Iron fuel startup RIFT secures €11 million

By Laio

RIFT, a pioneering Dutch company, has raised €11 million to advance its innovative iron fuel technology for sustainable industrial heating. This groundbreaking solution burns iron powder to generate high-temperature heat without direct CO₂ emissions, offering a promising alternative to fossil fuels. The circular process converts the resulting rust powder back into iron using hydrogen.

With investments from Invest-NL, PGGM, Oost NL, and others, RIFT aims to complete final operational tests and scale up toward its first commercial project. The technology could significantly impact industrial decarbonization, potentially saving 1 gigatonne of CO₂ annually by 2050.

Established in 2020 by founders Mark Verhagen, Vincent Seijger, and Lex Scheepers, the company is tackling one of the most pressing challenges in industrial sectors: reducing CO₂ emissions. By leveraging its innovative iron fuel technology, RIFT offers a sustainable alternative to traditional fossil fuels, which are responsible for over 52% of global carbon dioxide emissions.

Circular iron fuel: a game-changer

RIFT’s technology involves burning iron powder in a boiler, generating heat without direct carbon emissions. The process is circular, as hydrogen can convert the resulting rust powder into iron. This not only reduces emissions but also enhances the storage and transport efficiency of iron fuel, which ranges from 65% to 81%. With two operational plants in Arnhem and Helmond, RIFT is currently in the ‘proof of concept’ phase, with results expected to be shared next month.

World’s first iron fuel plant built by RIFT set to decarbonize industry

Anyone thinking about the energy transition soon associates that with electricity and hydrogen. But Renewable Iron Fuel Technology (RIFT), which sprang from the SOLID student team at Eindhoven University of Technology in the Netherlands, is convinced that iron fuel is also indispensable for a sustainable future. For industry, this circular fuel that the company produces is an ideal alternative to gas.

Strategic investment and expansion plans

The funds will be used to scale up test facilities and accelerate the commercial implementation of their technology. RIFT plans to expand its team from 16 to 20 members and is setting up a test system to provide energy from iron powder to 500 households.

CEO Mark Verhagen emphasizes the significance of this investment in bringing them closer to realizing this ambition. He highlights that this technology not only supports CO₂ reduction but does so without requiring extensive infrastructure changes.

Remco Westerbeek, Investment Manager at Invest-NL, emphasizes the promising nature of this technology: “Industrial heat is a sector that is one of the largest sources of greenhouse gas emissions worldwide and difficult to make sustainable. Our investment in RIFT fits Invest-NL’s mission to support innovative solutions accelerating the energy transition.”