Takeaways

• French startup Mantle8 has raised €31 million ($44 million) in Series A funding to test commercial natural hydrogen production.
• The company plans to launch an advanced drilling and exploration campaign aimed at finding commercially viable hydrogen reservoirs.
• Investors see natural hydrogen as a potential low-cost clean energy source that could strengthen Europe’s energy security and decarbonization goals.

France-based energy startup Mantle8 has secured €31 million ($44 million) in Series A funding as it moves forward with plans to test commercial natural hydrogen production. The company aims to prove that naturally occurring hydrogen can become a scalable and cost-effective clean energy source.

The funding round was led by Sandwater and included participation from Breakthrough Energy Ventures, Bpifrance, IP Group, Wind Capital, and Calderion. Mantle8 said the funding will support what it describes as the world’s most advanced natural hydrogen exploration and drilling campaign over the next two years.

The company’s immediate goal is to identify the first commercially viable reservoir of high-purity natural hydrogen.

Natural hydrogen has emerged as a growing area of interest within the global energy transition. While green hydrogen continues to play a major role in decarbonization strategies, the sector has faced challenges linked to high electricity costs, infrastructure requirements, and slow project development timelines.

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Mantle8 believes naturally occurring hydrogen could offer an alternative solution if large underground reserves can be identified and extracted economically. The company says its proprietary hydrogen exploration technology can reduce drilling risks by locating promising reservoirs before exploration begins.

According to Mantle8, its economic models suggest natural hydrogen production costs could fall as low as €0.80 per kilogram. If achieved at scale, that would significantly reduce the cost of clean hydrogen and strengthen Europe’s domestic energy supply at a time when governments are increasingly focused on energy sovereignty.

“This raise reflects the growing conviction among leading clean tech investors that natural hydrogen is a resource worth pursuing at scale,” said Emmanuel Masini. He added that the company has built and patented a full technology platform designed to locate commercially viable hydrogen accumulations.

The startup’s business model combines clean technology, geology, and resource development. Mantle8 is currently evaluating opportunities across a global project pipeline and plans to drill selected sites to test hydrogen purity, reservoir quality, and long-term production potential.

Investors backing the company believe natural hydrogen could create a new category within the clean energy market.

Tom Even Mortensen said Mantle8 has developed a strong technical foundation and is positioned to support Europe’s efforts to build greater energy independence. Meanwhile, Carmichael Roberts described geologic hydrogen as one of the energy sector’s most promising developments in recent years.

The funding follows a period of rapid progress for Mantle8. In 2025, the company completed what it called the world’s first 4D imaging of an active underground natural hydrogen system at its Hydrogeco project in the French Pyrenees. Earlier this year, the company also received a €2.06 million grant from the EU Just Transition Fund to help industrialize its exploration technologies.

Alexandre Wagner said natural hydrogen could become a strategic opportunity for both France and Europe as the region works toward low-carbon energy solutions.

Mantle8’s next phase will focus on proving whether the underground hydrogen systems it has identified can support stable, commercially viable production. While the risks remain similar to traditional resource exploration, investors believe the potential rewards could be significant.

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If successful, Mantle8 could help introduce a new low-carbon energy source while supporting Europe’s broader goals around industrial competitiveness, decarbonization, and energy security.

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Source: ESG NEWS