Business
AUD 2.5 million investment in HydGene Renewables
AUD 2.5 million investment in HydGene Renewables.
About this update from Agronomics Limited
[{"type":"text","content":"\n\n15 June 2023\nAgronomics Limited\n(\"Agronomics\" or the \"Company\")\nAUD 2.5 million investment in developer of synthetic biology technology for hydrogen production\nAgronomics (ANIC:LSE), the leading listed company focused on the field of cellular agriculture, is pleased to announce that the Company has invested AUD 2.5 million (\"the Subscription\") in HydGene Renewables Pty Ltd (\"HydGene\"), a developer of synthetic biology to engineer microorganisms for use in hydrogen production. The Subscription is part of HydGene's AUD 6 million Seed financing round. The Subscription is in line with Agronomics' wider focus in investing in opportunities seeking to minimise the irreversible damage to the natural environment, was paid using cash from the Company's own resources and will result in Agronomics holding 188,239 Series Seed Preferred Shares and owning, on a fully diluted basis, 12.50% of HydGene. Joining the round are the Clean Energy Finance Corporation (\"CEFC\" - whose investment is managed by Virescent Ventures), Understorey Ventures and NOAB Ventures.\nHydGene engineers microorganisms, using synthetic biology, to act as a proprietary biocatalyst for the production of green hydrogen. This biocatalyst, produced via fermentation, enables the conversion of waste biomass into gases such as hydrogen and ammonia. The global hydrogen market is estimated to be worth US$ 160 billion in 2022[1], with hydrogen being derived primarily from fossil fuels and used for the production of chemicals such as ammonia and methanol. The Hydrogen Council forecast this could become a US$ 2.5 trillion global market by 2050 as hydrogen's usage expands to fuel for transport applications, off-grid power generation, and seasonal energy storage, with hydrogen constituting up to 18% of the global energy supply.[2]\nCrucial to hydrogen becoming a mainstream supply of energy is the development of cost-effective green hydrogen solutions, with HydGene's biocatalyst technology providing a unique decentralised solution, allowing for hydrogen to be produced at the site of use and circumventing expensive transportation and storage costs.\nJim Mellon, Executive Director of Agronomics said:-\n\"Efficiently and effectively harnessing hydrogen as a renewable source of energy is vital if we are to meet our net zero ambitions and reduce our reliance on fossil...