Electrochaea raises 36 million euros

Heat from methane: That is the vision of Electrochaea. The Munich-based company has now received funding from the European Innovation Council for a new plant in Denmark.

According to reports from the Handelsblatt's Munich-based startup Electrochaea has raised €36 million in a Series D financing round. The European Innovation Council participated with 14.9 million euros. Further capital came from existing investors such as Baker Hughes and btov.

Electrochaea intends to use the financial resources to build a new electrolysis plant with a capacity of ten megawatts at its Danish site in Roslev. The company follows a power-to-gas approach. Electricity from renewable sources is used to split water molecules. The hydrogen produced is then converted into methane, which can be used for heating. So far, the company has mainly pilot plants in the USA, Switzerland and Denmark. In Germany, electricity costs are too high and the framework conditions are still too poor, the company tells Handelsblatt.

Electrochaea was founded in 2014 and is based in Munich. Other locations are in Denmark and California. Initial investors included Munich Venture Partners, btov, Sirius Venture Partners, KfW Bank, Focus First Holdings, Energie 360° and Caliza Holding.