The opening of the pilot plant marks the debut of Cemvita’s eCO2 business as a wholly owned subsidiary. Photo courtesy of Cemvita

Cleantech startup Cemvita has set up a pilot plant in its hometown of Houston to develop technology for converting carbon emissions as feedstock to make products like fertilizer, plastics, methane, and fuel.

The opening of the pilot plant marks the debut of Cemvita’s eCO2 business as a wholly owned subsidiary. The term eCO2 refers to equivalent carbon dioxide, or a way to measure a combination of greenhouse gases such as carbon dioxide and methane.

With a capacity of more than 14,000 gallons, the plant is producing eCO2 oil, an alternative to soybean oil. The company already is shipping samples of eCO2 products to customers, including renewable-fuel companies and plastics manufacturers.

Cemvita says the biofuel industry is facing feedstock shortages and price fluctuations. Biofuel feedstocks produce starches or sugars that can be converted to produce ethanol, while others produce oil that can be used in biodiesel production, according to the Sustainable Agriculture Research & Education (SARE) program.

“Traditional biofuels, including renewable diesel and sustainable aviation fuel, have relied on oils derived from crops, such as soybean and corn, as well as recycled vegetable oils,” Cemvita says. “As demand grows for petroleum-free alternatives, feedstock is in short supply and must compete with food markets. Crops of soybeans, sugar, and corn use huge swaths of land, and the raw materials require extensive refining — two factors that impede the processes from being sustainable.”

By contrast, eCO2 plants like Cemvita’s can supply feedstock production with minimal land and electricity requirements, and without relying on hydrogen or sunlight, the company says. Furthermore, the output of eCO2 plants is designed to carbon-negative, not just carbon-neutral.

Cemvita’s eCO2 biomanufacturing platform uses engineered microbes that absorb and convert carbon dioxide into feedstocks and finished products.

“The energy transition requires completely new, cost-effective approaches for heavy industry,” Charlie Nelson, chief operating officer of Cemvita, says in a news release. “We built this next-generation pilot plant in response to strong demand from … partners who are actively seeking sustainable solutions to the … feedstock shortage.”

Brother-and-sister team Moji and Tara Karimi founded Cemvita in 2017.

Investors in Cemvita include Oxy Low Carbon Ventures, an investment arm of Houston-based Occidental Petroleum, as well as BHP Group, Mitsubishi, and United Airlines Ventures.

Oxy Low Carbon Ventures and United Airlines Ventures are financing Cemvita’s work on sustainable jet fuel. United Airlines operates a hub at George Bush Intercontinental Airport Houston.

Veronica Wu, founder of First Bight Ventures, joins the Houston Innovators Podcast to outline Houston's opportunities in synthetic biology and biomanufacturing. Photo courtesy

Investor advocates now is the time to position Houston as a leading biomanufacturing hub

houston innovators podcast episode 178

Houston has all the ingredients to be a successful synthetic biology hub, says Veronica Wu. She believes so strongly in this that she relocated to Houston from Silicon Valley just over a year ago to start a venture capital firm dedicated to the field. Since then, she's doubled down on her passion for Houston leading in biotech — especially when it comes to one uniquely Houston opportunity: biomanufacturing.

While Houston's health care innovation scene is actively deploying synthetic biology applications, Wu points to Houston-based Solugen, a plant-based chemical producer, as an example of what Houston has to offer at-scale industrial biomanufacturing. Houston has the workforce and the physical space available for more of these types of biomanufacturing plants, which have a huge potential to move the needle on reducing carbon emissions.

"This is really fundamental technology that's going to change the paradigm and whole dialogue of how we are making a significant impact in reducing a carbon footprint and improving sustainability," says Wu, founder and managing partner of First Bight Ventures, on the Houston Innovators Podcast.

Several aspects — government funding, corporate interest, advances in technology — have converged to make it an ideal time for synthetic biology innovators and investors, Wu explains on the show, and she has an idea of what Houston needs to secure its spot as a leader in the space: The BioWell.

First introduced at a Houston Tech Rodeo event at the Texas Medical Center's Innovation Factory, The BioWell is a public-private partnership that aims to provide access to pilot and lab space, mentorship and programming, and more support that biomanufacturing innovators critically need.

"The way we envision The BioWell is it will provide a holistic, curated support for startups to be able to get across the Valley of Death," Wu says, explaining that startups transitioning from research and development into commercialization need extra support. The BioWell will provide that, as well as allow more engagement from corporations, investors, and other players.

Now that her plans for The BioWell have been announced, Wu is looking for those who want to be a part of it.

She shares more about her mission and what's next for First Bight Ventures on the podcast. Listen to the interview below — or wherever you stream your podcasts — and subscribe for weekly episodes.

San Diego-based rBIO moved to Houston to take advantage of the growing ecosystem of biomanufacturing and synthetic biology. Photo via Getty Images

California-founded biotech startup relocates to join Houston's emerging bioeconomy

new to hou

Cameron Owen had an idea for a synthetic biology application, and he pitched it to a handful of postdoctoral programs. When he received the feedback that he didn't have enough research experience, he decided to launch a startup based in San Diego around his idea. He figured that he'd either get the experience he needed to re-apply, or he'd create a viable company.

After three years of research and development, Owen's path seems to have taken him down the latter of those two options, and he moved his viable company, rBIO, to Houston — a twist he didn't see coming.

“Houston was not on my radar until about a year and a half ago,” Owen says, explaining that he thought of Houston as a leading health care hub, but the coasts still had an edge when it came to what he was doing. “San Diego and the Boston area are the two big biotech and life science hubs.”

But when he visited the Bayou City in December of 2021, he says he saw first hand that something new was happening.

“Companies from California like us and the coastal areas were converging here in Houston and creating this new type of bioeconomy,” he tells InnovationMap.

Owen moved to Houston last year, but rBIO still has an academic partner in Washington University in St. Louis and a clinical research organization it's working with too, so he admits rBIO's local footprint is relatively small — but not for long.

"When we look to want to get into manufacturing, we definitely want to build something here in Houston," he says. "We’re just not to that point as a company."

In terms of the stage rBIO is in now, Owen says the company is coming out of R&D and into clinical studies. He says rBIO has plans to fundraise and is meeting with potential partners that will help his company scale and build out a facility.

With the help of its CRO partner, rBIO has two ongoing clinical projects — with a third coming next month. Owen says right now rBIO is targeting the pharmaceutical industry’s biologics sector — these are drugs our bodies make naturally, like insulin. About 12 percent of the population in the United States has diabetes, which translates to almost 40 million people. The demand for insulin is high, and rBIO has a way to create it — and at 30 percent less cost.

This is just the tip of the iceberg — the world of synthetic biology application is endless.

“Now that we can design and manipulate biology in ways we’ve never been able to before,” Owen says, "we’re really only limited by our own imagination.”

Synthetic biology is a field of science that involves programing biology to create and redesign natural elements. While it sounds like science fiction, Owen compares it to any other type of technology.

“Biology really is a type of software,” he says. “Phones and computers at their core run on 1s and 0s. In biology, it’s kind of the same thing, but instead of two letters, it’s four — A, C, T, and G.”

“The cool thing about biology is the software builds the hardware,” he continues. “You put that code in there and the biology builds in and of itself.”

Owen says the industry of synthetic biology has been rising in popularity for years, but the technology has only recently caught up.

“We’re exploring a brave new world — there’s no doubt about that,” Owen says.

The new development will allow PackGene to nearly triple its Houston-area workforce by the end of the year when the facility is expected to be completed. Photo courtesy of PackGene

Gene therapy company breaks ground on Houston biomanufacturing facility

new to hou

China-based and Massachusetts-founded PackGene Biotech Inc. broke ground last week on a new 25,000-square-foot biomanufacturing and processing facility just south of NRG Park.

The full-service operations center is slated to include labs, manufacturing clean rooms, warehouse, and office space. According to a release from the company, PackGene already employs about 20 people at an existing space in Houston. The new development will allow the company to nearly triple its Houston-area workforce by the end of the year when the facility is expected to be completed.

E&K Building Group is providing design-build services on the project, and the architect of record is Perkins + Will.

"These capabilities will enable us to serve our U.S. customers better and, importantly, to help bring life-saving therapies to patients faster, more reliably, and more cost- effectively. With this, we are making great strides in advancing our mission of 'making gene therapy affordable'," LiYing Yang, PackGene's CTO, says in a statement.

PackGene, which also has facilities in Shanghai and Boston, is a leader in adeno-associated virus (AAV) research, development and manufacturing. It works to accelerate gene therapy product development and works with customers to support gene therapy programs from early-stage therapeutic discovery to clinical trials.

Late last year, a report showed that Houston was expected to see growth in life sciences development, including in the gene therapy manufacturing field. The Texas Medical Center also revealed its plans for the Bioport.

In light of the report, the GHP recommended a few action items, including "accelerating workforce development programs to produce new graduates in key life sciences occupations, refining Houston’s marketing messages to highlight the region’s existing life science assets and activities within life science R&D and manufacturing," per the report. Additionally, the GHP identified the need to develop a shared regional strategy to attract and retain leading life sciences companies.

About a month later, San Jacinto College in Houston announced that it would launch a new College Biotechnology Center at Generation Park in Northeast Houston. The college said the program would offer a specific curriculum in cell and gene therapy as well as hands-on experience in a pilot-scale bioprocessing center.
Moji Karimi joins InnovationMap to discuss how Cemvita Factory has deployed its recent investment funding and what's next for the company and Houston as a whole when it comes to biomanufacturing. Photo courtesy of Cemvita

Energy transition innovator shares how Houston could be a biomanufacturing hub​

Q&A

Moji Karimi and his sister Tara had the idea for a company that could transform carbon emissions and mitigate new damage to the environment. Only, it seems, they were a bit ahead of their time.

Houston-based Cemvita Factory, founded in 2017, uses synthetic biology and take carbon emissions and transform them into industrial chemicals. However, it's only been since recently that the conversation on climate change mitigation has focused on carbon utilization.

"I think people are realizing more about the importance of really focusing on carbon capture and utilization because fossil fuels are gonna be here, whether we like it or not, for a long time, so the best thing we could do is to find ways to decarbonize them," Moji Karimi, co-founder and CEO, tells InnovationMap. "There's been this focus around carbon capture and storage, and I think the next awakening is going to be utilization."

Karimi joins InnovationMap for a Q&A about what the next year has in store for Cemvita and why Houston has some of the ingredients to become a hub for this type of innovation.

InnovationMap: You recently closed your series A round. What does that mean for Cemvita and what’s next when it comes to your funding journey?

Moji Karimi: With the series A in the bank, we started allocating that to expand the team and the footprint of our operations in Texas Technology Park off Kirby. This is where we had our initial lab and office space, which was about 6,000 square feet. And now we're expanding with an additional 3,000 square feet just for the office space and turning our initial 6,000 square feet into a big lab to support some of the new projects we're onboarding.

Another big part of that use of funds was establishing our Denver operations for biomining. That office went from having one person to a team of six. Our facility there is about 5,500 square feet with lab and office space to support new projects that we're getting.

The rest of the series A will be utilized for the new space and new people to accomplish the goals that we have for 2022. Toward the end of 2022, we'll launch the campaign for our series B.

IM: With the expanded offices and growing team, what has that meant in terms of Cemvita's capabilities?

MK: We have established our biofoundry, which is basically the engine for what we do. It's where we engineer the microbes and where we do a lot of the screening — small scale testing and fermentation and where we streamline our scale up process. What that allows us to do is, when we take on new projects, more efficiently go from engineering the microbe and doing tests in a test tube, to testing from one liter, 10 liters, 100 liters, and then even 1,000 liters all within our facilities.

Part of what's unique about Cemvita is to be able to do this scale up. A lot of our competitors engineer the microbes and then they just give the licensing to the client. For our customers, we need to also do their scale up. We have the right setup for the products that we have right now, the main one being bio ethylene, and the big milestone for this year is to have that pilot plant and to get to that one ton per month of ethylene production.

IM: You've recently grown your team significantly — are you still hiring?

MK: We're about 35 people right now. The last time we talked, we're like 15 or 20 or something. That's full-time people and there's another 10 to 15 contractors and part-timers as well. I think before our series B, we'll probably add another 10 to 15 people, but then we'll slow down before the series B. We have about 28 to 30 people in Houston and the other five or six are in Denver.

We are hiring for the biofoundry — so, microbiologists, molecular biologists, bioinformatics. Outside of the biofoundry, we're hiring for business development, process engineers, commercialization, and technical economic assessment. We're gonna have a position for an analyst coming up. On the Denver team, we have positions for about the same skill sets.

IM: 2021 seemed to be a year of great accomplishment on a national scale, from recently being a finalist in the COP26 Pitch Battle to winning last summer’s GS Beyond Energy Innovation Challenge. What’s 2022 going to be defined by for you?

MK: I think 2021 was a great year for us, even though it did slow us down a little bit in COVID and not being able to get deals done faster, so took a bit longer than expected.

Now going into 2022, what I characterize where we are right right now is the end of the beginning. From here on is really the growth chapter. We're done with the early stage stuff, and we are starting to graduate out of being a startup and into a real company. This year we have a lot of goals to accomplish, including our pilot with Oxy. We also are going to be more active in working with the Department of Energy to get some grants and expand our customer base.

We've been, in some ways, selective because, you know, we're not a B-to-C company, so we don't need 200 customers. We just need a few who are both innovative companies that are truly thinking about 2030 and 2050, but also those who are a good fit for our technology and scale up. This year, we're also gonna focus heavily on the IP for a lot of these applications that we're focused on are still pretty nascent. We want to make sure that we protect IP, especially now that we have good amount of resources from our series A.

In February, we're launching a new solution for hydrogen during the 2nd American Hydrogen Forum in Houston. That's going to be really exciting. We're also doing a lot internally in terms of how our lab runs. We're developing processes for being more efficient in candidate screening methodology, and also for high throughput sequencing.

IM: When we originally spoke years ago in the early days of both Cemvita and InnovationMap, one of the things I remember talking to you about is how nascent the CO2 utilization industry was. How has that changed over the years and what does that evolution mean for you?

MK: That's a really good question, especially the way that you framed it. I think it's been really interesting the past two years. The energy transition went from people thinking that solar and wind are going to solve all these problems to then having a bit of a reality check. Throughout last year, people have realized, "oh, I guess we need fossil fuels anyways. We need to find ways to work with the oil and gas industry." At the end of the day, this is not the "energy switch," right? This is the "energy transition." Alongside that, there's been more of an education around the role that nuclear and geothermal are going to play. People are like a lot more open minded, especially for nuclear just over the past few months.

I think people are realizing more about the importance of really focusing on carbon capture and utilization because fossil fuels are gonna be here, whether we like it or not, for a long time, so the best thing we could do is to find ways to decarbonize them. There's been this focus around carbon capture and storage, and I think the next awakening is going to be utilization. At the end of the day, these companies are spending money to store CO2 — they don't make money doing that. Whereas if you could figure out how to use CO2 as feedstock and turn that into a valuable chemical, they could sell it and have that revenue, and also close that carbon loop. That's really the, the end goal and holy grail. That's been our vision and mission.

I think it's true by your observation that we were a bit mistimed in the market. We were a bit ahead of what people were asking for, but then again, that's part of having a vision.

IM: One thing you've been passionate about is establishing Houston as a biomining and biomanufacturing hub. Why does Houston make sense for this type of hub and what exactly needs to occur to make it happen?

MK: Houston has its Climate Action Plan that the city published, and just think about how many chemical plants and refineries that we have. Plus, we already know that a big part of the future of chemical manufacturing is going to be biomanufacturing. Chemical reactions use so much heat and electricity, and that's why we have high scope of emissions. A lot of these processes are going to be replaced by biomanufacturing and using microbes to make the chemicals — and microbes do that under ambient pressure temperature. It's more sustainable. That's really what Solugen is doing. You would think that Lyondellbasell, Chevron, Exxon, Oxy and more would all sit together say, "Hey guys, what are we doing about this? How could we start some initiatives for this?" Rice University has a program around synthetic biology and University of Houston has a lot of bioprocessing. But what happens is those guys graduate and then they leave Houston. They go find a job in Boston. I think that's something we have to work on that on for companies to think about their strategic direction and be involved with the city, with the academic institutions, and with the startups like us.

For chemicals, Houston plays a big role. The way to decarbonize, in part, is by biomanufacturing. It does make sense for Houston to be more proactive about that.

------

This conversation has been edited for brevity and clarity.

Ad Placement 300x100
Ad Placement 300x600

CultureMap Emails are Awesome

Houston health care institution secures $100M for expansion, shares renderings

fresh funding

Baylor College of Medicine has collected $100 million toward its $150 million fundraising goal for the college’s planned Lillie and Roy Cullen Tower.

The $100 million in gifts include:

  • A total of $30 million from The Cullen Foundation, The Cullen Trust for Health Care, and The Cullen Trust for Higher Education.
  • $12 million from the DeBakey Medical Foundation
  • $10 million from the Huffington Foundation
  • More than $45 million from members of Baylor’s Board of Trustees and other community donors, including the M.D. Anderson Foundation, the Albert and Margaret Alkek Foundation, and The Elkins Foundation.

“The Cullen Trust for Health Care is very honored to support this building along with The Cullen Foundation and The Cullen Trust for Higher Education,” Cullen Geiselman Muse, chair of The Cullen Trust for Health Care, says in a news release. “We cannot wait to see what new beginnings will come from inside the Lillie and Roy Cullen Tower.”

The Baylor campus is next to Texas Medical Center’s Helix Park, a 37-acre project. Rendering courtesy of BCM

The Lillie and Roy Cullen Tower is set to open in 2026. The 503,000-square-foot tower is the first phase of Baylor’s planned Health Sciences Park, an 800,000-square-foot project that will feature medical education and research adjacent to patient care at Baylor Medicine and Baylor St. Luke’s Medical Center on the McNair Campus.

The Baylor campus is next to Texas Medical Center’s Helix Park, a 37-acre project that will support healthcare, life sciences, and business ventures. Baylor is the anchor tenant in the first building being constructed at Helix Park.

“To really change the future of health, we need a space that facilitates the future,” says Dr. Paul Klotman, president, CEO, and executive dean of Baylor. “We need to have a great building to recruit great talent. Having a place where our clinical programs are located, where our data scientists are, next to a biotech development center, and having our medical students all integrated into that environment will allow them to be ready in the future for where healthcare is going.”

In the 1940s, Lillie and Roy Cullen and the M.D. Anderson Foundation were instrumental in establishing the Texas Medical Center, which is now the world’s largest medical complex.

“Baylor is the place it is today because of philanthropy,” Klotman says. “The Cullen family, the M.D. Anderson Foundation, and the Albert and Margaret Alkek Foundation have been some of Baylor’s most devoted champions, which has enabled Baylor to mold generations of exceptional health sciences professionals. It is fitting that history is repeating itself with support for this state-of-the-art education building.”

The Cullen Foundation donated $30 million to the project. Rendering courtesy of BCM

Texas angel investor group expands to make impact in Houston

angels flying in

An angel investment network founded in Austin has announced its entrance into the Houston market.

SWAN Impact Network, which focuses on funding early-stage, impact-driven startups, announced that Houston will be its next market expansion. Founded in 2016, the organization expanded to Dallas two years ago. Now, SWAN is hitting the Bayou City and is actively looking for potential angel investors to join its network.

"Houston is the logical place for us to go because a lot of our deep expertise we developed is grounded around life science, health and wellness, and environmental," Bob Bridge, executive director of SWAN, tells InnovationMap. "There's a lot of people in Houston in the spaces where we've spent most of our time and money."

SWAN, originally founded as the Southwest Angel Network, has grown from several investors to over 80 across Texas. The investors, who meet virtually, range from former entrepreneurs, seasoned investors, and first time angels.

Valerie Tompson, who's serving as the Houston market lead, is an example of someone who was drawn to SWAN's mission, even though she had never invested in startups before.

"I was intrigued by the idea of being able to invest in companies that are making a difference in the world — and it's not a charitable donation," she says, explaining that joining a network allowed for her to learn the ropes and understand the process.

Bridge says they are looking to add 20 Houston investors over the next year. He says they are also interested in adding on volunteer analysts to help in the diligence work of the group. Whether you're a frequent investor or just interested in learning more, SWAN's door is open.

"We encourage new angels not to invest at first — go with us for a ride for six months, learn how we think about companies, see a bunch of companies pitch," Bridge says. "Once they start to get the comfort level up, then they can start making investors. We're very much about helping new angels get comfortable."

Currently, SWAN has two Houston startups — Scriptly Rx and Eisana — in its investment portfolio. In addition to the investor network, SWAN, a nonprofit organization, also has its SWAN Impact Philanthropic Fund that also invests in impact-driven businesses.

SWAN is hosting an event at the Ion on Wednesday, May 31, at 6 pm to celebrate its new Houston expansion, as well as to host a panel discussing impact investing. The event is free to attend, and registration is open.

Valerie Tompson, Houston chapter lead, and Bob Bridge, executive director, will be at the May 31 event. Photos courtesy of SWAN