Electra, the Colorado-based clean iron firm seeking to supply the fledgling global green steel market, is preparing to raise a Series B and may look to hire a US financial advisor, CEO Sandeep Nijhawan told ReSource.
Early discussions on the raise have already started, Nijhawan said. Project equity, JV formation and other financial structures and partnerships are on the table.
Electra completed an $85m Series A last year with participation from Breakthrough Energy, and announced the commissioning of a pilot plant in Boulder, Colorado this week. The company manufactures “pure green iron” via a patented electrochemical system.
“Cost of energy is key here,” Nijhawan said, adding that the process leaves “a high degree of freedom on what ores” can be input, with alumina, bauxite and red mud ultimately co-produced.
Electra is in discussions with power developers and utilities to provide power to its projects, envisioning ironmaking hubs (including grid-connected projects) close to cheap power that is then ship to end users, he said. Contracts with steelmakers and OEMs typically last seven years.
