Aramco Ventures Backs Germany's Largest Climate Tech Pilot

• Germany is set to become a leader in climate technology by backing startups like Ucaneo that specialise in scalable carbon removal solutions.
• One of the goals is to lower the cost of carbon capture to below €300 per tonne.

Berlin-based Direct Air Capture (DAC) technology startup Ucaneo has announced that it has received funding from Aramco Ventures, the investment arm of Aramco, to expand its technology.

The latest funding comes close on the heels of a €6.75 million seed funding round from September last year. It will help Ucaneo scale up its DAC technology, which involves capturing carbon dioxide (CO2) directly from the air and accelerate industries' move towards net-zero goals.

The startup has already announced its first industrial pilot, which will remove 30–50 tonnes of CO2 annually, making it one of Germany's largest DAC pilot projects. The new financing from Aramco Ventures will give a fillip to building Germany’s largest DAC demonstration plant, which is expected to be commissioned in 2026.

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Ucaneo's innovative technology is known to mimic the human lung using a biomimetic solvent and electrochemistry to remove CO2 from the air at room temperature. This system hinges on renewable energy sources like wind and solar, making it more energy-efficient and economical. Carbon is captured continuously and then used for numerous industrial applications.

Florian Tiller, Ucaneo co-founder and CEO, said: “We are thrilled to welcome Aramco Ventures as one of our investors. For us, it was essential to find a partner who not only supports our scaling efforts but is also deeply committed to playing a leading role in the energy transition. Only through impactful scale and strong partnerships can innovative technology developers like Ucaneo enable the world to build a real net-zero economy.“

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One of the main aspects of this technology is that it is more affordable and scalable. With the help of Techno-Economic Analysis (TEA) and third-party feasibility studies, the startup is primed to bring down the carbon capture cost below €300 per tonne and make it one of the most cost-effective climate solutions globally.

Bruce Niven, Executive Managing Director at Aramco Ventures, commented: “Direct Air Capture, if achievable at a competitive cost, could play a crucial role in global decarbonization. Ucaneo’s approach, leveraging novel solvents and renewable energy-driven electrochemistry, has the potential to deliver a cost-effective and highly efficient solution. We are excited to partner with Ucaneo’s innovative team to advance this technology toward large-scale adoption.”

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Source: Aramco