A Scottish startup has secured €11.4 million in seed funding to develop technology that converts excess renewable energy into industrial heat. Exergy3, based in Edinburgh, focuses on thermal energy storage systems that operate at ultra-high temperatures. This funding round aims to help industries reduce carbon emissions by replacing fossil-fuel-based heating systems.
The investment was led by Axeleo Capital, a venture capital firm. Bayern Kapital, a public venture investor from Bavaria, and Kibo Ventures from Singapore also participated. The company plans to use the funds to expand its operations and refine its technology for commercial use.
Industrial heat accounts for a significant share of global energy consumption. Exergy3’s system stores surplus electricity from renewable sources and releases it as heat when needed. This approach supports grid stability by balancing supply and demand fluctuations.
The startup’s technology targets sectors like steel, cement, and chemicals, which rely heavily on high-temperature processes. By integrating renewable energy, these industries can cut emissions without sacrificing productivity. Exergy3’s solution is designed to operate efficiently at temperatures exceeding 1,000 degrees Celsius.
This funding round highlights growing investor interest in energy storage solutions. Companies like Exergy3 are emerging as key players in the transition to cleaner industrial processes.
Source: eu-startups.com