finalists

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

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. Photo via Getty Images

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."

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A View From HETI

The company plans to use the funds to support its flagship Texas facility and planned merger. Photo via LinkedIn

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.

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