Chevron New Energies will invest in carbon capture and removal technology company Svante as the lead investor of its Series E fundraising round, according to a press release on Dec. 15.
The $318 million raised from the round will be used to create a commercial-scale manufacturing facility for Svante's carbon capture technology, filter modules used to capture millions of tonnes per annum of CO2 across hundreds of carbon capture and storage facilities.
"We are advancing a full value chain carbon capture, utilization, and storage [CCUS] business and believe Svante is poised to be a leader in enabling carbon capture solutions,” Chevron New Energies vice president of CCUS Chris Powers said in the release.
"Innovation is key to enabling these types of breakthrough technologies and lower carbon solutions, and we look forward to applying our experience and expertise to help drive this effort forward," he continued.
Existing shareholders Temasek, OGCI Climate Investments, Delek US and Hesta AG, as well as new investors 3M Ventures, Full Circle Capital, GE Vernova, Japan Energy Fund, Liberty Media, M&G Catalyst, Samsung Engineering, TechEnergy Ventures and United Airline Ventures, also participated in the fundraising round.
J.P. Morgan Securities and RBC Capital Markets served as lead and co-lead placement agents respectively for Svante, while Full Circle Capital served as financial advisor to Svante.
Chevron Technology Ventures originally invested in Svante in 2014 and launched a project to pilot the company's technology to capture natural gas post-combustion CO2 in 2020.
"We are proud that Chevron and a group of existing and new strategic and financial investors have demonstrated their confidence in Svante to be a key player in building a commercially viable carbon management industry," Svante president and CEO Claude Letourneau said.
Svante's filter concentrates CO2 captured from industrial flue gas into high-purity, pipeline-grade CO2 to be stored or used for industrial purposes. The filters are also available for direct air capture, as well as CO2 removal.
The technology specifically targets industrial decarbonization of the hydrogen, pulp and paper, lime, cement, steel, aluminum and chemicals sectors, the release stated.
"We are working to remove the biggest barriers to rapid deployment of industrial carbon capture by building this manufacturing facility, which we expect will enable us to rapidly expand our order book," Letourneau continued.
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