show me the money
Chevron's Houston-based venture arm launches $300M fund focusing on low-carbon tech
Chevron Corp.'s investment arm has launched a $300 million fund that will focus on low-carbon technology.
Chevron Technology Ventures LLC's Future Energy Fund II builds on the success of the first Future Energy Fund, which kicked off in 2018 and invested in more than 10 companies specializing in niches like carbon capture, emerging mobility, and energy storage. The initial fund contained $100 million.
"The new fund will focus on innovation likely to play a critical role in the future energy system in industrial decarbonization, emerging mobility, energy decentralization, and the growing circular carbon economy," Houston-based Chevron Technology Ventures says in a February 25 release.
Future Energy Fund II is the eighth venture fund created by Chevron Technology Ventures since its establishment in 1999. In 2019, the investment arm started a $90 million fund to invest in startups that can help accelerate the oil and gas business of San Ramon, California-based Chevron.
Chevron Technology Ventures' portfolio for low-carbon technology comprises a dozen companies: Blue Planet, Carbon Clean, Carbon Engineering, ChargePoint, Eavor, Infinitum Electric, Natron Energy, Spear Power Systems, Svante, Voyage, Vutility, and Zap Energy.
Only one of the companies in the low-carbon portfolio is based in Texas — Infinitum Electric, located in Round Rock. However, Chevron Technology Ventures is active in the Houston entrepreneurial ecosystem as a participant in the Rice Alliance for Technology and Entrepreneurship, Greentown Labs, The Cannon, and The Ion. Chevron's investment arm was the first tenant at The Ion.
In an August 2020 interview with InnovationMap, Barbara Burger, president of Chevron Technology Ventures, said the investment arm places a priority on helping advance entrepreneurship in Houston. "It is our home court," she said.
Burger said that for Houston to succeed in energy innovation, companies, government agencies, investment firms, and universities must rally around the city.
"We're doing a lot of things right — almost in spite of the world being crazy. … I think constancy of purpose is important," she said. "Despite the headwinds from COVID and despite the headwinds that industries are facing, we need to stay committed to that."
Burger noted that innovation "is not a straight path."
"We've got to plant a bunch of these seeds and see how they grow — we need to water them every day, and then I think we'll have a beautiful garden," she said.