Allotrope Energy, a UK-based start-up specializing in lithium-carbon battery technology, has secured up to $6.7 million in funding from Suzano Ventures, the corporate venture capital fund of Brazilian hardwood pulp producer Suzano. The investment is part of Suzano Ventures’ $70 million fund, which seeks to invest in early-stage companies in various verticals, including sustainable packaging, forestry tech, carbon, and new applications of eucalyptus biomass.
Suzano Ventures focuses on finding deep tech start-ups that can promote a circular and regenerative economy through the innovative production and use of biomaterials. The company’s investment in Allotrope Energy is its first, and it seeks to harness the start-up’s technology to accelerate the global transition to zero-emission mobility.
“At Suzano Ventures, our focus is on finding deep tech start-ups that can build a circular and regenerative economy through the innovative production and use of biomaterials. We are excited that our first investment is into a company can harness a co-product from our own pulp production process as a key raw material, to help accelerate the global transition to zero emission mobility,” says Paula Puzzi, Manager of Suzano Ventures. “There is already significant commercial interest in Allotrope Energy’s technology, and the company shows considerable promise for being able to deliver at scale. “
Allotrope Energy’s carbon technology is capable of producing fast-charging lithium-ion and cost-effective sodium-ion batteries by using carbon extracted from a biomaterial that is abundant in the production of hardwood pulp. This means the start-up can eliminate the need to use materials such as nickel and cobalt, which are typically used in battery production.
Dr. Peter Wilson, the Technical Director of Allotrope Energy, believes that Suzano’s sustainable natural resources and Allotrope’s agile high-rate carbon technology present an immense opportunity for the two companies to collaborate.
“This significant investment is the pivotal step in demonstrating the immense opportunity in combining Suzano’s sustainable, natural resource and Allotrope’s agile high-rate carbon technology,” says Dr Peter Wilson, Technical Director of Allotrope Energy. “Working with Suzano we get access to a critical raw material that is sustainably produced, alongside the commercial and technical expertise and global reach from working with a major multinational business. It comes at a time when we see an increasing global interest in exploring new battery technologies which offer broad appeal across a range of industries.”
Apart from the investment and the supply of biomaterials, Suzano and Allotrope Energy are set to enter into a broader partnership agreement. Under this potential arrangement, Suzano’s teams in Brazil and Canada will support the innovation and commercialization of the technology while also developing global supply chains and markets for the batteries.
Allotrope Energy’s technology is gaining commercial interest, and the company shows considerable promise for being able to deliver at scale. The partnership with Suzano Ventures comes at a time when there is increasing global interest in exploring new battery technologies that offer broad appeal across a range of industries.
