Gonzalo Fuenzalida-Meriz, CEO of Andes, discusses how their startup uses microorganisms to remove carbon from the atmosphere. They introduce microbes into soil alongside agricultural seeds to expedite CO2 transformation. Andes also genetically modifies microorganisms to improve nitrogen fixation in crops, reducing the need for synthetic fertilizers. The podcast explores the significance of organic carbon in soil, the challenges of decomposing it, and the process of applying microbes for carbon removal.
Andes utilizes microorganisms to expedite the transformation of CO2 into minerals, contributing to soil inorganic carbon.
Andes genetically modifies microorganisms to increase corn's nitrogen fixation, reducing the need for synthetic fertilizers.
Deep dives
Andes' Microorganisms for CO2 Removal
Andes, a startup led by CEO Gonzalo Fuenzalita Mariz, utilizes microorganisms in agricultural fields to capture atmospheric CO2. These microorganisms expedite the transformation of CO2 into minerals, contributing to soil inorganic carbon. Andes initially focused on enhancing crop resiliency but later transitioned to carbon removal. They also genetically modify microorganisms to increase corn's nitrogen fixation, reducing the need for synthetic fertilizers.
Andes' Technology and Mission
Andes is a climate tech company that has developed a technology based on microbes that capture atmospheric CO2. They provide microorganisms that can replace synthetic nitrogen fertilizers and reduce emissions associated with production. Additionally, Andes works with non-engineered microbes to stimulate the growth of soil inorganic carbon by transforming CO2 into minerals. Their mission is to create a positive impact on agriculture by improving crop resiliency and contributing to carbon removal.
Farmer Incentives and Carbon Credits
Farmers who partner with Andes receive the microbes free of charge and apply them to their fields. In return, Andes offers a cash payment at the end of the season and takes ownership of the carbon credits generated. Farmers do not need to have knowledge or involvement in carbon credits, as Andes handles the measurement and verification process. The program provides an economic incentive for farmers and simplifies their role in climate impact.
Scaling Challenges and Financing
Andes' main challenge in scaling is monitoring, reporting, and verification (MRV) of carbon removal across millions of acres. They are exploring technologies, such as in-situ soil carbon measurement, to streamline MRV processes. Andes has raised approximately $38 million in financing, with investors including Yamaha, Breakthrough Energy Ventures, and others. They aim to expand through equity funding or debt financing to meet their capital needs.
Gonzalo Fuenzalida-Meriz is the CEO and co-founder of Andes, a startup that employs microorganisms to tackle CO2 removal. Specifically, they introduce microorganisms into soil alongside agricultural seeds. As these microorganisms grow with plant roots, they expedite the transformation of CO2 into minerals, which contributes to soil inorganic carbon.
The MCJ pod has featured startups exploring methods to amend soil for carbon removal, including biochar and enhanced rock weathering. It’s intriguing to hear how Andes utilizes microorganisms to achieve a similar result.
Gonzalo and Cody delve into the company's origins, revealing their initial focus on enhancing crop resiliency, and their transition to carbon removal. Beyond the concept of microbial carbon mineralization, Andes also harnesses a different microorganism, one they genetically modify, to increase corn's ability to affix nitrogen into the soil and thus reduce the need for synthetic fertilizers. There's a lot to unpack in this one.
In this episode, we cover:
[02:08]: An overview of Andes and its origins
[05:45]: Current challenges in crop resiliency
[07:52]: Natural history of microbes and their relation to plants and humans
[12:37]: Andes' two programs: microbes for nitrogen and CO2 capture
[15:22]: In-depth look at Andes' nitrogen program
[20:41]: Andes' second program and overview of organic carbon
[24:57]: Soil inorganic carbon and the role of lime in farming and carbon capture
[29:25]: How Andes' solutions are applied on farms and economics of business model
[34:54]: Andes' Microbial Carbon Mineralization (MCM) methodology and potential for carbon credits
[39:49]: How Gonzalo thinks about scaling and fundraising
[43:48]: His advice for entrepreneurs looking for opportunities in this space
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Episode recorded on Aug 29, 2023 (Published on Sep 7, 2023)
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