Green hydrogen pioneer GeoPura has completed a £56 million investment round that it said will help accelerate the UK’s adoption of green hydrogen by expanding production capacity and increasing the deployment of its power generation technology.
The UK Infrastructure Bank committed £30 million to the round, led by a follow-on investment from Barclays Sustainable Impact Capital and supported by GeoPura’s existing investors: GM Ventures, SWEN Capital Partners, and Siemens Energy Ventures.
The financing will directly increase the manufacture and supply of GeoPura’s Hydrogen Power Units (HPUs) at its Newcastle facility, which replace traditional diesel generators and emit zero harmful emissions.
The HPUs have already been successfully supplied to a wide range of high-profile customers including the Ministry of Defence, Balfour Beatty, National Grid and the BBC.
In addition, GeoPura will expand its production of green hydrogen, helping to transform an old coal power station site as part of the HyMarnham Power Green Hydrogen project in the East Midlands.
With hubs in Nottingham, Matlock, Sheffield and Newcastle in the UK, GeoPura is mass manufacturing HPUs in collaboration with partner Siemens Energy and plans to deploy a fleet of over 3,600 HPUs by 2033, providing clean, low-cost reliable power, displacing more than ten million tonnes of CO2 emissions through their operation over their life.
GeoPura CEO Andrew Cunningham said: “Having experienced the hottest year on record in 2023 with the negative impact of extreme weather events increasing globally every month, our need to combat climate change has never been more urgent.
“Now, more than ever, we need to act and provide industry with proven and effective solutions to achieve their Net Zero goals as well as allowing them to reduce their liability for destroying air quality with particulates, NOx and other harmful emissions from traditional generators.
“The challenge of replacing the estimated 300 billion US dollar installed base of highly polluting diesel generators over the next 10 years is significant and requires the scale and commitment that investors such as UKIB and our existing highly supportive shareholders and partners provide.
“We’re delighted to be taking this next step and it’s brilliant to be working together to make a real, tangible impact today by reducing filthy engine emissions, providing better air quality for us all.”
UK Infrastructure Bank CEO John Flint said: “Our investment in GeoPura is another example of our problem solving in action.
“By removing barriers to investment in the hydrogen sector – a critical nascent market on the route to net zero – we are creating a sustainable platform from which to finance additional green hydrogen projects in the near future.”
James Ferrier, Director, Principal Investments, Barclays Sustainable Impact Capital added: “Scaling new climate technologies – like GeoPura’s HPUs – will be critical in decarbonising the UK economy, as sectors with no existing viable alternatives to fossil fuels look to our home-grown entrepreneurs for innovative solutions to help them cut emissions.
“GeoPura’s work is incredibly exciting in that they are helping to accelerate the UK’s adoption of green hydrogen by addressing supply and demand simultaneously, all the while building the workforce of the future. We look forward to seeing GeoPura’s growth over the coming years.”
This investment comes on the heels of a highly successful year for GeoPura, during which the company secured multiple new customers, further expanded its reach into Europe, and launched new HPU-based products to strengthen its portfolio, meeting customer needs for more mobile power solutions.
2023 also saw GeoPura more than double its headcount and recruit its first hydrogen apprentices, investing in green skills in the Northeast of England and throughout the UK, while supporting the global deployment of the technology.
It is anticipated that 400 jobs will be created by GeoPura within the hydrogen sector over the next five years to facilitate the company’s’ planned growth.
The latest round of funding follows a £36 million raise 12 months prior, underscoring the ongoing confidence and commitment of existing investors and highlighting the promising future potential of the technology in a rapidly growing market.
Barclays’ Energy Transition Group, a group within the Investment Bank of Barclays Bank PLC, acted as financial adviser and assisted GeoPura in respect of the UK Infrastructure Bank’s investment.