The sustainable energy company will use the investment to roll out its synthetic diesel, marine and jet fuel technology.
XFuel, an Irish company developing tech to make fuel more sustainable, has secured a multimillion-euro investment in an oversubscribed financing round.
The energy company received an €8.2m investment from Germany’s AENU led by Ferry Heilemann, New York-based Union Square Ventures, and HAX/SOSV, alongside other backers.
The investment will be used to develop the company’s first commercial-scale project for low-cost, low-carbon fuel using patented technology.
XFuel uses feedstock from sustainable waste sources in manufacturing, construction, forestry and agriculture, and converts it into synthetic fuels that comply with marine and road fossil fuel specifications.
This means its fuels can be used in existing infrastructure and engines, either blended with conventional fuels or as a replacement.
The investment will drive the commercialisation of XFuel’s technology and help deploy a pipeline of global projects across road, marine and aviation industries.
According to the company, feedstock for four projects has already been secured through a deal with a leading waste wood consolidator operating in the UK and Ireland.
‘Unlocking new possibilities’
XFuel’s CEO, Nicholas Ball, said there is “a clear global consensus to decarbonise” but the move away from liquid fuels isn’t happening quick enough.
“For us to reach carbon neutrality and make an impact today, we need liquid fuel replacements that are net-zero, sustainable, drop-in and cost-effective,” he said.
“Our mission is to decarbonise the transportation industry and meet this urgent need, and this is why we are thrilled to have received such a vote of confidence from our investors. Our low-carbon drop-in fuels and low-cost, modular biorefining technologies will play a major role in global decarbonisation across the automotive and haulage sectors as well as in hard-to-decarbonise industries like shipping and aviation.”
Ferry Heilemann, founder and partner at Berlin-based VC firm AENU, said XFuel’s biofuels meets the need for “a scalable response” to the climate crisis.
“With almost abundant biomass feedstock around the globe and a low cost of production, XFuel is unlocking new possibilities for all kinds of industries to decarbonise.”
Disclosure: SOSV is an investor in Silicon Republic
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Source by www.siliconrepublic.com
