Cleantech Startup Dimensional Energy Raises $20 Million to Advance Carbon Utilization Tech
CO2 utilization company Dimensional Energy announced today that it has raised $20 million in a Series A funding round, with proceeds to be used to accelerate the production of sustainable aviation fuel, and other industrial decarbonization-focused initiatives.
Founded in 2014, Ithaca, New York-based Dimensional Energy uses captured CO2 to produce fuels and product materials that would otherwise utilize fossil fuels as inputs. Each of the company’s products are made from carbon dioxide captured from the atmosphere or from industrial sites, and hydrogen derived from water. The company’s solution breaks carbon dioxide’s molecular bonds to form carbon monoxide, which is then mixed with hydrogen to produce syngas, which can be used as a replacement for oil and gas to produce fuel and products.
In June 2022, Dimensional Energy announced an investment by United Airlines’ sustainable aviation-focused venture fund United Airlines Ventures (UAV), and a purchase agreement with the airline for at least 300 million gallons of sustainable aviation fuel (SAF) over 20 years, produced from repurposed carbon dioxide. UAV has returned as a strategic investor in the new funding round.
United Airlines Ventures Managing Director Andrew Chang, said:
“There’s no question that building the SAF industry from the ground up will take time and capital, but it’s innovative companies like Dimensional that are leading the transition to a more sustainable future. That’s why we have made a second investment and plan to continue to support Dimensional’s efforts to scale its operation to help create the SAF that our airline needs.”
The company said that the newly raised funds will be used to advance several key initiatives including construction of the world’s first advanced power-to-liquid (PtL) fuels plant, utilizing emissions from the Lafarge Richmond Cement Plant in British Columbia, Canada, continued development of commercial power-to-liquid plants globally, introducing its first consumer (B2C) and business-to-business (B2B) products, including fossil-free surf wax and a cruelty-free fat alternative tailored for vegan food manufacturers, and for technology advancements including the evolution of its proprietary reactor and catalyst technologies.
The company also announced their filing of the Delaware Public Benefit Corporation Charter, the first step in becoming a certified B Corporation.
Dimensional Energy CEO Jason Salfi said:
“As a technology company, we work with third parties to verify our performance, carbon intensity, and full life cycle analysis. The same needs to be true when it comes to other environmental and social equity claims. B Corporation status provides a framework for companies to continually improve positive impact for all stakeholders while maintaining exceptional financial performance.”
The funding round was led by impact venture fund Envisioning Partners, with strategic participation from United Airlines’ Sustainable Flight Fund, Microsoft’s Climate Innovation Fund, RockCreek Group’s Smart Aviation Futures fund, DSC Investment, Delek US, New York Ventures, Climate Tech Circle, and continuing support from existing investors Elemental Excelerator, Chloe Capital, and Launch New York among others.
Yong Hyun Kim, Managing Partner of Envisioning Partners said:
“We are excited to be supporting Dimensional Energy, a clear leader in power-to-liquid sustainable aviation fuel production which is much needed in decarbonizing a hard to abate industry like aviation. Dimensional Energy’s mix of proven large-scale technology, proprietary catalyst technology and project development capabilities positions the company very well for fast scale up globally.”