Paul Barrett, CEO of HiSata.Source: Provided
Wollongong-based green hydrogen startup Hysata has been hit hard with a $172 million (US$111 million) funding round, said to be the largest Series B round in Australian history by a cleantech startup. received support from investors around the world.
Hysata has developed a high-efficiency electrolyzer that can transform the way green hydrogen is produced and contribute to accelerating decarbonization in fields such as steel manufacturing, chemical manufacturing, and heavy transport.
This major capital injection comes less than a year after the company received approximately $24 million in grants from the Federal and Queensland Governments to support a commercialization project in Rockhampton, Queensland. It was held on.
Oil and gas giant BP's venture arm jointly led the round with Hong Kong-based alternative asset management firm Temple Water, each investing US$10 million.
Existing strategic and financial investors also participated, including IP Group Australia, Kiko Ventures (IP Group plc's cleantech platform), Virescent Ventures representing Clean Energy Finance Corporation, Hostplus, Vestas Ventures and BlueScopeX.
Other new investors backing HiSata include POSCO Holdings, POSCO Construction, IMM Investment Hong Kong, Shinhan Financial Group, Twin Towers Ventures, IDO, the VC arm of the Oman Investment Authority, and Telstra Super.
Hysata’s “transformative impact” on the hydrogen sector
Hysata plans to use the funding to expand its production capacity and achieve gigawatt-scale production of electrolyzers. Electrolyzers require much less energy to convert water to hydrogen compared to available alternatives.
CEO Paul Barrett said Hysata aimed to use the technology to “lower the levelized cost of hydrogen” at its Wollongong seaside manufacturing facility.
“This funding round, backed by a world-class syndicate of investors, demonstrates that HiSata is having a transformative impact on the green hydrogen landscape,” Barrett said in a statement Thursday morning. .
“This strengthens our team, enhances our capabilities, and propels us towards widespread commercial use.”
Hysata says that if its electrolyzers are used on a large scale, it could achieve energy efficiency that far exceeds the International Renewable Energy Agency's 2050 efficiency goals.
“We know that green hydrogen has the potential to play a huge role in decarbonisation,” said co-lead investor Gareth Burns, vice president at BP Ventures.
“This is the first advanced alkaline electrolyser technology that BP Ventures has invested in. It provides options for our hydrogen business as BP aims to become a global leader in low carbon hydrogen production. There is a possibility.”
“Hisata’s technology has the potential to help save energy and reduce production costs, addressing two challenges in the green hydrogen market. We are excited about HiSata’s next steps.”
Hysata currently employs a team of approximately 75 staff. The company hopes to expand outside Australia and grow its workforce to more than 200 people over the next few years.
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