Agronomics Ltd (AIM:ANIC, OTC:AGNMF), a leader in cellular agriculture, has made a A$2.5mln investment in HydGene Renewables, a firm that uses synthetic biology to engineer microorganisms for hydrogen production.
This funding, drawn from Agronomics’ own cash reserves, forms part of HydGene’s A$6mln seed financing round and will leave Agronomics with a 12.5% stake in the company.
Other participants in the round include the Clean Energy Finance Corporation, Understorey Ventures and NOAB Ventures.
HydGene has developed a unique way to produce green hydrogen, a promising and eco-friendly energy source, by using microorganisms.
These microorganisms, or “biocatalysts”, transform waste biomass into useful gases, including hydrogen and ammonia. The technology also permits local hydrogen production, reducing costs associated with transportation and storage.
“Efficiently and effectively harnessing hydrogen as a renewable source of energy is vital if we are to meet our net zero ambitions an reduce our reliance on fossil fuels,” said Jim Mellon, the entrepreneur and investor who is also an executive director of Agronomics.
“By upcycling waste biomasses into renewable gases, such as hydrogen and ammonia, HydGene’s biocatalyst technology provides an entirely renewable carbon-negative solution which will support this global transition.
“HydGene’s unique decentralised solution aims to accelerate the cost-effective adoption of low carbon technology across the fuel sector, and we are excited to see the substantial impact this could have on the global transition to hydrogen fuel.”
The global hydrogen market is projected to grow significantly. It was valued at US$160bn in 2022 and is predicted to become a US$ 2.5tn market by 2050, with hydrogen potentially making up 18% of the global energy supply.
