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Global Climate Tech Firm Aether Fuels Secures $34M in Series A Funding

ByYasmeeta Oon

Jul 1, 2024

Global Climate Tech Firm Aether Fuels Secures $34M in Series A Funding

Global advanced climate technology company Aether Fuels has announced securing $34 million in Series A financing from a syndicate of global investors. The funding aims to accelerate the company’s efforts to scale up its innovative technology for creating sustainable fuels.

In a statement released last Friday, Aether Fuels revealed that the Series A round was led by AP Ventures, with significant contributions from Chevron Technology Ventures, CDP Venture Capital, and Zeon Ventures. Additionally, Series Seed lead investor Xora Innovation and other existing investors, including TechEnergy Ventures, Doral Energy-Tech Ventures, Foothill Ventures, and JetBlue Ventures, also participated in this round.

InvestorRole in Series A Financing
AP VenturesLead Investor
Chevron Technology VenturesMajor Contributor
CDP Venture CapitalMajor Contributor
Zeon VenturesMajor Contributor
Xora InnovationSeries Seed Lead Investor
TechEnergy VenturesExisting Investor
Doral Energy-Tech VenturesExisting Investor
Foothill VenturesExisting Investor
JetBlue VenturesExisting Investor

Aether Fuels, established in 2022 as a spin-out from Xora Innovation, an early-stage investment platform of Temasek, plans to utilize this financing to accelerate the scale-up of its proprietary technology, Aether Aurora™. This technology is pivotal in creating sustainable fuels for the aviation and ocean shipping industries.

Aether Aurora™ leverages technology licensed from Aether’s strategic partner, GTI Energy. This cutting-edge solution utilizes a transformed Fischer-Tropsch (FT) process that combines innovations in chemistry (catalysts), equipment (reactors), and process flows. This integration significantly reduces plant investment and operating costs while enhancing yield. The flexibility of Aether Aurora™ allows it to convert a wide range of waste carbon feedstocks into jet fuel and other liquid hydrocarbons, thereby addressing the supply constraints that plague many other sustainable aviation fuel (SAF) production processes.

  • Breakthrough Economics: Innovations in catalysts, reactors, and process flows reduce costs and increase yield.
  • Feedstock Flexibility: Capable of converting various waste carbon feedstocks into valuable fuels.
  • Sustainability: Addresses supply constraints of traditional SAF production methods.

With the newly acquired capital, Aether plans to expand its research and development (R&D) infrastructure, scale up its novel catalysts and process technology, and expedite the construction of a fully integrated 100 gallon-per-day (gpd) test production plant. This new plant builds on the successful operation of an existing 1.5 gpd pilot line. Additionally, the company aims to develop a pipeline of commercial-scale production facilities, with projects planned in the United States and Southeast Asia. These facilities will produce SAF and other high-value sustainable liquid fuels in collaboration with strategic partners.

To support these endeavors, Aether and GTI Energy have partnered to establish an Aether R&D center within GTI Energy’s Chicago-area campus. This center will house the existing 1.5 gpd line and the 100 gpd plant currently under construction. This partnership, which began in 2022, aims to build on a gas-to-liquid (GTL) technology program initiated by GTI Energy in 2016. The critical innovations from this GTL program are incorporated into the Aether Aurora™ solution, making it suitable for projects involving e-fuel, biofuel, and recycled carbon fuel. Such projects can efficiently consume captured carbon dioxide, industrial waste gases, biogas, treated agricultural residues, and more.

Aether’s CEO, Conor Madigan, emphasized the significance of the funding round, stating, “This is a group of financial and strategic leaders that see clearly the need to expand the supply of sustainable fuels. However, without dramatically scaling the capacity to produce the fuels, supply will remain seriously constrained, and the transition will be slow, if not impossible.” Madigan highlighted that Aether’s solution addresses this problem with a disruptive, scalable approach that simplifies the conversion process while maximizing carbon flexibility, resulting in higher product output at significantly lower capital expenditure (CapEx) costs than existing methods. He also noted the importance of the investors’ deep industry knowledge and support for Aether’s unique approach.

Kevin Eggers of AP Ventures praised Aether’s innovative technology, stating, “Aether stands out with an elegant and innovative technology approach that delivers superior economics. Aether has assembled an exceptional team of energy experts, business leaders, and serial entrepreneurs. Their differentiated go-to-market strategy and disciplined execution are informed by a collective record of building energy and fuel projects worth tens of billions of dollars. Aether is advancing at pace, and we are excited to support their growth.”

Aether Fuels envisions a net-zero world enabled by its breakthrough sustainable liquid fuel production technology. The company is developing scalable solutions that improve the unit economics of producing sustainable fuels for aviation and ocean shipping. With principal operations in the United States and Singapore, Aether Fuels is poised to make a significant impact on the sustainable fuel industry, driving forward its mission to create a cleaner, more sustainable future.

Aether Fuels continues to drive innovation in the sustainable fuel industry, leveraging advanced technology and strategic partnerships to achieve its ambitious goals. The latest funding round marks a significant milestone in the company’s journey toward a more sustainable future.

Yasmeeta Oon

Just a girl trying to break into the world of journalism, constantly on the hunt for the next big story to share.

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