PeroCycle, a pioneering company in the realm of industrial decarbonization, has made headlines with the recent appointment of Grant Budge as its new CEO. This strategic move aligns with the launch of a £4 million seed funding round aimed at catalyzing the pilot deployment of its innovative carbon recycling technology designed specifically for the steel-making sector. Steel production is notorious for its substantial carbon footprint, accounting for approximately 8% of global CO₂ emissions, which has triggered an urgent need for effective and sustainable decarbonization solutions in the industry.
At the forefront of this initiative, Grant Budge brings a wealth of experience to PeroCycle, having dedicated over three decades to leading prominent carbon capture projects and providing expert advisory services on decarbonization strategies in various industrial sectors. His impressive track record includes securing both public and private funding and overseeing the implementation of extensive Carbon Capture and Storage (CCS) infrastructure. His appointment is a clear indication of PeroCycle’s ambition to transition to a new phase of commercial growth as it strives for pilot-scale deployment of its carbon recycling technology.
Budge expressed his enthusiasm about his new role and the potential of PeroCycle’s technology, stating, “PeroCycle can reshape one of the world’s most emissions-intensive sectors. Its technology stands out for its ability to cut carbon emissions from existing steelmaking infrastructure – a rare combination. I’m thrilled to join at this pivotal stage.” This leadership transition signifies not just a change at the helm but also a renewed commitment to driving innovation in carbon recycling within steel manufacturing processes.
The foundation of PeroCycle’s groundbreaking technology originates from revolutionary research conducted by Professor Yulong Ding and Dr. Harriet Kildahl at the University of Birmingham. The startup emerged from a collaborative effort that involved the University of Birmingham and Cambridge Future Tech, a venture builder dedicated to deep tech investments, alongside partnerships with industry giant Anglo American. At its core, PeroCycle employs a unique perovskite-based catalyst in its proprietary reactor system to convert carbon dioxide into carbon monoxide. This technology embraces a closed-carbon-loop approach, which is essential for achieving deep decarbonization in steel manufacturing—a sector often challenged by traditional production methods that are heavily reliant on fossil fuels.
The urgency for carbon recycling technologies like PeroCycle’s cannot be overstated, especially considering the steel industry’s responsibility for over 3 gigatonnes of CO₂ emissions annually. Facing pressure to adapt from rising costs, industrial restructuring, and stringent emissions regulations, steelmakers across Europe and the UK are at a critical crossroads. Solutions that offer lower-emission alternatives, such as PeroCycle, are emerging as vital pathways toward sustainable and commercially viable steel production. The Carbon Border Adjustment Mechanism (CBAM) adds another layer of complexity, reshaping the landscape of international competitiveness for steel producers.
As part of the £4 million seed round, set to commence in August 2025 and extend into early 2026, PeroCycle plans to establish its first pilot unit designed to process a targeted capacity of 1 kilotonne of CO₂ annually. This funding will also enable the company to expand its technical and commercial teams, positioning it for growth in upcoming years. Such financial backing underscores the confidence investors have in the capacity of carbon recycling technologies to generate substantial impacts within the steel industry.
Owen Thompson, CEO and co-founder of Cambridge Future Tech, underscored the significance of this funding round. He stated, “This is a major step forward for PeroCycle’s mission to decarbonise steel from within. From co-founding and building the company to now investing in this round, we’ve supported its journey from the very beginning. With Grant’s leadership and the momentum of this raise, PeroCycle is well-positioned to deliver real-world industrial impact.” This optimism reflects the broader industry sentiment that embraces innovations capable of addressing climate change while maintaining economic viability.
Professor Yulong Ding, who holds the Chamberlain Chair of Chemical Engineering at the University of Birmingham, highlighted the importance of advancing carbon recycling technologies. He remarked, “Recycling carbon dioxide within steelmaking infrastructure presents a scalable pathway to deep decarbonisation in one of the world’s most hard-to-abate sectors.” His insights provide a comprehensive understanding of the technological advancements and the pressing need for investment in this arena. The combined efforts of academia and industry leaders emphasize the collaborative nature required to tackle such a complex issue.
Matt Walker, CEO of Anglo American’s Marketing business, reiterated the strategic commitment of Anglo American to support low-emission steel manufacturing initiatives. He noted, “Our investment in PeroCycle reflects our belief in the potential of carbon recycling for this purpose. We look forward to seeing this next phase of development bring the technology closer to industrial application.” Such collaboration exemplifies the integration of corporate responsibility and innovative technology aimed at creating a sustainable future.
One of the standout features of PeroCycle’s technology is its ability to facilitate carbon recycling at blast furnace-compatible temperatures, a critical factor for its implementation in existing steel-making operations. As each tonne of crude steel production generates up to 2 tonnes of CO₂ emissions, the significance of scalable solutions to reduce this impact becomes paramount. The industry recognizes that in order to meet ambitious climate goals, such as aligning with net-zero emission pathways, innovative technologies capable of capturing and recycling carbon emissions will need to be deployed at scale.
In the face of mounting pressures and climate targets, PeroCycle’s advancements in carbon recycling are set to make a meaningful contribution to the global climate response. The effective implementation of such technologies within the steel sector is crucial, particularly as the window for significant emissions reductions narrows in the coming decade. As more industries prioritize sustainability, PeroCycle stands at the forefront, equipped with the leadership, technology, and vision to drive change in one of the world’s most environmentally challenging sectors.
In conclusion, PeroCycle’s leadership transition and ongoing commitment to carbon recycling present a compelling narrative of innovation and hope within the industrial landscape. The increasing urgency for carbon reduction solutions calls for collective efforts from various stakeholders—from private investors to academic institutions and industrial corporations. The journey towards a sustainable steel industry is fraught with challenges, but initiatives like PeroCycle’s represent powerful collective strides towards a cleaner, greener future for global manufacturing practices.
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