Tallinn-based startup UP Catalyst has secured an additional €2.36 million in funding to further its mission of creating sustainable carbon materials from CO2 emissions. The latest funding round was backed by Warsaw Equity Group and Estonia’s state fund SmartCap, both of whom had previously invested in the company’s initial €4 million seed round last December. This new investment brings UP Catalyst’s total seed funding to €6.36 million.
The company is set to accelerate the construction of its first industrial production unit, positioning itself as a global leader in CO2-derived carbon materials. UP Catalyst’s innovative production process significantly reduces carbon emissions compared to traditional methods, with a carbon footprint of just 0.07 ton of CO2 per ton of graphite—20 times lower than conventional methods. For carbon nanotubes, the emissions are reduced by a staggering 242 times compared to the Chemical Vapor Deposition (CVD) process.
CEO Dr. Gary Urb highlighted the urgent need for investment to scale production, noting that by 2030, the EU will need 3 million tons of carbon materials for electric vehicle batteries. He emphasized that while the technology to utilize CO2 for this purpose is available, the investment required to scale up is critical.
The new funding will also support the development of a pilot reactor capable of processing 100 tons of CO2 annually, producing 27 tons of advanced carbon materials such as graphite and carbon nanotubes. The company is also moving into a new facility adjacent to the Tallinn waste incineration plant, which will provide direct access to hard-to-abate CO2 emissions. This new plant will have a production capacity ten times larger than the current setup, marking a significant milestone in UP Catalyst’s journey.
UP Catalyst’s approach not only addresses the EU’s reliance on fossil fuel imports but also offers industrial partners a way to utilize their CO2 emissions, potentially reducing their carbon tax liabilities. This innovative solution could play a key role in Europe’s transition to a more sustainable and self-sufficient energy landscape.
