London-based clean heat technology start-up, Futraheat, has closed a £1.5 million seed round led by Clean Growth Fund. The new investment, Futraheat’s first equity raise, will be used to accelerate product development and commercialisation of its heat pump technology as well as to grow Futraheat’s team.
Founded in 2021, Futraheat is pioneering the development of a high temperature heat pump for industry that will target applications in 100°C-200°C process heating. This hard-to-decarbonise temperature range is currently responsible for over 3% of total global emissions – more than the entire aviation industry.
Futraheat’s planned, modular Greensteam heat pump products use a novel type of patented turbo compressor, known as TurboClaw®, which will cost-effectively recover low grade waste heat – a by-product of many industrial processes – and boost it up to 150 °C, where it will be successfully reused onsite.
Futraheat is developing its first full sized 300kWt technology demonstrator at its Surbiton facility which will be trialled at a brewery later this year. The funding will be used to productionise the Greensteam heat pump for wider commercial trials and product launch in 2024.
Tom Taylor, CEO at Futraheat said “The Greensteam high temperature heat pump, when replacing a fossil fuel boiler, will reduce energy consumption by up to 90% and reduce carbon emissions by up to 100% when the heat pump is powered by renewable energy. The heat pump will payback in as little as two years from fuel cost savings of up to 40%. This is becoming increasingly important for our customers who are looking to the market for commercially available solutions to decarbonise their assets, given upcoming net zero targets and high energy prices.
This funding represents a significant milestone for Futraheat as we move from a technology to a product developer. With this funding will work towards our company mission of decarbonising industry through electrification technology, making a meaningful dent in global emissions. We are pleased to be working with Clean Growth Fund, who share this vision and provide a wealth of expertise and know-how in this area.”
Susannah McClintock, Investment Director at Clean Growth Fund said: “We are excited about the commercial potential of Futraheat’s heat pump technology as it can make a massive contribution to industry efforts to reduce carbon emissions. Heat decarbonisation is vital if the UK is to achieve Net Zero and we see the huge potential for Futraheat’s technology in the challenging space of decarbonising industrial heat.”
“As well as our investment, Clean Growth Fund, with support from our sister company Carbon Limiting Technologies, will work closely with Tom Taylor and the Futraheat team to achieve their goals for the business.”