Opportunities at Electra and Appreciation for the Climate Journey Community

In this episode, Sandeep Nijhawan and Quoc Pham, founders of the startup Electra, talk to Cody about tackling the complex issue of steel decarbonization. Steel production is a formidable contributor to global emissions, accounting for nearly four gigatons annually, equivalent to approximately 8-10% of total global emissions. To put it in perspective, if steel were its own country, its annual emissions would rank third globally, following only China and the USA.

The conversation dives into the intricacies of current steel production, shedding light on how the US approach differs from much of the world. The US has a head start on the path toward steel decarbonization, featuring fewer coal-based blast furnaces and substantial installed electric arc furnace capacity. The episode also explores various pathways for steel decarbonization, including point-source carbon capture and hydrogen utilization, and introduces Electra's pioneering electrochemistry method. 

Electra announced an $85 million funding round in Q4 2022, with participation from renowned climate tech investors and industry leaders, including Breakthrough Energy Ventures, Amazon, and many more. Sandeep and Quoc are tackling one of the hardest problems in climate change head on. Time will tell if it works, but they certainly aren't shying away from the challenge.

In this episode, we cover: 

• [03:44]: Sandeep's background
• [08:01]: Quoc's background
• [15:38]: Overview of steel production and emissions
• [22:20]: Overview of supply chain and integrated steelworks concept
• [25:09]: Why the US is a leader in low carbon intensity steelmaking
• [30:50]: Contrasting McKinsey's roadmap with Electra's approach  
• [34:22]: Environmental and safety risks of traditional iron tailings
• [37:10]: Electra's unique approach to the steel decarbonization problem
• [44:24]: How low-cost renewable electricity is crucial for Electra's solution 
• [46:26]: Challenges in electrifying ironmaking vs. copper and zinc
• [48:39]: Hydrometallurgy for iron ore dissolution to minimize waste and extract value
• [49:05]: Core principles: decarbonization, sustainability, and circularity
• [55:59]: Electra's go-to-market strategy and commercial vision
• [58:42]: The company’s capital stack evolution and local project financing
• [01:02:51]: The importance of collaboration in this space
• [01:04:41]: Invitation for listeners to join Electra's team

Get connected: 

• Sandeep Nijhawan  LinkedIn
• Quoc Pham LinkedIn
• Cody Simms X / LinkedIn
• MCJ Podcast / Collective

*You can also reach us via email at info@mcjcollective.com, where we encourage you to share your feedback on episodes and suggestions for future topics or guests.

Episode recorded on Sep 12, 2023 (Published on Sep 28, 2023)

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*Editing and post-production work for this episode was provided by The Podcast Consultant