Microsoft back sustainable jet fuel company Dimensional Energy
Microsoft will back sustainable jet fuel company, Dimensional Energy, as a partner in a $20 million funding round. Amidst the […]
The post Microsoft back sustainable jet fuel company Dimensional Energy appeared first on ReadWrite.
Microsoft will back sustainable jet fuel company, Dimensional Energy, as a partner in a $20 million funding round.
Amidst the ongoing climate crisis, the push to implement efficient alternatives is the biggest problem facing many industries. In particular air travel, has seen (SAF) – which can reduce greenhouse gas emissions by up to 80% compared to traditional jet fuel – as a way to hit carbon reduction targets and meet corporate quotas.
Enter Dimensional Energy. Based out of New York, the company utilises carbon dioxide emissions and water to create sustainable aviation fuel (SAF) and they are beginning to gather attention – with the company reporting on Tuesday (Dec.12) that they closed the $20 million deal in a Series A funding round, which included Microsoft’s climate fund.
Speaking about their reason for supplying funding, senior director at Microsoft’s climate innovation fund Brandon Middaugh said in a statement:
“The world needs immediate and rapid decarbonization across all sectors, and Dimensional Energy shows great promise as a cleaner and lower carbon aviation solution alongside reductions in industrial emissions,”
“Microsoft has been an early adopter of sustainable aviation fuel and sees this market as critical for global decarbonization, which is why Microsoft’s climate innovation fund supports Dimensional Energy’s work as a direct equity investor.”
Among the other investors, led by Envisioning Partners, were: United Airlines’ sustainable flight fund, RockCreek’s smart aviation futures fund, DSC Investment, Delek US, New York Ventures, and existing investors like Elemental Excelerator and Chloe Capital – helping raise the total to $28 million.
Speaking to TechCrunch, Dimensional Energy founder and CEO Jason Salfi said:
“The extraction and production of hydrocarbons has resulted in not only climate change but the displacement of indigenous people globally and myriad environmental catastrophes,”
“Dimensional Energy makes a replacement for oil from carbon dioxide and water. Dimensional is committed to sourcing feedstocks in balance with nature and communities where plants are built.”
Dimensional Energy on the rise
After this latest investment, the company announced plans to build an advanced power-to-liquids fuel plant, with the fuel source being supplied by Lafarge’s Richmond Cement Plant in British Columbia, Canada in partnership with carbon capture company Svante.
Also among its plans are Dimensional Energy’s first direct-to-consumer (BTC) and business (BTB) products, a fossil-free surf wax and a cruelty-free fat alternative customized for for vegan food manufacturers.
Dimensional Energy’s main customers are airlines, freight companies and chemical firms. During this year, they secured a deal with aircraft maker Boom Supersonic to sell 5 million gallons of SAF per year for Boom’s flight test program.
However, the balancing act between maintaining sustainability and generating profit can be difficult, however, Dimensional builds revenue via contracted offtake agreements and is actively seeking long-term contracts with airlines and specialist chemical companies.
Featured Image: Photo by Kelly on Pexels
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