Ottawa invests $25 million in B.C.-based startup to help build 'Silicon Valley of carbon capture industry'

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The investment comes as a \u0027contribution\u0027 to Svante, some of which is forgivable, the Financial Post has learned

Claude Letourneau, chief executive of Svante, said his company “needed” the $25 million to execute its playbook, which includes building a small-scale manufacturing facility in Vancouver — or as he called the “Silicon Valley of the carbon capture industry.”He said the company sees its future as closely tied to Alberta’s emerging hydrogen economy: For every ton of blue hydrogen produced, Letourneau estimated 10 tons of carbon dioxide are produced, which his company could capture.

On its website, Svante says it has raised more than $175 million since being founded in 2007, and has operating projects with a number of companies including Husky Energy , Chevron Technology Ventures, Total S.A. and LaFargeHolcim.Article content The government did not release the terms of the investment, but the source said Svante must invest a minimum of $205 million in research and development, create 23 new jobs, maintain 102 jobs and employ 124 co-op positions.

 

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