Carbon Removal Tech Startups Leading the Way in Sustainability

Startups like Equatic and Climeworks are revolutionizing the carbon removal landscape with innovative technologies that aim to reduce atmospheric CO2 levels.

These companies not only help businesses achieve their sustainability goals but also open pathways for cleaner, more responsible growth.

From pioneering sea electrolysis to scaling direct air capture (DAC), these firms are pushing boundaries in climate technology.

>> RELATED: Equatic Unveils Oxygen-Selective Anodes, Unlocking Gigaton-Scale Carbon Removal and Green Hydrogen Generation With Seawater Electrolysis

The Equatic engineering team at the company's development plant in Los Angeles.

Equatic: Harnessing the Ocean for Carbon Removal

Equatic, based in Los Angeles, uses a cutting-edge method called sea electrolysis to extract carbon dioxide from the atmosphere.

In this process, seawater is passed through an electrolyzer, separating it into acid and base components.

Minerals neutralize the acid, while the base reacts with atmospheric CO2 to form carbonates that are safely returned to the ocean.

“We’ve developed a scalable system that uses the ocean's natural chemistry to store CO2 and create clean hydrogen energy,” said Edward Sanders, CEO of Equatic.

This dual approach not only removes CO2 but also produces hydrogen, making the technology economically viable.

Equatic's roots trace back to the University of California, Los Angeles, where Dr. Gaurav Sant and his team began exploring ways to amplify the ocean’s natural ability to absorb carbon.

“The journey started with low-carbon cement and concrete,” Sant noted, “and from there, it evolved into new ways to reduce carbon emissions on a larger scale.”

The company has already started to scale its efforts globally. One of its most ambitious projects is the development of the world's largest ocean-based carbon removal plant in Singapore.

This facility is expected to remove 4,000 tons of CO2 annually while producing 300 kilograms of carbon-negative hydrogen daily.

Climeworks: Pioneering Direct Air Capture Technology

Zurich-based Climeworks has been at the forefront of direct air capture technology for over a decade.

The company’s systems extract CO2 directly from the air, mineralize it, and store it permanently underground.

This approach has proven effective but comes with significant costs that Climeworks is working to address through scaling.

“Direct air capture is unique in its flexibility—it can be done anywhere in the world while serving customers globally,” said Jan Wurzbacher, CEO of Climeworks.

The company’s first commercial plant, Orca, in Iceland, removes 4,000 tons of CO2 annually. A larger facility, Mammoth, is set to increase this capacity tenfold, with plans to capture 36,000 tons annually.

Climeworks is also expanding its services beyond permanent carbon removal. The company now offers customers a tailored portfolio of solutions, including reforestation and biomass storage.

This diversification allows clients to select approaches that align with their budget and sustainability goals.

>> In Other News: Climeworks Launches Mammoth: The World's Largest Direct Air Capture Plant in Iceland

Challenges in Scaling Carbon Removal Technologies

Despite their promise, carbon removal technologies face significant hurdles. The cost of removing one ton of CO2 ranges between $600 and $1,000.

Both Equatic and Climeworks are actively working to bring these costs down through technological advancements and scaling.

Equatic’s dual-purpose system, which also produces hydrogen, offers a potential solution. “By producing hydrogen alongside carbon removal, we reduce costs and stimulate market adoption,” Edward Sanders explained.

Meanwhile, Climeworks has received grants from the U.S. Department of Energy to subsidize its expansions in Louisiana and Texas.

However, scaling these operations remains resource-intensive, requiring specialized equipment and skilled labor.

Additionally, the voluntary nature of carbon credits means demand fluctuates based on market trends and corporate interest.

Addressing Concerns in the Carbon Credits Market

Both Equatic and Climeworks operate within the carbon credits market, offering businesses and individuals a way to offset their carbon footprints.

Equatic’s clients include Boeing and Stripe, while Climeworks works with major players like Microsoft, Boston Consulting Group, and Shopify.However, the carbon credits market is not without criticism. A lack of regulation has led to cases of fraudulent or unverified credits. “Some ‘cheaper’ carbon credits are not easily verifiable,” said Indroneil Ganguly, professor at the University of Washington.

Critics argue that businesses could exploit this system to continue polluting rather than cutting emissions.

Despite these challenges, both startups remain optimistic. Their focus on measurable and verifiable carbon removal provides a strong foundation for trust and transparency in the market.

The Future of Carbon Removal

As global emissions continue to rise, startups like Equatic and Climeworks are offering innovative solutions that could play a key role in achieving climate goals.

These technologies are not a silver bullet but represent an essential part of a broader decarbonization strategy.

With bipartisan support for carbon removal initiatives and grants from the U.S. Department of Energy, both companies are well-positioned to expand their impact.

“Scaling carbon removal is essential to address climate change, and we’re excited to lead the charge,” said Jan Wurzbacher.

The road ahead for carbon removal startups is challenging but filled with opportunity. By leveraging technology, innovation, and partnerships, Equatic and Climeworks are not just removing carbon—they’re paving the way for a more sustainable future.