Green Steel Startup Boston Metal Raises $20 Million
Metals technology company Boston Metal announced a $20 million investment from Tokyo-based Marunouchi Innovation Partners, increasing the company’s Series C2 funding round to $282 million, with proceeds from the financing to be used to accelerate its platform enabling decarbonized steelmaking.
Founded in 2013, Boston Metal is commercializing Molten Oxide Electrolysis (MOE), an electricity-powered metals production platform that can be used for green steel, as well as for high-value metals such as tin and niobium. The one-step technology uses renewable electricity to convert all iron ore grades into steel through an energy-efficient process, and selectively extracts valuable metals from complex, low-concentration materials that are currently considered waste, resulting in a process that produces zero CO2 emissions, has no need for process water, hazardous chemicals, or precious-metal catalysts, and is cost competitive compared to traditional production methods.
Boston Metal said that it is accelerating its ambition to commercialize its green steel technology by 2026, and that the company expects to start generating revenue from its high-value metals business as early as 2024.
Tadeu Carneiro, CEO of Boston Metal, said:
“Our commitment to innovation and sustainability in metals production remains unwavering and this funding will be instrumental in advancing our long-term goals. Despite the challenging market conditions, Boston Metal’s valuation continues to increase while our persistent ability to secure funding from top-tier investors demonstrates the robust confidence in our vision and capabilities.”
According to Boston Metal, the new investment will expand the company’s presence in Asia, which accounts for more than 70% of global steel production, while accelerating its path to commercialization and enabling the company to attract and retain top industry talent.
Ichiro Miyoshi, CEO of Marunouchi Innovation Partners, said:
“We recognize the critical importance of advancing sustainable practices in metal production. Our investment in Boston Metal is a testament to our belief that their technology represents an innovative, long-term solution for commercial green steel production amid the growing global steel demand.”