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New York startup Aircela turns air into gasoline to decarbonize gas cars

Aircela's journey began in 2019 when Dahlgren and his wife Mia served as the company's chief operating officers, and they began developing the technology in their Manhattan apartments. Three years later, the startup expanded into commercial office space, raising a total of $5.54 million to accelerate its growth so far. Aircela has been backed by investors including Chris Larsen, founder of the crypto payment service chain; Jeff Ubbem, a radical board member of Exxonmobil; Maersk Growth, a Danish venture capital fund; and others.

How it works

The air-to-Whimoore conversion process of Aircela is divided into three subsystems. First, the fan pulls air into the machine, in which it passes through a plastic and nylon mesh that will extract carbon dioxide, resulting in a liquid carbon solution. Next, the electrolytic device regenerates the absorbent while separating carbon dioxide to produce hydrogen. Finally, the compressor processes the gas into methanol and then refines it into gasoline.

Dahlgren explains that about one gallon of gasoline is currently produced every 24 hours, and 10 kilograms of carbon dioxide are removed from the atmosphere produced per gallon.

Aircela is working to produce its machines on a large scale. Designed for modular parts, the machine can be scaled without the need for large centralized facilities. The company is working with dedicated manufacturing partners for component production while handling final assembly and system integration internally.

“This technology is completely built, so the stage is about demonstrating performance at a commercial scale, optimizing production and building customer confidence as we grow,” Dahlgren said.

Honeycomb machines on roof
The interior of the Aircela machine. Andrew Levine/Aircela

Aircela's Early Adoption Plan

Over the next two years, Aircela plans to produce 50 to 100 machines for early deployments, said Jonny Lowndes, head of commercialization at the company. Aircela has held talks with potential customers, including several automakers. In the second half of 2024, the startup showed Jaguar Land Rover its technology as part of the automaker’s challenge to sustainability innovation. Although the company declined to name it, it was also in early discussions with U.S. manufacturers and German automakers.

In addition to the automotive industry, Aircela targets niche markets such as racing cars, long-distance trucking and transportation. Lowndes noted that these industries “still rely on liquid fuels” and are looking for “solutions to reduce fossil dependence without overhauling their engineers, vehicles or infrastructure.”

Aircela believes its carbon-neutral fuels may actually be more environmentally friendly than electric charging, especially in areas where EV infrastructure still depends on the grid powered by fossil fuels. Executives say creating gasoline from the air requires less energy than providing electricity to electric vehicle charging networks. “Essentially, Aircela is solving different parts of the emissions problem: how to completely eliminate fossil carbon from liquid fuels,” Dahlgren explained.

The company acknowledges future challenges, especially doubts about the feasibility of turning air into gasoline, an idea that many customers and regulators have encountered for the first time. In response to Aircela's product launch, some Reddit users expressed concern that scaling the technology might not work and that predicted operating costs could outweigh the economic returns of gasoline generated.

However, profitability doesn't care about the startup yet. Lowndes stressed that Aircela focuses on transparency by showing work machines, conducting real-world field tests and ensuring its fuel meets sports-grade standards. The company also plans to send gasoline to third-party laboratories for independent verification to enhance its credibility.

Going forward, Aircela’s aim is to demonstrate that carbon-neutral fuels can help sectors that do not decarbonize overnight. Rather than pushing for a full fleet replacement, the startup bets on a complementary approach that allows consumers and industries to reduce their carbon footprint without giving up on existing vehicles.

In the long run, Dahlgren expects the company to produce millions of units to have a meaningful impact on transport emissions. “We want to prove that the fuel itself is part of the climate solution,” he said.



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