Houston companies win big at Elon Musk-backed carbon removal competition

xprize winners

Houston-based Mati Carbon won the global XPRIZE Carbon Removal competition, funded by The Musk Foundation. Photo via LinkedIn.

Houston-based Mati Carbon has won the $50 million grand prize in the XPRIZE Carbon Removal competition, backed by Elon Musk’s charitable organization, The Musk Foundation.

Mati was selected in 2024 as one of 20 global finalists. The company removes carbon through its Enhanced Rock Weathering (ERW) program that works with agricultural farms in Africa and India.

The 3-year-old startup accelerates the natural process of rock weathering (ERW) by applying pulverized basalt to croplands of partnered smallholder farmers, free of charge. Mati says the farmers it partners with are some of the most vulnerable to the impacts of climate change.

“Winning this XPRIZE competition is an incredible honor and a definitive validation of our research and development, and building out the infrastructure needed to impact millions of farmers while delivering verifiable carbon dioxide removal at a gigaton scale,” Mati Carbon Founder and CEO Shantanu Agarwal, said in a news release. “I couldn’t be prouder, not just of the Mati team, but of our collaborators, research partners and the thousands of smallholder farmers who let us be part of their lives. This XPRIZE recognition will allow us to collaborate with local partners to accelerate the use of enhanced rock weathering across the Global South.”

Mati reports that it plans to use the award to “scale its efforts working with smallholder farmers worldwide.” Apart from the XPRIZE funding, Mati plans to grow its model through the sale of CDR credits. According to the company, it counts Shopify, Stripe, and H&M among its early carbon credit buyers.

“Mati Carbon’s deployments bolster farmers’ livelihoods through improved soil health, reduced agricultural inputs, and increased income at zero cost to them. Mati Carbon’s team has developed a scientifically rigorous approach to monitoring and verification, and excelled across each of XPRIZE’s prize evaluation criteria – operational, sustainability, and cost metrics – giving the XPRIZE judges the highest confidence in Mati Carbon’s solution’s long-term scalability,” the XPRIZE judges wrote.

Houston-based Vaulted Deep took home the second-runner-up prize in the competition and $8 million for its organic waste storage process. The company provides permanent carbon storage by injecting nonhazardous organic waste deep underground. It spun off with $8 million in seed funding from Advantek Waste Management Services in 2023.

"Our approach is grounded in geomechanical injection techniques that have been safely deployed globally for decades by our team and predecessors," Omar Abou-Sayed, co-founder and executive chairman of Vaulted, said in a separate release. "XPRIZE recognized that this is a proven approach—already in use, delivering impact, and built on the kind of reliability the industry needs to scale responsibly."

Launched in 2021, the four-year XPRIZE Carbon Removal competition challenged global innovators to deploy scalable solutions for removing carbon dioxide from the atmosphere and oceans. More than 1,300 teams from 88 countries competed. XPRIZE finalists were required to remove at least 1,000 tonnes of CO2 over a one-year demonstration period.

French company NetZero took home the first-runner-up prize of $15 million, and London-based UNDO came in as third-runner-up with a $5 million prize.

Since the announcement of the XPRIZE Carbon Removal competition, the Musk-led Department of Government Efficiency has cut climate funding for agencies, projects and research. While the Musk Foundation sponsored the XPRIZE event, it is not affiliated with the California-based organization, according to the Associated Press.

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Fervo Energy has been named North American Company of the Year, and two other Houston companies made the Global Cleantech 100 list. Photo via fervoenergy.com

Houston unicorn startup named North American Company of the Year by cleantech firm

top honor

Houston-based geothermal energy startup Fervo Energy has been named North American Company of the Year by research and consulting firm Cleantech Group.

Fervo appears on this year’s Global Cleantech 100, Cleantech Group’s annual list of the world’s most innovative and promising cleantech companies

Houston companies Syzygy Plasmonics and Vaulted Deep also made the Global Cleantech 100 list this year.

“These innovators give us reasons to be optimistic about the future. Their groundbreaking work demonstrates that progress toward net zero remains possible and inspires us to double down on the challenge of addressing climate change,” says Richard Youngman, CEO of Cleantech Group.

Fervo was honored during a Jan. 27 awards dinner at Cleantech Forum North America, an event hosted by Cleantech Group. Co-founder and CEO Tim Latimer accepted the North American Company of the Year award on behalf of Fervo.

“We have always been honored to be part of the Global Cleantech 100,” Latimer says in a LinkedIn post. “Being recognized for the fourth consecutive year and named the ‘North American Company of the Year’ is a testament to our relentless pursuit of innovation in the energy sector. The demand for clean, firm power has never been more urgent, and we are proud to lead the way.”

Founded in 2017, Fervo is now a unicorn, meaning its valuation as a private company has surpassed $1 billion. The startup’s valuation is estimated at $1.4 billion. According to PitchBook data, the company raised $634 million in VC funding in Q4. Read more here.

The four companies are among 24 semifinalists in the agency’s Carbon Dioxide Removal Purchase Pilot Prize program that were chosen to receive a total of $1.2 million for their commercial-scale CO2 removal technology.

DOE doles out funding to 4 Houston tackling carbon dioxide removal tech

seeing less co2

Four Houston companies have received $50,000 each from the U.S. Department of Energy to further develop their carbon dioxide removal technology.

The funding comes in the form of the Department of Energy’s purchase of CO2 removal credits.

“The Carbon Dioxide Removal Purchase Prize is a first-of-a-kind initiative to catalyze the market for high-quality CO2 removal credits, helping jumpstart a critical decarbonization tool,” U.S. Energy Secretary Jennifer Granholm says in a news release.

The Carbon Dioxide Removal Purchase Pilot Prize project will provide up to $35 million in cash awards. The 24 semifinalists will be whittled down to as many as 10 finalists that’ll receive up to $3 million each.

The four Houston companies that have been named semifinalists are:

Climate Robotics. The company’s mobile platform produces and applies biochar — organic waste material or biomass — to store CO2.
Mati Carbon. The company removes carbon dioxide and stores it in rocks to boost rice productivity in the U.S.
1PointFive. The company, a subsidiary of Occidental Petroleum, is building facility that will eventually capture up to 500,000 metric tons of CO2 per year.
Vaulted Deep. The company undertakes geologic storage of slurried organic waste for permanent removal of CO2.

Granholm says the DOE prize program and the Biden administration “are giving the private sector the tools they need to make real contributions to our fight against the climate crisis and deliver real benefits to communities across the nation.”

Three of the companies selected — Vaulted Deep, Mati Carbon, and Climate Robotics — were also recently named finalists in Elon Musk's XPRIZE's four-year global competition is designed to combat climate change with innovative solutions.

3 Houston clean energy startups advance in Elon Musk-backed cleantech competition

finalists

Twenty promising climatetech companies were selected to advance to the final stage of a global competition backed by Elon Musk's foundation — and three of the finalists hail from Houston.

Vaulted Deep, Mati Carbon, and Climate Robotics secured finalists spots in XPRIZE's four-year global competition is designed to combat climate change with innovative solutions. XPRIZE Carbon Removal will offer $100 million to innovators who are creating solutions that removes carbon dioxide directly from the atmosphere or the oceans, and then sequester it sustainably.

"For the world to effectively address greenhouse gas emissions, carbon removal is an essential element of the path to Net Zero. There's no way to reverse humanity's impact on the climate without extracting carbon from our atmosphere and oceans," Anousheh Ansari, CEO of XPRIZE, says in a news release. "We need a range of bold, innovative CDR solutions to manage the vast quantities of CO2 released into our environment and impacting our planet.

"The teams that have been competing for this Prize are all part of building a set of robust and effective solutions and our 20 teams advancing to the final stage of XPRIZE Carbon Removal will have an opportunity to demonstrate their potential to have a significant impact on the climate," Ansari continues.

The finalists — categorized into four sections: air, rocks, oceans, and land — were selected based upon their performance in three key areas: operations, sustainability, and cost. The full list of 20 finalists is available online.

Around 20 Houston-area companies were initially identified by the challenge. Here's a look at the three that are advancing to the finals:

Mati, in the Rocks category, durably removes carbon from the atmosphere using basalt based enhanced rock weathering (ERW) in smallholder rice paddy farms. This process, which is being demonstrated in India, removes atmospheric CO2 while adding key nutrients in the soil helping to restore degraded soils to benefit smallholder farmers.
Climate Robotics, in the Land category, enables broad-scale agriculture adoption of biochar which builds soil health and removes excess carbon from the atmosphere. The company's mobile technology converts crop residues into durable biochar on the fly and in the field, making the economics work for farmers and our ecosystems.
Vaulted Deep, also in the Land category, delivers scalable, permanent, carbon removal by geologically sequestering carbon-filled organic wastes. Their patented slurry sequestration, which involves the geological injection of minimally processed wastes for permanent (10,000+ year) carbon removal.

"This cohort of exceptional teams represents a diversity of innovations and solutions across a range of CDR pathways, and shows the significant progress the industry is making in a short period of time," Nikki Batchelor, executive director of XPRIZE Carbon Removal, says in the release. "Over the past three years, this competition has helped accelerate the pace of technology development for a whole new industry of high-potential solutions aimed at reversing climate change."

Vaulted Deep, which diverts sludgy organic waste from landfills or waterways and captures and stores carbon emissions generated, is getting off the ground with $8 million from investors. Photo via Getty Images

Houston company's sustainable spinoff launches with $8M in seed funding

vaulted with capital

Houston-based Advantek Waste Management Services, which specializes in deep-injection wells that minimize the impact of land, air, and water waste, has launched a carbon removal and storage company.

The spinoff, Vaulted Deep, is getting off the ground with $8 million in seed funding.

Vaulted diverts sludgy organic waste, such as agricultural and livestock waste, before it’s dumped in a landfill or waterway or simply left on land to decompose. It then captures and stores carbon emissions generated by the organic waste.

A study published earlier this year by Louisiana State University ecologist Brian Snyder estimated that organic waste generates five gigatons of carbon dioxide per year. A gigaton equals one billion metric tons.

Vaulted is already off to an impressive start. For one thing, the startup has raised an $8 million seed round led by New York City-based carbon removal fund Lowercarbon Capital. Other investors include Advantek and San Francisco-based climatech VC fund Earthshot Ventures.

In addition, Vaulted has already nailed down purchase commitments from Frontier, a marketplace for buyers and sellers of carbon removal credits. Ryan Orbuch, a partner at Lowercarbon, is one of Frontier’s strategic advisers.

“Vaulted is literally cleaning up the planet, scaling field-proven injection terminology to safely dispose of harmful wastes like biosolids while permanently storing away millions of tons of CO2,” Orbuch says in a Vaulted news release.

While injection sequestration sites often take years to gain permits and start operating, Vaulted already boasts two permitted sites that are up and running. Vaulted offers carbon removal for $300 per ton, compared with more than $500 per ton charged by some competitors.

Advantek founder Omar Abou-Sayed is switching from CEO to chairman of Advantek, which launched in 1999, and will serve as executive chairman of Vaulted. Julia Reichelstein, a former investor at San Francisco-based climatech VC fund Piva Capital, has been tapped as CEO of Vaulted.

“Unlike many carbon removal technologies still in R&D, Vaulted’s technology and sites can safely and permanently store carbon underground, at scale, today,” says Abou-Sayed. “The early removals we will deliver are pivotal to keeping the window open to hold our planet’s warming below 1.5 degrees Celsius.”

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Energy sector AI spending is set to soar to $13B, report says

eyes on ai

Get ready for a massive increase in the amount of AI spending by oil and gas companies in the Houston area and around the country.

A new report from professional services firm Deloitte predicts AI will represent 57 percent of IT spending by U.S. oil and gas companies in 2029. That’s up from the estimated share of 23 percent in 2025.

According to the analysis, the amount of AI spending in the oil and gas industry will jump from an estimated $4 billion in 2025 to an estimated $13.4 billion in 2029—an increase of 235 percent.

Almost half of AI spending by U.S. oil and gas companies targets process optimization, according to Deloitte’s analysis of data from market research companies IDC and Gartner. “AI-driven analytics adjust drilling parameters and production rates in real time, improving yield and decision-making,” says the Deloitte report.

Other uses for AI in the oil and gas industry cited by Deloitte include:

Integrating infrastructure used by shale producers
Monitoring pipelines, drilling platforms, refineries, and other assets
Upskilling workers through AI-powered platforms
Connecting workers on offshore rigs via high-speed, real-time internet access supplied by satellites
Detecting and reporting leaks

The report says a new generation of technology, including AI and real-time analytics, is transforming office and on-site operations at oil and gas companies. The Trump administration’s “focus on AI innovation through supportive policies and investments could further accelerate large-scale adoption and digital transformation,” the report adds.

Chevron and ExxonMobil, the two biggest oil and gas companies based in the Houston area, continue to dive deeper into AI.

Chevron is taking advantage of AI to squeeze more insights from enormous datasets, VentureBeat reported.

“AI is a perfect match for the established, large-scale enterprise with huge datasets—that is exactly the tool we need,” Bill Braun, the company’s now-retired chief information officer, said at a VentureBeat event in May.

Meanwhile, AI enables ExxonMobil to conduct autonomous drilling in the waters off the coast of Guyana. ExxonMobil says its proprietary system improves drilling safety, boosts efficiency, and eliminates repetitive tasks performed by rig workers.

ExxonMobil is also relying on AI to help cut $15 billion in operating costs by 2027.

“There is a concerted effort to make sure that we’re really working hard to apply that new technology … to drive effectiveness and efficiency,” Darren Woods, executive chairman and CEO of ExxonMobil, said during a 2024 earnings call.

Houston Innovation Awards winners include Fervo, Eclipse Energy & more

Top Innovators

After weeks of anticipation, the 2025 Houston Innovation Awards winners have been revealed. Finalists, judges, and VIPs from Houston's vibrant innovation community gathered on Nov. 13 at Greentown Labs for the fifth annual event, which is presented by InnovationMap.com.

This year, the Houston Innovation Awards recognized more than 40 finalists, with winners unveiled in 10 categories, including multiple winners from the local energy transition space.

Finalists and winners were determined by our esteemed panel of judges, comprised of 2024 winners who represent various Houston industries, as well as InnovationMap editorial leadership. One winner was determined by the public via an online competition: Startup of the Year.

The program was emceed by Lawson Gow, Head of Houston for Greentown Labs. Sponsors included Houston City College Northwest, Houston Powder Coaters, FLIGHT by Yuengling, and more.

Without further adieu, meet the 2025 Houston Innovation Awards winners:

Minority-founded Business: Mars Materials

Clean chemical manufacturing business Mars Materials is working to convert captured carbon into resources, such as carbon fiber and wastewater treatment chemicals. The company develops and produces its drop-in chemical products in Houston and uses an in-licensed process for the National Renewable Energy Lab to produce acrylonitrile, which is used to produce plastics, synthetic fibers and rubbers. The company reports that it plans to open its first commercial plant in the next 18 months.

Female-founded Business, presented by Houston Powder Coaters: March Biosciences

Houston cell therapy company March Biosciences aims to treat unaddressed challenging cancers, with its MB-105, a CD5-targeted CAR-T cell therapy for patients with relapsed or refractory CD5-positive T-cell lymphoma, currently in Phase 2 clinical trials. The company was founded in 2021 by CEO Sarah Hein, Max Mamonkin and Malcolm Brenner and was born out of the TMC Accelerator for Cancer Therapeutics.

Energy Transition Business: Eclipse Energy

Previously known as Gold H2, Eclipse Energy converts end-of-life oil fields into low-cost, sustainable hydrogen sources. It completed its first field trial this summer, which demonstrated subsurface bio-stimulated hydrogen production. According to the company, its technology could yield up to 250 billion kilograms of low-carbon hydrogen.

Health Tech Business: Koda Health

Koda Health has developed an advance care planning platform (ACP) that allows users to document and share their care preferences, goals and advance directives for health systems. The web-based platform guides patients through values-based decisions with interactive tools and generates state-specific, legally compliant documents that integrate seamlessly with electronic health record systems. Last year, the company also added kidney action planning to its suite of services for patients with serious illnesses. In 2025, it announced major partnerships and integrations with Epic, Guidehealth, and others, and raised a $7 million series A.

Deep Tech Business: Persona AI

Persona AI is building modularized humanoid robots that aim to deliver continuous, round-the-clock productivity and skilled labor for "dull, dirty, dangerous, and declining" jobs. The company was founded by Houston entrepreneur Nicolaus Radford, who serves as CEO, along with CTO Jerry Pratt and COO Jide Akinyode. It raised eight figures in pre-seed funding this year and is developing its prototype of a robot-welder for Hyundai's shipbuilding division, which it plans to unveil in 2026.

Scaleup of the Year: Fervo Energy

Houston-based Fervo Energy is working to provide 24/7 carbon-free energy through the development of cost-competitive geothermal power. The company is developing its flagship Cape Station geothermal power project in Utah, which is expected to generate 400 megawatts of clean energy for the grid. The company raised $205.6 million in capital to help finance the project earlier this year and fully contracted the project's capacity with the addition of a major power purchase agreement from Shell.

Incubator/Accelerator of the Year: Greentown Labs

Climatetech incubator Greentown Labs offers its community resources and a network to climate and energy innovation startups looking to grow. The collaborative community offers members state-of-the-art prototyping labs, business resources and access to investors and corporate partners. The co-located incubator was first launched in Boston in 2011 before opening in Houston in 2021.

Startup of the Year (People's Choice): FlowCare

FlowCare is developing a period health platform that integrates smart dispensers, education, and healthcare into one system to make free, high-quality, organic period products more accessible. FlowCare is live at prominent Houston venues, including Discovery Green, Texas Medical Center, The Ion, and, most recently, Space Center Houston, helping make Houston a “period positivity” city.

Mentor of the Year, presented by Houston City College Northwest: Jason Ethier, EnergyTech Nexus

Jason Ethier is the founding partner of EnergyTech Nexus, through which he has mentored numerous startups and Innovation Awards finalists, including Geokiln, Energy AI Solutions, Capwell Services and Corrolytics. He founded Dynamo Micropower in 2011 and served as its president and CEO. He later co-founded Greentown Labs in Massachusetts and helped bring the accelerator to Houston.

2025 Trailblazer Award: Wade Pinder

Wade Pinder, founder of Product Houston, identifies as an "Ecosystem Wayseeker" and is the founder of Product Houston. A former product manager at Blinds.com, he has been deeply engaged in Houston’s startup and innovation scene since 2012. Over the years, he has supported hundreds of founders, product leaders, and community builders across the Houston area. In 2023, he was honored as Mentor of the Year in the Houston Innovation Awards.

SLB partners with renewables company to develop next-gen geothermal systems

geothermal partnership

Houston-based energy technology company SLB and renewable energy company Ormat Technologies have teamed up to fast-track the development and commercialization of advanced geothermal technology.

Their initiative focuses on enhanced geothermal systems (EGS). These systems represent “the next generation of geothermal technology, meant to unlock geothermal energy in regions beyond where conventional geothermal resources exist,” the companies said in a news release.

After co-developing EGS technology, the companies will test it at an existing Ormat facility. Following the pilot project, SLB and Nevada-based Ormat will pursue large-scale EGS commercialization for utilities, data center operators and other customers. Ormat owns, operates, designs, makes and sells geothermal and recovered energy generation (REG) power plants.

“There is an urgent need to meet the growing demand for energy driven by AI and other factors. This requires accelerating the path to clean and reliable energy,” Gavin Rennick, president of new energy at SLB, said in a news release.

Traditional geothermal systems rely on natural hot water or steam reservoirs underground, limiting the use of geothermal technology. EGS projects are designed to create thermal reservoirs in naturally hot rock through which water can circulate, transferring the energy back to the surface for power generation and enabling broader availability of geothermal energy.

The U.S. Department of Energy estimates next-generation geothermal, such as EGS, could provide 90 gigawatts of electricity by 2050.

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