The six finalists for the sustainability category for the 2023 Houston Innovation Awards weigh in on their challenges overcome. Photos courtesy

Six Houston-area sustainability startups have been named finalists in the 2023 Houston Innovation Awards, but they didn't achieve this recognition — as well as see success for their businesses — without any obstacles.

The finalists were asked what their biggest challenges have been. From funding to market adoption, the sustainability companies have had to overcome major obstacles to continue to develop their businesses.

The awards program — hosted by InnovationMap, and Houston Exponential — will name its winners on November 8 at the Houston Innovation Awards. The program was established to honor the best and brightest companies and individuals from the city's innovation community. Eighteen energy startups were named as finalists across all categories, but the following responses come from the finalists in the sustainability category specifically.

    Click here to secure your tickets to see who wins.

    1. Securing a commercial pilot

    "As an early-stage clean energy developer, we struggled to convince key suppliers to work on our commercial pilot project. Suppliers were skeptical of our unproven technology and, given limited inventory from COVID, preferred to prioritize larger clients. We overcame this challenge by bringing on our top suppliers as strategic investors. With a long-term equity stake in Fervo, leading oilfield services companies were willing to provide Fervo with needed drilling rigs, frack crews, pumps, and other equipment." — Tim Latimer, founder and CEO of Fervo Energy

    2. Finding funding

    "Securing funding in Houston as a solo cleantech startup founder and an immigrant with no network. Overcome that by adopting a milestone-based fundraising approach and establishing credibility through accelerator/incubator programs." — Anas Al Kassas, CEO and founder of INOVUES

    "The biggest challenge has been finding funding. Most investors are looking towards software development companies as the capital costs are low in case of a risk. Geothermal costs are high, but it is physical technology that needs to be implemented to safety transition the energy grid to reliable, green power." — Cindy Taff, CEO of Sage Geosystems

    3. Market adoption

    "Market adoption by convincing partners and government about WHP as a solution, which is resource-intensive. Making strides by finding the correct contacts to educate." — Janice Tran, CEO and co-founder of Kanin Energy

    "We are creating a brand new financial instrument at the intersection of carbon markets and power markets, both of which are complicated and esoteric. Our biggest challenge has been the cold-start problem associated with launching a new product that has effectively no adoption. We tackled this problem by leading the Energy Storage Solutions Consortium (a group of corporates and battery developers looking for sustainability solutions in the power space), which has opened up access to customers on both sides of our marketplace. We have also leveraged our deep networks within corporate power procurement and energy storage development to talk to key decision-makers at innovative companies with aggressive climate goals to become early adopters of our products and services." — Emma Konet, CTO and co-founder of Tierra Climate

    4. Long scale timelines

    "Scaling and commercializing industrial technologies takes time. We realized this early on and designed the eXERO technology to be scalable from the onset. We developed the technology at the nexus of traditional electrolysis and conventional gas processing, taking the best of both worlds while avoiding their main pitfalls." — Claus Nussgruber, CEO of Utility Global

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    This article originally ran on EnergyCapital.

    Here are five events you have to check out if you're interested in offshore innovation. Zukiman Mohamad/Pexels

    6 can't-miss innovation events at the 2019 Houston Offshore Technology Conference

    Where to be at OTC

    It's the 50th year of the Houston Offshore Technology Conference — and a lot has changed about the program since 1969.

    "In 1969 at OTC, you could see the suit we'd put humans in to go under water," Wafik Beydoun, chairman of the OTC board of directors tells InnovationMap. "Now, you can see the robots that explore the seafloor."

    OTC, which takes place at NRG Park from May 6 to 9, is separated by a few different tracks. While there's no innovation track specifically, we've identified, with Beydoun's help, five different events to be sure to make if you're looking for startup involvement and innovative discussions.

    May 5 — Data Gumbo's Pre-Party

    Houston-based blockchain company, Data Gumbo, wants to help you start out OTC week right with a crawfish boil. Network outside of NRG Park — and with a beer in hand.

    Details: The event is from 5 to 8 pm on Sunday, May 5, at The Cannon (1336 Brittmoore Rd). Learn more.

    May 6 — The Rice Alliance Startup Roundup

    Fifty promising energy technology companies will present to potential investors and OTC attendees. All of the startups have initial funding under their belts and are seeking their A, B, C, or later rounds with technology validation, field trial experience, and/or initial company revenue.

    Details: The event is from 2 to 4:30 pm on Monday, May 6, at NRG Arena, level 2 in the Stockman's Club. Learn more.

    May 6 — OTC Spotlight on New Technology® Award Program

    Check out the latest and greatest from offshore tech at this awards presentation. Hey startups, here's the tech O&G companies care about.

    Details: The event is from 4 to 5 pm on Monday, May 6, at NRG Center, level 1, Rotunda Area. Learn more.

    May 6-8 — OTC University R&D Showcase 

    The OTC University R&D Showcase provides universities the opportunity to share with attendees their current and planned R&D projects that are relevant to offshore technology and bend the ear of over 60,000 professionals.

    Details: The event is from Monday, May 6, to Wednesday, May 8, at NRG Center, level 2, outside room 600. Learn more.

    May 8 — Women in the Industry Sharing Experiences (WISE): Diversity Drives Innovation: Start the Conversation

    Samina Farid leads the discussion on diversity, inclusion, and innovation.

    Details: The event is from 7:30 to 9 am on Wednesday, May 8. Location not indicated. Learn more.

    May 8 — Young Professionals: The Tech Young Professionals Need to Know About

    This young professional event is inclusive, information-rich, and inspirational. The event consists of a panel discussion where you have the opportunity to learn from successful industry leaders about the future of oil and gas technology and networking where you can enjoy a game of networking Bingo and find your future business partner, new best friend, or both.

    Details: The event is from 4 to 6 pm on Wednesday, May 8, in room 202. Learn more.

    Bonus — Week-long exhibition 

    Stop by the exhibit all week long to see examples of new offshore technology from leading companies. Learn more.

    The Agora track of CERAWeek focuses on all things innovation in energy, from panels to pods and even "houses" like the one pictured. CERAWeek/Facebook

    5 can't-miss innovation events at CERAWeek featuring Houston speakers

    Agora track

    Hundreds of energy experts, C-level executives, diplomats, members of royal families, and more are descending upon Houston for the 2019 CERAWeek by IHS Markit. For the second year, the conference will have its Agora track, focused on innovation within the energy sector. The Agora track's events — thought-provoking panels, intimate pods, and corporate-hosted "houses" — will take place in various locations in the George R. Brown Convention Center.

    Undoubtedly, many of the panels will have Houston representatives considering Houston's dominance in the industry, but here are five innovation-focused events you can't miss during CERAWeek that feature Houstonians.

    March 11: Oil & Gas: Realizing value from digital transformation

    In oil and gas, money talks, but justifying the value of integrating new technology or devices can be tricky and hard to navigate. Houston-based Justin Rounce of TechnipFMC and Michelle Pfluger of Chevron Corp. are among the panelists who will attempt to shed light on best practices and new ways of thinking.

    Catch the panel at 4:30 pm on Monday, March 11. Learn more.

    March 12: Sea Change: Autonomy, automation, offshore & the ocean

    Offshore oil and gas rigs are a hotbed for new innovations and technologies — especially when it comes to automation. Two Houstonians join the panel that will discuss emerging tech in offshore E&P — Diana Grauer, TechnipFMC director, External Technology Engagement – North America, and Nicolaus Radford, Houston Mechatronics chief technology officer.

    The event takes place at 9:15 am on Tuesday, March 12. Learn more.

    March 12: Digital Ledgers: Oil & gas supply chain

    Let's talk blockchain integration in oil and gas. The technology has a lot of potential in several aspects of the supply chain, but this panel — which features Andrew Bruce of Houston-based Data Gumbo — will weigh the pros and cons of the technology as well as go over the initial results of early adaptors.

    The discussion begins on Tuesday, March 12, at 2.45 pm. Learn more.

    March 12: Models of Innovation: Today & tomorrow

    Inarguably, the energy's innovation ecosystem differs from that of other industries, but to what end? A panel of professionals — including Houston-based Chevron Technology Ventures President Barbara Burger — will debate the challenges within innovation in energy, innovative corporations, and the best strategies moving forward.

    The panel is on Tuesday, March 12, at 2.45 pm. Learn more.

    March 14: Urban Resilience in a Changing Climate

    You can't have an energy-focused conference without addressing the elephant in the room that is climate change, and Houston-based Sunova CEO John Berger and City of Houston Chief Sustainability Officer Lara Cottingham are the right people to do it.

    The panel will take place on Thursday, March 14, at 10:30 am. Learn more.

    Can't-miss pods

    While panels focus on a challenging topic of discussion, the Agora Pods are platforms for companies to showcase new tech or developments or present their successes. Here are some pods hosted by Houston companies you shouldn't miss.

    Penrose's advance process control software can increase production by 10 to 15 percent in downstream oil and gas refineries. Pexels

    Houston oil and gas software company is increasing downstream productivity while lowering emissions

    Efficient energy

    In the next 30 years, the world will need 30 percent more energy due to population growth. While energy production will increase to keep up with demand, there is an increasing concern with the impact on the environment.

    "How do you produce more energy without emission increases or more air quality pollution?" asks Erdin Guma, CFO of Penrose Technologies.

    According to Guma, Penrose is uniquely well-suited to solve these serious challenges with its advanced process control technology increases the productivity of a chemical plant or refinery by 10 to 15 percent. The increase in productivity means the plants use less fuel to produce the energy. The plant then releases fewer emissions while producing the same amount of energy.

    The technology itself is an automation software — similar to autonomous software on a plane. The autonomous operation increases downstream productivity, which brings about the energy efficiency.

    "Our autopilot software (like a human operator) can manage and foresee any unexpected disturbances in the plant," Guma explains. "The achievements that the Penrose technology has brought about seemed impossible to chemical and process engineers in the refinery space a few years ago."

    Penrose recently signed its first project with one of the biggest downstream firms in the world. With a network of refineries and petrochemical plants around the world, this contract could lead to a global roll out of the Penrose technology.

    A ground-breaking technology for O&G
    The word "Penrose" is taken from a penrose triangle, an impossible geometrical object. Guma explained that the energy efficiency brought about from their software seemed impossible at first. Penrose has been able to reduce emissions inside plants and refineries by 15 to 20 percent while keeping production at the same level.

    In 2007, a chief engineer working at a major oil and gas processing plant in Houston procured the technology for one of his plants. When the engineer saw how well the technology worked, he founded Penrose Technologies in 2017 with Tom Senyard, CTO at Penrose, who originally developed the technology.

    After starting the company at the end of 2007, Penrose joined Station Houston. Guma said that by becoming a member, Penrose was able to plug into a large refining and petrochemical network.

    "Penrose Technologies is completely self-financed. We worked with [Station Houston] as we finalized the software to find out what potential customers thought of the product. For us, Station Houston has been a great sounding board to potential investors in the company," Guma says.

    Guma also explained that while there has been an uptick in innovation in the last few years, the refining and petrochemical business is traditional a slow mover in the uptake of innovation.

    "I think more major oil and gas firms are becoming attune to startups and the innovation solutions they offer," Guma says.

    He went on to explain that the biggest challenge Penrose faces is perception. Since the software allows plant operators and engineers at the plant to be hands off in the processes, there is a concern with reliability. For industry insiders, any viable product must be reliable even when process conditions at the plant change, which can happen often.

    "The Penrose software is maximum hand off control from operators, and the reliability of our software gives us a huge edge in other competing products that can be unreliable," Guma says.

    Future growth on a global market
    Given the pressing need for more environmentally sustainable energy production, new technology will be adopted in the oil and gas energy. As Guma explains it, there will be no way to continue producing energy as it's been produced for decades because the negative effects of air pollution and emissions will be too severe — particularly in the areas where refineries operate.

    "We see the global market for this type of technology as severely underserved," Guma says. "It's a big and sizable market, and I think we can reach a $2 to $3 billion valuation in the next five years."

    With a core team of six employees in Houston, Penrose's software is now commercially available, and the company is in full growth mode at this point. The software can be distributed directly to customers, but they are working to develop distribution with major engineering companies as well.

    Guma is grateful to be in an environment conducive to energy start-ups. He sees Houston as a major advantage given its proximity to the energy sector.

    "No technology rises up in a vacuum. Any new technology needs a good ecosystem to come from," says Guma. "Houston was that ecosystem for Penrose."

    The Oil and Gas Startups Podcast talks to local entrepreneurs who are shaking up the industry. Pexels

    Growing Houston podcast is bridging the gap between energy and tech

    On air

    Collin McLelland and Jacob Corley want you to know that Houston has a whole lot of innovation in the oil and gas industry, and they want to tell you about it.

    The two energy professionals launched the Oil and Gas Startups Podcast a few months ago to talk to energy entrepreneurs about oil and gas technology, leadership, and innovation.

    "Jake and I really had a mission to shine a light on the oil and gas industry and what was happening in the technology and startup space," McLelland says. "There's a lot of exciting things going on, but not really a medium of content to see it."

    The duo interviews a leader or founder of an energy startup — notable ones include Data Gumbo, Blue Bear Capital, and OAG Analytics — on an almost-weekly basis. Corley says he can tell the podcasts are helpful to listeners, because he and McLelland are learning a lot themselves.

    "The conversations we have are genuine and authentic. The questions we ask are real," Corley says. "When we schedule something with someone, we purposely try to find out just enough about them to find out if we'll have a good episode with them."

    Along with their sincere questioning, the hosts also bring a diversity in industry to the table.

    "Collin is the guy who grew up in the field, and I have more of the tech background," Corley says. "From that standpoint, we really compliment each other."

    While still new, the podcast has seen a lot of growth — about 1,000 new listeners each week over the past couple weeks — which is surprising to the two hosts since the topic is niche and professional.

    "You think thing not many people would listen to a podcast that's so focused on something they do for their job, but that's completely wrong," Corley says.

    McLelland says they've seen a shift in the industry. What's been known as a siloed, traditional field is being upended by new technology being introduced into oil and gas companies. A downturn resulted in a need for efficiency and a younger senior-level leadership — that's what's changed in the business, McLelland says, and that's why the podcast is here to document.

    "To see the amount of traction the podcast has gotten within oil and gas really validates where the industry is going," McLelland says.

    The two want to keep doing what they're doing when it comes to the podcast, while expanding into other media. They've launched a YouTube channel, and are working on regular content for a blog.

    "We kind of wanted to bridge the gap between Silicon Valley and oil and gas and show the world what was going on in the industry — and specifically in Houston," McLelland says.


    Collin McLelland (right) and Jacob Corley are the hosts of Oil and Gas Startups Podcast.

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    9 can't-miss Houston business and innovation events for April

    where to be

    Two new conferences will launch while another longtime business competition celebrates its 25th anniversary this month in Houston. Plus, there are networking opportunities, family tech events and more.

    Here are the Houston business and innovation events you can't miss in April and how to register. Please note: this article might be updated to add more events.

    ​Ion Block Party: Art Crawl

    Network and socialize with other tech enthusiasts and business-minded individuals while taking in the new gallery at Community Artists’ Collective and experiencing the immersive dome at Omnispace360. See work by Joel Zika, who will showcase his digital sculptures through augmented reality screens, and other public art around the Ion while also enjoying food and drink.

    This event is Thursday, April 3, from 4-7 p.m. at the Ion. Click here to register.

    ​CLA Presents: Raising Capital over Happy Hour

    Gain a better understanding of the capital-raising process and various funding opportunities at this educational happy hour. Keith Davidson, the market leader for CLA in Dallas and former CFO of ICS, will present.

    This event is Thursday, April 10, from 4-6 p.m. at The Cannon. Click here to register.

    Rice Business Plan Competition 

    The Rice Alliance for Technology and Entrepreneurship will host the 25th annual Rice Business Plan Competition this month. Forty-two student-led teams from around the world, including one team from Rice, will present their plans before more than 300 angel, venture capital, and corporate investors to compete for more than $1 million in prizes.

    This event is April 10-12. Stream the Elevator Pitch Competition and Final Round here.

    RSVF Annual Conference

    The Rice Student Venture Fund will host its first-ever Annual Conference to celebrate the university's entrepreneurial spirit and the rising generation of student-led innovation. The conference will include live startup demos, an RSVF fund update, a keynote fireside chat, a builder-investor panel and networking. RSVF welcomes students, alumni, investors, faculty and staff, and innovators and community members of the broader tech scene.

    This event is Monday, April 14, from 4-8 p.m. at the Ion. Click here to register.

    ​TEX-E Conference

    TEX-E will host its inaugural conference this month under the theme "Energy & Entrepreneurship: Navigating the Future of Climate Tech." The half-day conference will feature a keynote from Artemis Energy Partners CEO Bobby Tudor as well as panels with other energy and tech leaders from NRG, Microsoft, GE Vernova and TEB Tech.

    This event is Tuesday, April 15, from 1-4:30 p.m. at the Ion. Click here to register.

    Houston Methodist Leadership Speaker Series 

    Hear from Dr. Jonathan Rogg, Chief Quality Officer and Vice President of Operations at Houston Methodist Hospital and a a practicing emergency medicine physician, at the latest Houston Methodist Leadership Speaker Series. Rogg will present "Leadership from the Bedside to the Boardroom."

    This event is on Wednesday, April 23, from 4:45-6 p.m. at the Ion. Click here to register.

    Ion Family STEAM Day– Let's Build a Tripwire Alarm

    STEAM on Demand will host a hands-on, family-friendly engineering lesson for young ones on the Ion Forum Stairs. Kids will learn to create and test their own working alarm system. The event is geared toward those ages 7 to 14.

    This event is Sunday, April 26, from 10 a.m. to noon at the Ion. Click here to register.

     Greentown Houston Fourth Anniversary Transition On Tap

    Climatetech incubator Greentown Labs will celebrate its fourth anniversary with a special edition of its signature networking event, Transition On Tap. Entrepreneurs, investors, students, and friends of climatetech are invited to attend.

    This event is Tuesday, April 29, from 5:30-7:30 p.m. at Greentown Labs. Click here to register.

    Integrate Space Technology Into Your Small Biz

    The SBA Houston District Office and the UH Technology Bridge will host a collaborative event designed to help small businesses leverage space technology for prototype development. Attendees will also hear from industry experts on resources and gain access free technical engineering assistance to help accelerate their businesses.

    This event is Wednesday, April 30, from 9:30-11:30 a.m. at UH Technology Bridge Innovation Center. Click here to reserve your spot.

    Texas university's innovative 'WaterHub' will dramatically reduce usage by 40%

    Sustainable Move

    A major advancement in sustainability is coming to one Texas university. A new UT WaterHub at the University of Texas at Austin will be the largest facility of its kind in the U.S. and will transform how the university manages its water resources.

    It's designed to work with natural processes instead of against them for water savings of an estimated 40 percent. It's slated for completion in late 2027.

    The university has had an active water recovery program since the 1980s. Still, water is becoming an increasing concern in Austin. According to Texas Living Waters, a coalition of conservation groups, Texas loses enough water annually to fill Lady Bird Lake roughly 89 times over.

    As Austin continues to expand and face water shortages, the region's water supply faces increased pressure. The UT WaterHub plans to address this challenge by recycling water for campus energy operations, helping preserve water resources for both the university and local communities.

    The 9,600-square-foot water treatment facility will use an innovative filtration approach. To reduce reliance on expensive machinery and chemicals, the system uses plants to naturally filter water and gravity to pull it in the direction it needs to go. Used water will be gathered from a new collection point near the Darrell K Royal Texas Memorial Stadium and transported to the WaterHub, located in the heart of the engineering district. The facility's design includes a greenhouse viewable to the public, serving as an interactive learning space.

    Beyond water conservation, the facility is designed to protect the university against extreme weather events like winter storms. This new initiative will create a reliable backup water supply while decreasing university water usage, and will even reduce wastewater sent to the city by up to 70 percent.

    H2O Innovation, UT’s collaborator in this project, specializes in water solutions, helping organizations manage their water efficiently.

    "By combining cutting-edge technology with our innovative financing approach, we’re making it easier for organizations to adopt sustainable water practices that benefit both their bottom line and the environment, paving a step forward in water positivity,” said H2O Innovation president and CEO Frédéric Dugré in a press release.

    The university expects significant cost savings with this project, since it won't have to spend as much on buying water from the city or paying fees to dispose of used water. Over the next several years, this could add up to millions of dollars.

    ---

    A version of this story originally appeared on our sister site, CultureMap Austin.

    Texas female-founded companies raised more than $1 billion in 2024, VC data shows

    by the numbers

    Female-founded companies in Dallas-Fort Worth may rack up more funding deals and more money than those in Houston. However, Bayou City beats DFW in one key category — but just barely.

    Data from PitchBook shows that in the past 16 years, female-founded companies in DFW collected $2.7 billion across 488 deals. By comparison, female-founded companies in the Houston area picked up $1.9 billion in VC through 343 deals.

    Yet if you do a little math, you find that Houston ekes out an edge over DFW in per-deal values. During the period covered by the PitchBook data, the value of each of the DFW deals averaged $5.53 million. But at $5,54 million, Houston was just $6,572 ahead of DFW for average deal value.

    Not surprisingly, the Austin area clobbered Houston and DFW.

    During the period covered by the PitchBook data, female-founded companies in the Austin area hauled in $7.5 billion across 1,114 deals. The average value of an Austin deal: more than $6.7 million.

    Historically, funding for female-established companies has lagged behind funding for male-established companies. In 2024, female-founded companies accounted for about one-fourth of all VC deals in the U.S., according to PitchBook.

    PitchBook noted that in 2024, female-founded companies raised $38.8 billion, up 27 percent from the previous year, but deal count dropped 13.1 percent, meaning more VC for fewer startups. In Texas, female-founded companies brought in $1.3 billion last year via 151 deals. The total raised is the same as 2023, when Texas female founders got $1.3 billion in capital across 190 deals.

    “The VC industry is still trying to find solid footing after its peak in 2021. While some progress was made for female founders in 2024, particularly in exit activity, female founders and investors still face an uphill climb,” says Annemarie Donegan, senior research analyst at PitchBook.