Skytree, a Netherlands-based direct air capture company, has received a €1m development loan from Invest International, a Dutch state-backed investment firm. The money will support the Skypark DAC project in Iceland through engineering, permitting and site preparation work. Skytree plans to install the technology by 2028 and run it on Iceland's geothermal power. Skytree says the Skypark model combines a site and energy partner, capital providers and local CO2 buyers under long-term contracts. The aim is to give industrial customers a local source of CO2 instead of relying on imports with volatile prices. Target sectors include renewable fuels, chemicals, food and beverage, and water treatment. DAC still faces big cost and scaling hurdles. The IEA puts current costs between $500 and $1,900 per tonne of CO2. Climeworks' Mammoth plant in Iceland has also missed its original 36,000 tonnes per year capture target. Skytree's project is small at this stage, but the loan signals continued public money for early-stage DAC development.
