PeroCycle lines up £4m seed round and unveils CEO

The company was spun out by the University of Birmingham and Cambridge Future Tech, a deep tech venture builder and early investor, in collaboration with global mining company Anglo American to commercialise its novel carbon recycling platform for deployment in global steelmaking.

With a facility at the Bradfield Centre on Cambridge Science Park, PeroCycle is built on breakthrough research by Professor Yulong Ding and Dr Harriet Kildahl at the University of Birmingham. Using a perovskite-based catalyst and proprietary process and reactor system, it converts carbon dioxide into carbon monoxide, providing a closed-carbon-loop approach to deep decarbonisation within the steelmaking process.

The £4m financing round, which will launch this month and run into early 2026, will support the development of PeroCycle’s first pilot unit, with a targeted capacity of 1 kilotonne of CO2 processed per year. With the funding, the company will also expand its technical and commercial team.

Grant Budge has been onboarded as CEO to steer the company forward. He brings 30 years of experience leading carbon capture projects and advising on decarbonisation across energy and heavy industry. He has raised significant public and private funding and led delivery of large-scale CCS infrastructure. His appointment signals a new phase of commercial growth for PeroCycle as it advances towards pilot-scale deployment.

CEO Grant Budge said: “PeroCycle can reshape one of the world’s most emissions-intensive sectors. Its technology stands out for its ability to cut carbon emissions from existing steelmaking infrastructure – a rare combination. I’m thrilled to join at this pivotal stage.”

Professor Yulong Ding, founding Chamberlain Chair of Chemical Engineering at the University of Birmingham, added: “Recycling carbon dioxide within steelmaking infrastructure presents a scalable pathway to deep decarbonisation in one of the world’s most hard-to-abate sectors.

“Advancing this technology to industrial deployment requires the right leadership and investment and this next stage puts both in place.”

By enabling in-process carbon recycling at blast furnace-compatible temperatures, PeroCycle’s technology offers a practical route to decarbonisation, addressing a key need in a sector where each tonne of crude steel can emit around 2 tonnes of CO2. With emissions from steelmaking needing to fall within the next decade to align with net-zero pathways, scalable industrial solutions like PeroCycle’s are critical to the global climate response.

Matt Walker, CEO of Anglo American’s Marketing business said: “Anglo American is committed to working with like-minded partners to make meaningful steps toward lower-emission steelmaking. Our investment in PeroCycle reflects our belief in the potential of carbon recycling for this purpose. We look forward to seeing this next phase of development bring the technology closer to industrial application.”

Owen Thompson, CEO and co-founder of Cambridge Future Tech, added: “This is a major step forward for PeroCycle’s mission to decarbonise steel from within. From co-founding and building the company to now investing in this round, we’ve supported its journey from the very beginning. With Grant’s leadership and the momentum of this raise, PeroCycle is well-positioned to deliver real-world industrial impact.”