PeroCycle plans to ‘decarbonise steel from within’ with carbon recycling tech

A start-up that aims to “decarbonise steel from within” using in-process carbon recycling has announced plans to develop a pilot unit and expand its team.

Based on research by Professor Yulong Ding and Dr Harriet Kildahl at the University of Birmingham, PeroCycle announced a £4m seed round to fund its pilot deployment and accelerate commercial growth yesterday (4 August).

Spun out from the university, and investor Cambridge Future Tech, the start-up plans to process 1,000 tonnes of carbon dioxide (CO₂) from steelmaking with the unit each year. It will also expand its technical and commercial team. 

The firm’s proprietary process uses a perovskite-based catalyst and a reactor system to convert CO₂ into carbon monoxide, providing a ‘closed carbon loop’ approach to decarbonisation of steelmaking.

“By enabling in-process carbon recycling at blast furnace-compatible temperatures, PeroCycle’s technology offers a practical route to decarbonisation, addressing a key need in a sector where each tonne of crude steel can emit around two tonnes of CO₂,” a company announcement said.

The steel industry is responsible for about 8% of global CO₂ emissions, producing more than three gigatonnes (billions of tonnes) each year.

“This is a major step forward for PeroCycle’s mission to decarbonise steel from within,” said Owen Thompson, CEO and co-founder of Cambridge Future Tech. “From co-founding and building the company to now investing in this round, we’ve supported its journey from the very beginning… PeroCycle is well-positioned to deliver real-world industrial impact.”

The company also announced the appointment of Grant Budge as CEO. “PeroCycle can reshape one of the world’s most emissions-intensive sectors. Its technology stands out for its ability to cut carbon emissions from existing steelmaking infrastructure – a rare combination,” he said.

Recycling carbon dioxide within steelmaking infrastructure “presents a scalable pathway to deep decarbonisation in one of the world’s most hard-to-abate sectors”, Professor Ding added.

Want the best engineering stories delivered straight to your inbox? The Professional Engineering newsletter gives you vital updates on the most cutting-edge engineering and exciting new job opportunities. To sign up, click here.

Content published by Professional Engineering does not necessarily represent the views of the Institution of Mechanical Engineers.