Oil giant Chevron (NYSE: CVX) has led a $318 million Series E funding round for Canadian company Svante, a company focused on developing carbon capture tech for point source capture of emissions.
This is the largest carbon capture deal in North America to date according to JPMorgan, who acted as placement agents alongside RBC Capital Markets.
Chevron said it plans to invest $10 billion in lower-carbon projects through 2028 and has invested in Svante since 2014.
The energy company has stepped up its efforts lately when it comes to carbon capture and recently announced that it’s buying shares in three offshore carbon capture projects in Australia and has joined a “carbon capture consortium” in Singapore.
Some of the other prominent investors to take part in the round are Temasek, the wealth fund of Singapore, Samsung Engineering and the venture capital arms of United Airlines (NASDAQ: UAL) and 3M (NYSE: MMM).
This funding round is another milestone in Svante’s rapid growth in recent years. Last year the company had its Series D round which reached $100 million after a substantial investment from Suncor Energy, one of Canada’s largest energy companies. This was followed by several partnership announcements that confirmed the company’s pipeline and prospects:
Chris Powers, vice president of Carbon Capture, Utilisation and Storage with Chevron New Energies, said Svante was “poised to be a leader in enabling carbon capture solutions.”
“Innovation is key to enabling these types of breakthrough technologies and lower carbon solutions, and we look forward to applying our experience and expertise to help drive this effort forward.”
“We are working to remove the biggest barriers to rapid deployment of industrial carbon capture by building this manufacturing facility, which we expect will enable us to rapidly expand our order book,” said Claude Letourneau, President and CEO of Svante.