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Aymium raises $210M for biocarbon plant

Illustration of a broom made of hundred dollar bills sweeping coal dust

Illustration: Natalie Peeples/Axios

Aymium has raised $210 million in a combination of equity and debt to build a plant in California to produce a biocarbon that can be used to replace coal.

Why it matters: Carbon-intensive and dirty coal is still a major power generation source in many countries like Japan.

Zoom in: Aymium, based in Minnesota, said senior debt in the form of green bonds will be issued by ECP ForeStar and Copenhagen Infrastructure Partners through its Green Credit Fund.

  • Japan Green Investment Corp. for Carbon Neutrality and Aymium will provide subordinated debt.
  • Hokuriku Electric Power Company, Nippon Steel Trading, and Aymium provided equity financing.
  • The facility will be built in Williams, Calif., and construction is supposed to be done by 2025.

How it works: Aymium converts waste biomass into what it calls a biocarbon product that can be used to replace coal and other fossil fuels used in industrial processes.

  • The company says the biocarbon can be a drop-in, low-carbon replacement for coal in a power generation plant.

The big picture: Japan's use of coal has remained high due to it idling nuclear facilities in the wake of the Fukushima disaster and its lack of land for wind and solar.

  • The country has been investing in other ways to lower the carbon footprint of coal, such as co-firing coal with ammonia.
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