Highlights:
- Calix’s DAC partner Heirloom has successfully completed a US$150 million Series B funding round.
- Calix’s subsidiary, Leilac, has previously signed a global and perpetual exclusive licence agreement for its technology to be used in all Heirloom DAC facilities[1].
- Direct Air Capture represents one of the most prospective markets for the Calix platform technology, with 1-10 billion tonnes of annual carbon dioxide removal expected to be needed to meet climate goals[2].
- Calix’s partnership with Heirloom demonstrates traction in its strategy to:
- Deploy its technology into large addressable markets through a capital light licensing model.
- Deliver immediate engineering revenues to create self-funding commercialisation projects.
Heirloom’s US$150m Series B funding round includes a coalition of leading climate and carbon removal investors alongside global industrial leaders. The successful investment round indicates confidence in bipartisan support for DAC in the United States, the rapid emergence of carbon compliance markets in regions such as Japan and Europe, and that carbon dioxide removal will likely be an important element in the decarbonisation strategies of hard-to-abate sectors such as shipping and aviation.
The investment also reflects confidence in the potential for Heirloom and Leilac’s combined limestone-based DAC process to deliver an industry leading solution for atmospheric carbon dioxide removal. Calix, through its Leilac technology, is an exclusive partner to Heirloom, with its electric calcination technology used to process limestone and efficiently separate the CO2 it has absorbed from the atmosphere[3].
Calix and Leilac are working with Heirloom on two active revenue generating projects in Louisiana, supported by funding from the U.S. Department of Energy and Louisiana State Government, and continue to pursue opportunities to deploy the technology globally.
These projects support the execution of Calix’s business plan and focus on near term revenue generating and self-funding projects. It also demonstrates the implementation of its capital light strategy, enabling deployment of the core technology into large addressable markets via strategic partnerships and licensing agreements.
We congratulate our partner Heirloom on this significant milestone, and look forward to continuing our successful collaboration. Our complementary technologies provide unique combined potential to efficiently absorb and then capture atmospheric carbon dioxide using limestone. We continue to rapidly deploy and scale our solution in the pursuit of carbon dioxide removal at the gigatonne scale.
“The successful raise shows confidence from a broad range of sophisticated investors in the technology and the supportive emerging market and regulatory environment, and a conviction to invest in great technology solutions to critically important climate challenges.”
Leilac CEO
The successful funding round represents a further proof-point of Calix’s strategy. We continue to rigorously focus on capital-light deployment of our technology to the most prospective target markets through strategic partnerships and immediate revenue generating opportunities.”
Calix CEO And Managing Director
[1] Calix ASX Announcement Calix announces Heirloom licence agreement
[2] Intergovernmental Panel on Climate Change. Special Report. Global Warming of 1.5°C. 2018.
[3] Calix ASX Announcement Calix announces Heirloom licence agreement
