US-based clean iron company Electra has raised $186 million in its latest investment round in which a wide range of steel companies participated, including Nucor Corporation and other venture firms such as Capricorn Investment Group and Temasek Holdings.
Increasing its total funding to $214 million, Electra plans to build a demonstration plant with a 500 mt capacity per year by 2029, with which the company will try to scale up its carbon-free iron making process.
“This broad, very sophisticated, strategic investor base gives us a vote of confidence that our solution can potentially be an integral part of the value chain,” stated Sandeep Nijhawan, CEO of Electra.
Electra uses electricity and renewable energy for its iron making processes, instead of using coal and extreme heat, which are common in traditional iron making. This makes the process greener and helps reduce carbon emissions. On the other hand, Electra’s patented technology has the ability to remove co-products such as silica and alumina, further improving the quality of the iron while protecting critical minerals.