Good Morning. This is the Sunya Scoop. The newsletter that takes energy transition news and turns it into an easy-to-read email for you.
Here’s what we have for you today:
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BloombergNEF releases annual report highlighting a trillion in energy transition investment
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Exxon awards FEED contract for low-carbon hydrogen facility
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GE Hitachi signs first nuclear SMR contract in North America
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ArcelorMittal leads $120mm investment in green steel startup
BloombergNEF
A few other takeaways from the summary release:
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Global investment in low-carbon energy transition reached a record of $1.1 trillion in 2022, according to a report from BloombergNEF (BNEF).
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The investment is on par to the capital deployed for fossil fuel supply, marking the first time energy transition investment matches fossil fuel investment.
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Renewable energy was the largest sector in investment terms ($495 bn), followed by electrified transport ($466 bn).
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China dominated the most investments ($546 bn), while the US was second ($141 bn) and EU was third ($180 bn).
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Hydrogen was the sector with the least financial commitment ($1.1 bn) but was the fastest-growing sector with investment more than tripling from the previous year.
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Report suggests investment in lower-carbon technologies is still far from what is needed to address climate change, and must immediately triple to get on track for 2050 “net-zero” CO2 emissions.
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Climate-tech corporate finance was $119 bn in 2022, down 29% YoY.
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Investment in clean energy factories was $78.7 bn, up from $52.6 bn in 2021. China dominated with 91% of investments.
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Exxon has awarded a contract for front-end engineering and design of the world’s largest low-carbon hydrogen production facility.
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Facility expected to produce 1 billion cubic feet of low-carbon hydrogen per day, capturing 98% of CO2 emissions.
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Offtake agreements for low-carbon hydrogen and ammonia being discussed with third-party customers.
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Up to 30% reduction in emissions from Baytown integrated complex by switching from natural gas to low-carbon hydrogen.
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Final investment decision expected by 2024, subject to stakeholder support, regulatory permitting, and market conditions.
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Contract awarded to Technip Energies for next stage of design.
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GE Hitachi, Ontario Power Generation, SNC-Lavalin and Aecon signed a contract for deployment of a BWRX-300 small modular reactor at OPG’s Darlington New Nuclear Project site in Ontario, Canada.
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This is the first commercial contract for a grid-scale SMR in North America.
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GEH is to provide the reactor design and cover a range of project activities including design, engineering, licensing support, construction, testing, training, and commissioning.
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The BWRX-300 is gaining global interest, with potential deployment plans in Tennessee, Saskatchewan, and Poland.
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GEH has MOUs or agreements with companies in Canada, Poland, U.K., U.S., and Sweden to support the global deployment of the BWRX-300.
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BWRX-300 is designed to reduce construction and operating costs below other nuclear power generation technologies and leverages existing fuel, plant simplifications, proven components, and a design based on already licensed technology.
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Boston Metal raises $120 million in Series C funding led by ArcelorMittal, Microsoft’s Climate Innovation Fund and SiteGround Capital.
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ArcelorMittal’s investment was made through its XCarb Innovation Fund.
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Boston Metal’s patented MOE process will be used to produce green steel and high-value metals like tin and niobium.
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The Series C funds will support green steel production, construction of high-value metals manufacturing facility and site selection for the first green steel plant.
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Steel production is a carbon-intensive industry contributing to 10% of global carbon emissions. Boston Metal’s MOE process converts iron ore into steel using renewable energy, without releasing carbon or harmful byproducts.
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Boston Metal do Brasil will use MOE to extract valuable metals from waste, creating new revenue streams. First earnings anticipated in 2023.
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DISCLAIMER: None of this is financial advice. This newsletter is strictly educational and is not investment advice or a solicitation to buy or sell any assets or to make any financial decisions. Please be careful and do your own research.