Utility Global, a clean fuel startup, has raised $53 million in a Series C funding round to commercialize its innovative eXERO technology, which converts industrial off-gases into clean hydrogen without the use of electricity. This breakthrough is aimed at helping decarbonize hard-to-abate industries like steel, where renewable energy capacity is limited. The technology leverages the energy within waste gases, offering a cost-effective and scalable alternative to traditional carbon-intensive methods. The funding round was led by the OPG Pension Plan, alongside investors such as ArcelorMittal’s XCarb Innovation Fund, Ara Partners, and Aramco Ventures. The new capital will accelerate eXERO’s commercialization, with plans to deploy the first commercial units by 2026. Utility Global’s recent success includes a demonstration at a steel facility, producing hydrogen from blast furnace off-gases. The company has also partnered with ArcelorMittal to develop commercial facilities at its steel plants, pushing forward industrial decarbonization efforts.
Clean fuel startup Utility Global has raised $53 million in a Series C funding round to advance its innovative technology for decarbonizing hard-to-abate industries, such as steel production. The Houston-based company, founded in 2018, specializes in processing industrial waste gases into clean fuels, including hydrogen, without the use of electricity. This breakthrough technology, called eXERO, leverages the inherent energy in off-gases, providing a more efficient and eco-friendly solution compared to traditional energy-intensive methods.
Utility Global's technology addresses a significant challenge for the clean energy sector: reducing reliance on renewable electricity, which is often in high demand. By converting hydrogen and syngas from industrial off-gases, the eXERO platform offers a scalable, cost-effective solution to decarbonize industries with substantial greenhouse gas emissions. The company recently demonstrated its success by producing hydrogen from blast furnace off-gases at a commercial steel facility.
The funding round was led by the OPG Pension Plan and included major players like ArcelorMittal through its XCarb Innovation Fund, as well as Ara Partners and Aramco Ventures. Utility Global plans to use the capital to accelerate commercialization and finalize the design of its eXERO units, targeting deployment by 2026.
ArcelorMittal and Utility Global also announced a collaboration to develop commercial facilities at the steel giant's integrated plants. According to Irina Gorbounova, Head of the ArcelorMittal XCarb Innovation Fund, the eXERO technology platform is seen as both scalable and cost-effective, positioning it as a strong contender for industry-wide decarbonization efforts.
Utility Global CEO Claus Nussgruber highlighted the demand for onsite decarbonization solutions that extend the life of existing assets while delivering substantial emissions reductions. With the backing of high-profile investors and proven technology, Utility Global is poised to play a key role in decarbonizing heavy industries in the coming years.
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