independent verification registries such as Verra and rated by carbon ratings agencies like BeZero Carbon (STRATOS rated AAApre). Sold via multi-year offtake agreements to enterprise buyers including corporations with net-zero commitments, airlines, and shipping companies (e.g., Bain & Company, NYK Line).

Quantifiable outcome

• STRATOS designed to capture 500,000 tonnes of CO2 annually
• +2 more outcomes

Named customers6 records

Segments3 records

Ideal customer profiles3 records

Technology focussed Yes

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature7 records

Partnerships

Two partnerships are on record, tiered core.

• 1PointFivecoreOEM/ Whitelabel/ Licensing Partner1PointFive is a wholly owned subsidiary of Occidental deploying Carbon Engineering's DAC technology at commercial scale. STRATOS is the first commercial facility using CE's technology, designed to capture 500,000 tonnes of CO2 annually.
• VerracoreOthers1PointFive is working with Verra as the registry selected to deliver the resulting CDR credits from STRATOS facility.

Scale indicators7 records

Recent moves6 records

Expansion highlights5 records

Direct peers

• Climeworks: Swiss-based Direct Air Capture company developing solid-sorbent DAC plants (Orca, Mammoth) and selling CDR credits to corporate buyers. The most direct head-to-head competitor to Carbon Engineering in commercial-scale DAC, though using a different (solid sorbent) capture chemistry.
• Heirloom Carbon Technologies: US-based DAC company using limestone-based looping capture technology. Competes directly with CE for durable CDR credit offtake from corporate buyers like Microsoft and for DOE-funded commercial-scale plant deployment.
• Global Thermostat: Earlier-stage DAC company with solid sorbent technology pursuing commercial deployment of DAC facilities. Operates in the same engineered CDR credit market as Carbon Engineering.

Emerging players

• CarbonCapture Inc. US-based DAC company developing modular DAC systems targeting commercial-scale deployment. Competes in the same engineered carbon removal space with a different technical approach.
• Avnos: Hybrid Direct Air Capture and water generation company. An emerging player in the engineered CDR space with partial overlap to CE's DAC platform and customer base.
• Charm Industrial: Biomass-based carbon removal company converting waste biomass into bio-oil for underground sequestration. Competes for the same corporate durable CDR credit demand pool (e.g., Microsoft, Stripe) using an alternative technology pathway.
• CarbonOrO: Point-source post-combustion CO2 capture technology developer focused on industrial emitters. Adjacent competitor in the broader CCUS value chain that overlaps with CE's capture expertise and ultimate CO2 offtake markets.
• BURN Manufacturing: Kenya-based clean cookstove and biochar producer; biochar pathway competes with CE for durable CDR credit demand and is one of the lower-cost engineered/nature-based alternatives in the carbon removal portfolio buyers evaluate.

Others

• 1PointFive: Wholly-owned Occidental subsidiary that deploys Carbon Engineering's DAC technology at commercial scale (STRATOS) and sells CDR credits. Not an arms-length peer — included as a closely-related deployment and revenue channel for CE.

Broad incumbents

• Occidental Petroleum: Parent company of Carbon Engineering and 1PointFive, with extensive carbon management, CO2-EOR, and geological storage operations. A broad incumbent that owns and integrates CE into its low-carbon ventures strategy.

Market position

Strengths4 records

Weaknesses5 records

Competitive moat6 records

Key risks6 records

Key highlights7 records

Customer concentration

• LinkedInlinkedin.com/company/carbon-engineering-limited
• Xx.com/CarbonEngineer
• Facebookfacebook.com/carbonengineeringltd

Compliance1 record

Revenue estimate

Valuation estimate

Number of profiles

Profiles10 records

Subsidiaries1 record

Funding overview

Funding rounds11 records

Investors14 records

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Carbon Engineering