In a recent move in sustainable agriculture and carbon sequestration, Applied Carbon has announced the successful completion of its $21.5 million Series A funding round.
The round was led by TO VC, with participation from a diverse group of investors including Congruent Ventures, Grantham Foundation, Microsoft Climate Innovation Fund, and others.
This funding will enable Applied Carbon to deploy a fleet of biochar machines across Texas, Oklahoma, Arkansas, and Louisiana, enhancing soil health and providing a robust carbon removal solution.
About Applied Carbon
Applied Carbon is at the forefront of developing technologies that regenerate soils and sequester atmospheric carbon.
With a team of experts in earth sciences, robotics, AI, agriculture, and industrial manufacturing, the company leverages natural thermal processes and precision automation to convert field wastes into stable carbon, enhancing soil health and permanently removing carbon from the atmosphere.
Innovative Biochar Technology
Applied Carbon, formerly known as Climate Robotics, has developed a cutting-edge, mobile solution that converts agricultural crop waste into biochar directly in the field. This technology picks up crop residue left after harvesting and processes it into biochar in a single pass.
The resulting biochar is then spread back onto the field, improving soil health, boosting productivity, reducing the need for lime and fertilizer, and providing a durable carbon removal and storage solution.
“Multiple independent studies indicate that converting crop waste into biochar has the potential to remove gigatons of CO2 from the atmosphere each year, while creating trillions of dollars in value for the world’s farmers,” said Jason Aramburu, co-founder and CEO of Applied Carbon. “However, there is no commercially available technology to convert these wastes at low cost. Applied Carbon’s patented in-field biochar production system is the first solution that can convert crop waste into biochar at a scale and a cost that makes sense for broad acre farming.”
Use of Funds
The $21.5 million Series A funding will be allocated to several key areas:
• Deployment of Biochar Machines: Expanding the fleet of biochar production machines across multiple states.
• Product Development: Enhancing the technology for better efficiency and scalability.
• Market Expansion: Reaching new agricultural markets and increasing adoption.
• Technological Advancements: Investing in cutting-edge technology to improve biochar production processes.
• Talent Acquisition: Hiring top talent to drive innovation and growth.
Industry Impact and Potential
Applied Carbon’s biochar technology presents a compelling solution for transforming the agricultural sector from carbon positive to carbon negative.
By utilizing a high-tech, self-contained trailer pulled behind a tractor, the system collects crop residue, processes it into biochar through high-temperature pyrolysis, and quenches it with water while supplementing it with nutrients and microbes.
This final biochar product is then spread directly onto the field, eliminating bulk material transport and significantly reducing costs.
“We’ve been looking at the biochar sector for over a decade and Applied Carbon’s in-field proposition is incredibly compelling,” said Joshua Posamentier, co-founder and managing partner of Congruent Ventures. “The two most exciting things about this approach are that it profitably swings the agricultural sector from carbon positive to carbon negative and that it can get to world-scale impact, on a meaningful timeline, while saving farmers money.”
Environmental and Agricultural Benefits
Biochar produced by Applied Carbon’s technology not only enhances soil health but also represents a significant carbon removal opportunity.
Research indicates that carbon sequestered via biochar is one of the safest and most permanent methods available.
In 2023, over 90% of durable carbon removal sold to commercial buyers came from biochar, a trend expected to continue.
Applied Carbon’s technology, coupled with its precision automation and data monitoring system, offers best-in-class carbon removal monitoring, reporting, and verification (MRV), ensuring transparent engagement with large-scale carbon removal buyers.
“Up to one-third of excess CO2 that has accumulated in the atmosphere since the start of human civilization has come from humans disturbing soil through agriculture,” said Joshua Phitoussi, co-founder and managing partner at TO VC. “To reach our net-zero objectives, we need to put that carbon back where it belongs. Biochar is unique in its potential to do so at a permanence and price point that are conducive to mass-scale adoption of carbon dioxide removal solutions, while also leaving farmers and consumers better off thanks to better soil health and nutrition. Thanks to its technology and business model, Applied Carbon is the only company that turns that potential into reality.”
Rebranding and Recognition
In June, Applied Carbon rebranded from Climate Robotics to better align with its mission and operations.
The company was also recognized as a top-20 finalist in XPRIZE’s $100 million global Carbon Removal Competition and a semifinalist in the Department of Energy’s CO2 Removal Purchase Pilot Prize, further cementing its status as a leader in carbon sequestration technology.
Potential Impact
Applied Carbon’s innovative biochar technology has the potential to create profound positive impacts globally.
By converting crop waste into biochar, this technology not only sequesters carbon but also enhances soil health, leading to increased agricultural productivity and reduced reliance on chemical fertilizers.
This sustainable approach helps mitigate climate change while providing economic benefits to farmers.
For more funding rounds around impactful startups, check out this page.
