Climeworks more than doubles DAC capture performance at Iceland plant, cuts operating costs by 50%
gasworld.comClimeworks has announced a major upgrade at its direct air capture (DAC) facility in Iceland. The company says it has more than doubled its daily CO2 capture rate over the past 18 months, reaching its targeted peak performance on two upgraded collector containers. Operating costs also dropped by more than 50%, which is a key step toward making DAC commercially viable. Direct air capture is considered a critical tool for removing legacy emissions from the atmosphere, but it has been criticized for high costs and energy demands. Climeworks' progress at its Iceland plant, which pairs DAC with geothermal energy and permanent storage, shows that operational improvements can significantly reduce the cost per tonne of captured CO2. The company is also expanding into larger facilities like Mammoth, and this performance gain could help lower costs across its portfolio. For the carbon removal market, these improvements matter because they directly affect the price of carbon dioxide removal credits. If Climeworks can sustain these cost reductions, it could make high-quality CDR more accessible to buyers. Still, questions remain about the energy intensity of the process and whether similar gains can be achieved at other sites with different renewable resources.
