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Houston-based sustainable chemicals co. to build ​Midwest biomanufacturing facility

it's corn

Houston-based Solugen will build a 500,000-square-foot biomanufacturing facility in the Midwest thanks to a new strategic partnership.

Solugen has scored a partnership with a global company to build a biomanufacturing facility adjacent to an existing corn complex in Marshall, Minnesota.

Solugen, a Houston company that's designed a process that converts plant-derived substances into essential materials, has announced its newest strategic partnership with sustainable solutions company ADM (NYSE:ADM). The partnership includes plans for Solugen to build a 500,000-square-foot biomanufacturing facility next to an existing ADM facility in the Midwest. The two companies will collaborate on producing biomaterials to replace fossil fuel-based products.

“The strategic partnership with ADM will allow Solugen to bring our chemienzymatic process to a commercial scale and meet existing customer demand for our high-performance, cost-competitive, sustainable products,” Gaurab Chakrabarti, co-founder and CEO of Solugen, says in a news release. “As one of the few scaled-up and de-risked biomanufacturing assets in the country, Solugen’s Bioforge platform is helping bolster domestic capabilities and supply chains that are critical in ensuring the U.S. reaches its ambitious climate targets.”

The company plans to begin on-site construction early next year, with plans to startup in the first half of 2025. The project should create at least 40 permanent jobs and 100 temporary construction positions.

“Sustainability is one of the enduring global trends powering ADM’s growth and underpinning the strategic evolution of our Carbohydrate Solutions business,” Chris Cuddy, president of ADM’s Carbohydrate Solutions business, says in the release. “ADM is one of the largest dextrose producers in the world, and this strategic partnership will allow us to further diversify our product stream as we continue to support plant-based solutions spanning sustainable packaging, pharma, plant health, construction, fermentation, and home and personal care.”

Founded in 2016 by Chakrabarti and Sean Hunt, Solugen's carbon-negative molecule factory, named the Bioforge, uses its chemienzymatic process in converting plant-sourced substances into essential materials that can be used instead of fossil fuels. The manufacturing process is carbon neutral, and Solugen has raised over $600 million from investors that believe in the technology's potential.

“The initial phase of the project will significantly increase Solugen’s manufacturing capacity, which is critical for commercializing our existing line of molecules and kicks off plans for a multi-phase large-scale U.S. Bioforge buildout,” Hunt, CTO of Solugen, says in the release. “The increase in capacity will also free up our Houston operation for research and development efforts into additional molecules and market applications.”

The project should create at least 40 permanent jobs and 100 temporary construction positions.

"As a community with a strong foundation of agriculture and innovation, we look forward to welcoming Solugen to Marshall. This industry-leading facility will serve as a powerful economic driver for the city, creating new jobs and diversifying our industry,” City of Marshall Mayor Bob Byrnes says in the statement. "We are thankful for ADM’s longstanding commitment and impact to Marshall, which has paved the way for this remarkable partnership and continues to further economic growth to our region."

It's the second major company partnership announcement Solugen has made this month, with a new arrangement with Sasol being secured last week.

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Supreme Court declines to hear from oil and gas companies trying to block climate change lawsuits

The Supreme Court said Monday, January 13, it won’t hear an appeal from oil and gas companies trying to block lawsuits seeking to hold the industry liable for billions of dollars in damage linked to climate change.

The order allows the city of Honolulu's lawsuit against oil and gas companies to proceed. The city's chief resilience officer, Ben Sullivan, said it's a significant decision that will protect "taxpayers and communities from the immense costs and consequences of the climate crisis caused by the defendants’ misconduct.”

The industry has faced a series of cases alleging it deceived the public about how fossil fuels contribute to climate change. Governments in states including California, Colorado and New Jersey are seeking billions of dollars in damages from things like wildfires, rising sea levels and severe storms. The lawsuits come during a wave of legal actions in the U.S. and worldwide seeking to leverage action on climate change through the courts.

The oil and gas companies appealed to the Supreme Court after Hawaii's highest court allowed the lawsuit to proceed. The companies include Sunoco, Shell, Chevron, Exxon Mobil and BP, many of which are headquartered in Texas.

The companies argued emissions are a national issue that should instead be fought over in federal court, where they've successfully had suits tossed out.

“The stakes in this case could not be higher," attorneys wrote in court documents. The lawsuits “present a serious threat to one of the nation’s most vital industries.”

The American Enterprise Institute, a conservative think tank, said declining to hear the Honolulu case now means the companies could face more lawsuits from activists trying to “make themselves the nation's energy regulators.”

“I hope that the Court will hear the issue someday, for the sake of constitutional accountability and the public interest,” said Adam White, a senior fellow at the institute.

The Democratic Biden administration had weighed in at the justices' request and urged them to reject the case, saying it's fair to keep it in state court at this point — though the administration acknowledged that the companies could eventually prevail.

The incoming Republican Trump administration is expected to take a sharply different view of environmental law and energy production.

Honolulu argued it's made a strong case under state laws against deceptive marketing and it should be allowed to play out there. “Deceptive commercial practices fall squarely within the core interests and historic powers of the states,” attorneings wrote.

Environmental regulations, meanwhile, have not always fared well overall before the conservative-majority court. In 2022, the justices limited the Environmental Protection Agency’s authority to regulate carbon dioxide emissions from power plants. In June, the court halted the agency’s air-pollution-fighting “good neighbor” rule.

Justice Samuel Alito recused himself from consideration of the appeal. He did not specify a reason, but he owns stock in companies affected by the lawsuits, according to his most recent financial disclosure.

Houston manufacturer announces North Carolina as the location for its $193.7M facility

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Houston-based manufacturer of high-temperature superconducting wires MetOx International Inc. will build a major production facility in Chatham County, North Carolina, which is expected to create 333 jobs, and invest $193.7 million in the state.

MetOx is a leader in High Temperature Superconducting technology (HTS), which is an advanced power delivery technology that is capable of transmitting extremely high power at low voltage with zero heat generation or energy loss. The technology is assisting in the energy sectors like power transmission, distribution, and grid expansion.

“Establishing our new large-scale manufacturing facility in Chatham County is a pivotal step toward securing a reliable, domestic supply of HTS wire for the development of critical infrastructure in the United States,” Bud Vos, CEO of MetOx, says in a news release. “This facility will not only deliver transformative energy technologies that strengthen our grid and reduce carbon emissions but also create high-paying manufacturing jobs in a community eager to lead in innovation. We are proud to partner with North Carolina to drive forward a resilient energy future built on cutting-edge science and strong local collaboration.”

The new facility is funded in part by an $80 million investment from the United States Department of Energy, which the company announced in October. In September, the company closed $25 million in a series B extension round.

MetOx also announced last month that received an undisclosed investment from Hawaii-based Elemental Impact, which is a leading climate-focused investment platform. As a national implementation partner for the EPA's $27 billion Greenhouse Gas Reduction Fund, Elemental Impact has received $100 million to deploy later-stage commercialized technologies according to the company.

The funding is expected to advance the expansion of MetOx’s Houston production line and the deployment of its HTS wire, which can make transmission cables up to ten times more efficient than traditional copper cables and will be used at the North Carolina facility.

“Building domestic manufacturing capacity for critical grid technologies is essential for America’s energy future," Danya Hakeem, vice president of Portfolio at Elemental Impact, says in a news release. “MetOx’s expansion in Houston demonstrates how we can simultaneously advance grid modernization and create quality manufacturing jobs. Their technology represents exactly the kind of innovation needed to unlock the next wave of clean energy deployment.”

The project in North Carolina will be facilitated with a Job Development Investment Grant formally awarded to a new company being created by MetOx. In the 12-year term of the grant, economists in the Department of Commerce estimated the project will grow North Carolina’s economy by $987.8 million.

US opens new Tesla probe focused on remote driving technology

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U.S. regulators have opened an investigation into 2.6 million Teslas after reports of crashes involving the use of company technology that allows drivers to remotely command their vehicle to return to them, or move to another location, using a phone app.

The National Highway Traffic Safety Administration also said Tuesday that Tesla did not report any of the accidents. Tesla is under order to report crashes on “publicly accessible roads” involving vehicles being operated through its autonomous driving technology.

The new investigation follows another probe launched in October looking into the company's “Full Self-Driving” system after getting reports of crashes in low-visibility conditions, including one that killed a pedestrian. That investigation covers 2.4 million Teslas from the 2016 through 2024 model years.

Tesla did not respond to a request for comment from The Associated Press on Tuesday.

One driver filed a complaint after a crash while using Tesla's “Actually Smart Summon” technology and NHTSA is looking into another three similar incidents based on media reports, the NHTSA said. The agency is looking into 12 total incidents reported by users of the technology.

Each of the vehicles failed to detect posts and other parked vehicles, according to the NHTSA.

Regulators say the vehicles struck objects because the users had "too little reaction time to avoid a crash, either with the available line of sight or releasing the phone app button, which stops the vehicle’s movement.”

Shares of Tesla Inc., based in Austin, Texas, slid more than 4% in late afternoon trading Tuesday.

Musk has complained that U.S. regulations are too onerous and are holding back the development of self-driving cars. Ethics experts are worried that once President-elect Donald Trump takes office, Musk will push him to ease oversight of Tesla, which just suffered its first decline in annual sales in more than a decade.

Musk donated an estimated $250 million to Trump's presidential campaign and is a frequent guest at Trump's Mar-a-Lago, vetting cabinet nominees and meeting with foreign heads of state. Trump has put Musk in charge of an advisory group, the Department of Government Efficiency, that will recommend where to cut government expenses and staff at federal agencies and reduce regulation.

The NHTSA said Tuesday it will look into the top speed that Teslas can reach when users deploy its “summons” technology, as well as restrictions on public roads and line of sights requirements. It also said it expects to check for any “connectivity delays" with the app that could result in increased stopping distance.

Tesla’s Model 3 owner’s manual says that its “summons” feature is designed for use only in parking lots and driveways on private property and is disabled on public roads.

The new probe covers 2016-2025 Model S and X vehicles, 2017-2025 Model 3, 2020-2025 Model Y equipped with Tesla's Full Self-Driving driver assistance system.

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