CTC #77 - Creating chemicals inspired by nature

Hey there,

Welcome to another issue of Climate Tech Canada, your weekly roundup of everything going on at the intersection of tech and climate.

I hope you got a chance to take in the eclipse yesterday and maybe were lucky enough to be in the path of totality (free idea for a metal band name).

Quick plug - the next episode of the Climate Cycle drops on Thursday! We get into the weeds on supply chain emissions, greenwashing, and Scope 3 reporting with a great early stage startup based out of Alberta.

This week in climate tech:

• Anodyne lands $6M to decarbonize chemicals

• Manitoba plans for carbon storage

• UWaterloo launches sustainable cities school

Let’s go!

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🧪Anodyne raises $6M to decarbonize chemicals 

Anodyne Chemistries, based in Burnaby, BC, closed a $6M funding round to create chemicals inspired by nature. 

Anodyne produces chemicals using enzymes, a natural catalyst. Enzymes facilitate and speed up various chemical reactions, like breaking down food so it can be absorbed by the body. The process is an example of biomimicry, a practice of imitating or taking inspiration from natural processes.

The system uses CO2, water and electricity to power the enzymes and is done at room temperature. The result: chemicals like formic acid, formaldehyde and methanol with no toxic byproducts.

Cleaning up chemicals: Anodyne’s solution is aimed at the $5.7 trillion chemicals industry, which uses fossil fuels as its main inputs. The chemical industry produces 2% of global emissions, just behind steel and cement. 

Chemical is also one of the largest industrial users of oil and gas, creating demand for fossil fuels.

Hard tech like sustainable chemicals is heating up - Solugen, based in the U.S., is now valued at $2B after raising a $200M Series D in 2022.

What’s next: Anodyne will use the new funding to scale up development of its initial product line, hire executives and technical experts, and set up a pilot plant capable of producing multiple products. 

💰 More Funding

⚡ Connect X secured a $200K equity investment through Startup TNT’s Cleantech Investment Summit. Connect X won for their AI-powered virtual power plant management system, which allows utilities to manage and distribute energy efficiently.

🍄‍🟫 MycoFutures is currently raising a pre-seed round for their mycelium-based materials for the fashion industry. Check out their feature in the latest issue of Climate Raise alongside several other Canadian climate startups.

📈 Growth & Milestones

💨 Deep Sky will deploy a modular DAC Air Processing Unit from Amsterdam’s Skytree at their Quebec pilot location. 

🚌 Ballard Power Systems closed their largest order ever, providing 700 hydrogen fuel cell engines to a European bus manufacturer.

⚛️ Fusion energy developer General Fusion announced a new project with Canada’s national nuclear science lab, designing its first-of-a-kind commercial pilot plant.

🚤 Electric recreational vehicle maker Taiga Motors paused production and cut 70 roles due to economic conditions and a mild winter impacting demand.

🚰 H2O Innovation secured its largest deal ever with the City of Los Angeles for its water treatment solutions, processing 24 million gallons per day.

🚂 CN Rail bought its first hybrid diesel-battery electric locomotive, the first in North America, and will help CN understand the impact of adding more battery vehicles.

🗞️ In the news

💨 Clearing a path for carbon storage: Manitoba tabled plans to create a framework for underground carbon capture and storage projects. The framework would include a licensing and assessment process for projects, providing more clarity to project developers. Manitoba is home to parts of the Williston Basin and Western Canadian Sedimentary Basin which are prime sites for CO2 storage.

🚗 On backorder: Ford Motors will delay production of a new three-row EV at its Windsor, ON plant until 2027. Construction will continue as planned, but Ford is delaying in the hope that consumer demand will mature and new battery technology will be further along. EV sales grew 49% last year, outpacing global growth, but the industry is facing lots of uncertainty from supply chains, emerging battery tech that could affect investments in lithium batteries, high interest rates and increased competition.

🏙️ Sustainable cities: University of Waterloo launched its new Future Cities Institute to help cities solve some of the most pressing, long-term problems. Backed by a $10M grant from homebuilder Caivan, the school will study problems like sustainable urban planning, climate adaptation, and ageing infrastructure. Cities are key to addressing climate change and are responsible for 75% of global emissions.

🗞️ In other news:

• B.C. issued its first call for new power in 15 years, hoping to add 3,000 GWh per year of clean electricity - enough to power 1 million EVs.

• Manitoba launched a new rebate for EV buyers, covering up to $4,000 for new vehicles under $70,000.

• RBC will disclose its ratio of financing for low-carbon vs fossil fuel projects to avoid a shareholder resolution brought forward by New York City pension funds.

• Drought exacerbated by climate change could hold back natural gas production in B.C. Water is used in hydraulic fracking to bring gas to the surface.

• The City of Toronto is facing backlash for plans to charge residents for paved areas that can’t absorb rainwater to offset the cost of stormwater management.

• More than 1,000 Canadian companies could fall under European sustainability reporting standards, with many potentially falling short of the EU requirements.

🌎 Zooming Out

Top picks in world climate news

Deforestation in the Amazon slowed by as much as 49% last year. Changes in land use like deforestation are the #2 driver of emissions and a main driver of biodiversity loss.

Most of the world’s recent emissions can be linked to just 57 entities according to a new report. 

Nuclear fusion hit a new milestone, with a team in South Korea achieving the longest fusion reaction at 100 million degrees. 

Oil giants are buying up carbon storage sites in Southeast Asia to start incorporating CCUS into their long-term plans.

📣 What’s going on

🗓️ Plant Forward Conference: Plant Forward brings together leaders across the global plant-based food and proteins sector. April 16-18th, Toronto.

🗓️ The National Building Decarbonization Forum: Join experts from industry, construction, government, Indigenous groups and more to explore the most pathways to net zero through building electrification. April 17-18th, Ottawa.

🗓️ Canadian Hydrogen Convention: Bringing together energy executives, government officials and Indigenous leaders to build Canada’s low-carbon energy future. April 23-25th, Edmonton.

🗓️ ABCMI Coast Innovation Forum: Explore the future of Canada’s marine industry from clean energy to capital and accelerator opportunities. April 23-24th, Vancouver.

💡 Call for Technology Leadership Projects: Protein Industries Canada is seeking applications for projects that drive forward Canadian leadership in the agri-food sector. Apply by May 22nd.

📌 Jobs

Put your skills in project management, software development, sales & biz dev, or community engagement to work for the climate. Check out the job board for newly posted roles from Canadian climate tech companies 👇

➡️ Hiring? List your posting here.

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Justin