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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    2 Houston space tech cos. celebrate major tech milestones

    big wins

    Two Houston aerospace companies — Intuitive Machines and Venus Aerospace — have reached testing milestones for equipment they’re developing.

    Intuitive Machines recently completed the first round of “human in the loop” testing for its Moon RACER (Reusable Autonomous Crewed Exploration Rover) lunar terrain vehicle. The company conducted the test at NASA’s Johnson Space Center.

    RACER is one of three lunar terrain vehicles being considered by NASA for the space agency’s Artemis initiative, which will send astronauts to the moon.

    NASA says human-in-the-loop testing can reveal design flaws and technical problems, and can lead to cost-efficient improvements. In addition, it can elevate the design process from 2D to 3D modeling.

    Intuitive Machines says the testing “proved invaluable.” NASA astronauts served as test subjects who provided feedback about the Moon RACER’s functionality.

    The Moon RACER, featuring a rechargeable electric battery and a robotic arm, will be able to accommodate two astronauts and more than 880 pounds of cargo. It’s being designed to pull a trailer loaded with more than 1,760 pounds of cargo.

    Another Houston company, Venus Aerospace, recently achieved ignition of its VDR2 rocket engine. The engine, being developed in tandem with Ohio-based Velontra — which aims to produce hypersonic planes — combines the functions of a rotating detonation rocket engine with those of a ramjet.

    A rotating detonation rocket engine, which isn’t equipped with moving parts, rapidly burns fuel via a supersonic detonation wave, according to the Air Force Research Laboratory. In turn, the engine delivers high performance in a small volume, the lab says. This savings in volume can offer range, speed, and affordability benefits compared with ramjets, rockets, and gas turbines.

    A ramjet is a type of “air breathing” jet engine that does not include a rotary engine, according to the SKYbrary electronic database. Instead, it uses the forward motion of the engine to compress incoming air.

    A ramjet can’t function at zero airspeed, so it can’t power an aircraft during all phases of flight, according to SKYbrary. Therefore, it must be paired with another kind of propulsion, such as a rotating detonation rocket engine, to enable acceleration at a speed where the ramjet can produce thrust.

    “With this successful test and ignition, Venus Aerospace has demonstrated the exceptional ability to start a [ramjet] at takeoff speed, which is revolutionary,” the company says.

    Venus Aerospace plans further testing of its engine in 2025.

    Venus Aerospace, recently achieved ignition of its VDR2 rocket engine. Photo courtesy of Venus Aerospace

    METRO rolls out electric shuttles for downtown Houston commuters

    on a roll

    The innovative METRO microtransit program will be expanding to the downtown area, the Metropolitan Transit Authority of Harris County announced on Monday.

    “Microtransit is a proven solution to get more people where they need to go safely and efficiently,” Houston Mayor John Whitmire said in a statement. “Connected communities are safer communities, and bringing microtransit to Houston builds on my promise for smart, fiscally-sound infrastructure growth.”

    The program started in June 2023 when the city’s nonprofit Evolve Houston partnered with the for-profit Ryde company to offer free shuttle service to residents of Second and Third Ward. The shuttles are all-electric and take riders to bus stops, medical buildings, and grocery stores. Essentially, it works as a traditional ride-share service but focuses on multiple passengers in areas where bus access may involve hazards or other obstacles. Riders access the system through the Ride Circuit app.

    So far, the microtransit system has made a positive impact in the wards according to METRO. This has led to the current expansion into the downtown area. The system is not designed to replace the standard bus service, but to help riders navigate to it through areas where bus service is more difficult.

    “Integrating microtransit into METRO’s public transit system demonstrates a commitment to finding innovative solutions that meet our customers where they are,” said METRO Board Chair Elizabeth Gonzalez Brock. “This on-demand service provides a flexible, easier way to reach METRO buses and rail lines and will grow ridership by solving the first- and last-mile challenges that have hindered people’s ability to choose METRO.”

    The City of Houston approved a renewal of the microtransit program in July, authorizing Evolve Houston to spend $1.3 million on it. Some, like council member Letitia Plummer, have questioned whether microtransit is really the future for METRO as the service cuts lines such as the University Corridor.

    However, the microtransit system serves clear and longstanding needs in Houston. Getting to and from bus stops in the city with its long blocks, spread-out communities, and fickle pedestrian ways can be difficult, especially for poor or disabled riders. While the bus and rail work fine for longer distances, shorter ones can be underserved.

    Even in places like downtown where stops are plentiful, movement between them can still involve walks of a mile or more, and may not serve for short trips.

    “Our microtransit service is a game-changer for connecting people, and we are thrilled to launch it in downtown Houston,” said Evolve executive director Casey Brown. “The all-electric, on-demand service complements METRO’s existing fixed-route systems while offering a new solution for short trips. This launch marks an important milestone for our service, and we look forward to introducing additional zones in the new year — improving access to public transit and local destinations.”

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    This article originally ran on CultureMap.