XFuel, a low-carbon drop-in fuel technology company, has been awarded a €4.1 million grant from Catalonia’s Nuclear Transition Fund, managed by Catalan regional agency Acció.
The funding will support the development of a new fuel production facility in Catalonia, contributing directly to the economic regeneration of communities facing the future closure of the Ascó and Vandellós nuclear power plants.
XFuel’s investment in the Catalan region will include the construction of a modular fuel production plant capable of processing 16,000 tonnes of marine waste oils into 14,000 tonnes of low-carbon marine gas oil.
By using waste-based feedstocks, the project significantly reduces the carbon footprint of the fuel produced, helping to lower emissions in the maritime industry. The facility is expected to create 35 jobs and has been strategically located near the ports of Tarragona, Barcelona, Sagunto and Valencia, minimising emissions associated with feedstock supply and fuel distribution.
The grant – the second largest awarded under the programme, receiving the highest score among grant applicants – was secured in competition with significantly larger, established companies, marking strong recognition of XFuel’s technology and commercial credibility. The Nuclear Transition Fund is one of the region’s most selective and competitive funding mechanisms, designed to attract novel investment and create sustainable employment in industrially transitioning areas.
At the core of XFuel’s project is its proprietary Chemical Liquid Refining (CLR – “CLEAR”) technology, an innovative, single-step process that converts waste hydrocarbon liquids into ultra-clean, drop-in transport fuels suited for the shipping sector and other hard-to-abate industries. Circular fuels produced using XFuel’s modular CLR plants deliver a significantly reduced carbon footprint while requiring no modification to existing engines or infrastructure. This circular approach provides a scalable, cost-efficient pathway to decarbonisation for operators seeking compliance with tightening environmental regulations.
Nicholas Ball, CEO and Co-founder XFuel, said: “This grant is a powerful endorsement of both our technology and our commitment to this region. Competing against much larger players and securing the second-largest award validates what we have been building. The Catalonia facility will be a flagship demonstration of what drop-in, waste-derived low-carbon fuels can deliver solutions that are commercially viable, infrastructure-compatible, and urgently needed by the maritime sector.”
