Evolve Houston, founded in 2018 through Houston’s Climate Action Plan and relaunched last year, has launched a new tool for EV incentivization. Photo via Evolve

Equity and environmental impact characteristics often used to describe a company’s outlook on increased sustainability and fighting climate change.

Evolve Houston, which was founded in 2018 through Houston’s Climate Action Plan and relaunched last year, is one of the organizations leading the way, and now with their Grant Tracker program, they are giving back to those who are giving back to the planet.

“Raising awareness is a critical part of accelerating a new technology, this includes awareness of incentives that individuals and fleets in the Greater Houston region may be eligible for,” Casey Brown, executive director and president, tells EnergyCapital. “Beyond understanding incentives, most Houstonians have not experienced an EV for themselves. With the support of our Founding Members (Shell, NRG Energy, CenterPoint Energy, University of Houston, and the City of Houston), we offer educational and experiential ways for Houstonians to interact with EVs and learn more about the benefits.”

The Grant Tracker aims to make it easier to find funding opportunities, and assist with current grants available to organizations and individuals that are committed to a goal of zero emissions. The tracker serves as a tool to assist with purchasing an EV and charging equipment. Ultimately, Evolve wants to assist and fund those looking to make the transition to electric.

Anup Parikh and his company Pangea Charging, through EVOLVE, was granted a project to help bring charging capacity for EVs to help build the infrastructure in areas and apartment complexes that traditionally would not have them.

“People see electric vehicles as high-end and a luxury lifestyle, when in fact it can happen for everybody,” Parikh said in a promotional video.

In addition to the Grant Tracker program, Evolve’s Mobility Microgrant Initiative will partner with local nonprofits,community reviewers, and corporate catalysts to award funding to eMobility projects aimed at serving mobility needs in Houston's underserved neighborhoods. In July, Evolve teamed up with RYDE and District D Council Member Carolyn Evans-Shabazz to bring the free on-demand electric local shuttle service to residents in the Third Ward area, which was one of the many microgrants associated with the project. RYDE’s service in the area has been extended recently into the fall and “until further notice” according to a newsletter from EVOLVE.

“Private investments in this sector follow EV adoption,“ Brown says. “Investing in areas early creates more opportunity for EV technology interaction and benefits.

"We are excited about the success of our Equity Program and the exciting projects it has funded across Houston," he continues. "Today, we accomplish this through our eMobility Microgrant Initiative, a community-led investment program focused on historically disadvantaged communities, and aimed to tackle community needs with electric vehicle technologies. We have had a very successful Round 1 of investments this year and we are excited to announce round two grant winners in January of 2024.”

As Evolve continues to evolve its sphere of influence, the company still aims for its goal to have half of the vehicles in the city be electric by 2030. The company says that EVs should be for all Houstonians, not just for some.

“Houston maintains some of the lowest population density and longest commute distances of major U.S. cities, and we have an immense amount of business and goods that flow through Houston,” Brown said. “We see a landscape that can uniquely achieve larger financial and environmental benefits of EV technologies. One way that we share these benefits is being the Presenting Sponsor of the Houston Auto Show. We also summarize the local EV sector through our R.I.S.E. report and maintain an actionable, forward view in our EV Roadmap; both sources can be found on our website and are undergoing a refresh as we close 2023.”

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Fervo Energy bumps up IPO target to $1.82B

IPO update

Houston-based geothermal power company Fervo Energy is now eyeing an IPO that would raise $1.75 billion to $1.82 billion, up from the previous target of $1.33 billion.

In paperwork filed Monday, May 11 with the U.S. Securities and Exchange Commission, Fervo says it plans to sell 70 million shares of Class A common stock at $25 to $26 per share.

In addition, Fervo expects to grant underwriters 30-day options to buy up to 8.33 million additional shares of Class A common stock. This could raise nearly $200 million.

When it announced the IPO on May 4, Fervo aimed to sell 55.56 million shares at $21 to $24 per share, which would have raised $1.17 billion to $1.33 billion. The initial valuation target was $6.5 billion.

A date for the IPO hasn’t been scheduled. Fervo’s stock will be listed on Nasdaq under the ticker symbol FRVO.

Fervo, founded in 2017, has attracted about $1.5 billion in funding from investors such as Bill Gates-founded Breakthrough Energy Ventures, Google, Mitsubishi Heavy Industries, Devon Energy (which is moving its headquarters to Houston), Tesla co-founder JB Straubel, CalSTRS, Liberty Mutual Investments, AllianceBernstein, JPMorgan, Bank of America and Sumitomo Mitsui Trust Bank.

Fervo’s marquee project is Cape Station in Beaver County, Utah, the world’s largest EGS (enhanced geothermal system) project. The first phase will deliver 100 megawatts of baseload clean power, with the second phase adding another 400 megawatts. The site can accommodate 2 gigawatts of geothermal energy. Fervo holds more than 595,000 leased acres for potential expansion.

Cape Station has secured power purchase agreements for the entire 500-megawatt capacity. Customers include Houston-based Shell Energy North America and Southern California Edison.

Modular nuclear reactor company opens office in Houston

new to hou

The nuclear energy renaissance continues in Texas with an announcement by NuScale Power. The Oregon-based provider of proprietary and innovative advanced small modular reactor (SMR) nuclear technology announced in April it would be opening office space in Houston’s CityCentre.

“Opening this space in Houston underscores our commitment to meeting rising energy demand with safe, scalable nuclear technology,” John Hopkins, NuScale president and CEO, said in a news release. “This move expands our presence in a key market for partners, prospective customers, and stakeholders in addition to positioning us for the future as we focus on the near-term deployment of our industry-leading technology. Texas is leading the way in embracing advanced nuclear for grid resilience and industrial decarbonization, and we’re proud to expand our footprint and capabilities in this important region.”

Interest in nuclear power has been growing in recent years thanks to tensions with oil-rich nations, concerns about man-made climate change from fossil fuels, and the rapidly increasing power needs of data centers. Both Dow and Texas A&M University have announced expanded nuclear power projects in the last year, with an eye of changing the face of Texas’s energy industry through smaller, safer fission reactors.

Enter NuScale, founded in 2007 from technology developed at the University of Oregon. Their modular SMR technology generates 77 megawatts and is one of the only small modular reactors (SMR) to receive design approval from the U.S. Nuclear Regulatory Commission (NRC). These advances have led to runaway success for NuScale, whose stock has risen by more than 1,670 percent since the start of 2024.

The new operations campus in CityCentre is expected to facilitate the movement, installation and coordination of NuScale technology into the various energy systems. Typically, SMRs are used for off-grid installations, desalination operations, mining facilities and similar areas that lack infrastructure. However, the modularity means that they can be easily deployed to a variety of areas.

It comes none too soon. ERCOT projects that Texas data centers alone will require 77,965 megawatts by 2030.

Houston battery recycling company secures $32M in financing

fresh funding

Houston-based Ace Green Recycling has raised $32 million in private investment in public equity (PIPE) financing to support its future plans for growth.

The battery recycling technology company secured the financing with Athena Technology Acquisition Corp. II, a publicly traded special purpose acquisition company that Ace previously announced it plans to merge with. Once the merger is completed, Ace will become a publicly traded company on the Nasdaq Stock Exchange under the ticker symbol "AGXI."

Ace says the financing will be used to complete the merger and scale the company.

“This investment accelerates our mission to redefine battery recycling at a global scale,” Ace CEO Nischay Chadha said in a news release. “At Ace, we are deploying Greenlead® and LithiumFirst™ as a new standard–fully electrified, Scope 1 emissions-free solutions designed to replace legacy processes and unlock a cleaner supply chain for critical materials. We believe that the future of electrification depends on how efficiently and sustainably we recover these resources, and this milestone brings us meaningfully closer to that future.”

Ace says the funding will also be primarily used to fund capital expenditures related to the development of its planned flagship recycling facility, located outside of Beaumont, Texas. According to a February investor presentation, the facility is expected to launch in 2027. It will recycle lead-acid and lithium-ion batteries.

Ace agreed to a 15-year battery material supply agreement with Miami-based OM Commodities last year, in which OM Commodities would supply Ace with at least 30,000 metric tons of lead scrap to be recycled annually. Switzerland-based Glencore plc agreed to a 15-year offtake agreement to purchase up to 100 percent of ACE’s products from four of its planned lead-acid and lithium-ion battery recycling parks back in 2022.

Ace also reported that the funding will be put toward "supporting the expansion of operations and to fund the purchase of other companies," in the release.