Heirloom Carbon Secures $150 Million to Scale Carbon Capture Technology
Heirloom Carbon, a startup focused on removing carbon dioxide from the atmosphere, has raised $150 million in Series B funding. This investment will help scale their technology, which uses crushed limestone to capture CO2. The company aims to reduce the cost of carbon removal, currently estimated between $600 and $1,000 per metric ton, to $200-$300 per metric ton by the early 2030s.
Heirloom's process involves treating crushed lime with a proprietary compound to accelerate CO2 absorption. Once the lime transforms into limestone, it's heated to release the captured CO2 for storage. This method differs from many other direct air capture (DAC) startups that use liquids for carbon capture. While the current cost of carbon removal is high, Heirloom believes they can achieve profitability at the projected lower prices and eventually reach the target of $100 per metric ton, considered the industry's sweet spot. Similar initiatives in AI-driven solutions are emerging in other sectors.
This funding round, led by Future Positive and Lowercarbon Capital, doesn't include carbon credits for investors. It's sufficient to purchase 150,000 to 250,000 metric tons of carbon removal at current prices, roughly equivalent to a decade's worth of removal from their planned Louisiana plant, set to open in 2026. Heirloom has already secured contracts with Microsoft and Frontier for carbon credits. Japan Airlines' participation in the funding round suggests growing interest from the aviation industry in DAC as a potential solution for reducing carbon emissions, as explored in discussions on technological advancements. This approach could be an alternative to expensive e-fuels, aligning with broader trends in sustainable technology.