Biomass firm wins £2.3m Mercia funding to finalise Teesside plant

A Teesside business which has developed a new way to generate fuel and chemicals from waste biomass has secured an extra £2.3m investment.

Nova Pangaea Technologies has completed a funding round led by NPIF - Mercia Equity Finance, which is managed by Mercia and is part of the Northern Powerhouse Investment Fund.

Additional investor funds include Cambridge Angels and venture capital firm Par Equity.

Ed Wilson said: “This latest funding round represents a major milestone on our journey to commercialisation.

“With the support of our investors and the commitment of expert staff and board, our technology will soon be providing real ‘green’ benefits to the UK and within the huge global marketplace, reinforcing the UK’s position as a leader in the sector.”

Nova Pangaea’s tech processes ‘non-food biomass’ waste timber, straw or other crop waste and uses it as a basis for chemicals or bio-ethanol, which can be blended into petrol.

It offers the potential to cut carbon emissions and reduce reliance on oil without using land or crops suitable for food.

The technology could also provide a new source of income for industries such as sugar or any which produce a large amount of waste biomass.

Simon Crabtree, investment manager at Mercia, added: “Nova Pangaea has created a fantastic technology that could make a significant impact on both the UK and the world’s energy and chemicals needs, and break the reliance on oil. We are delighted to back Ed and his industry-leading team.”

The company, which is building a demonstration plant at Wilton with the help of a £4.6m Department of Transport (DfT) grant, currently employs 10 staff in addition to local subcontractors, but believes it could create hundreds of new jobs in the longer term.

With the plant due for completion in the coming months, the funding will allow the company to put it into operation, and globally market its technology.

Nova Pangaea is run by an experienced team led by engineer and serial entrepreneur Ed Wilson, the CEO.

Want your business, product or service to be seen regionally and nationally? Bdaily helps you get your story in front of the right audience, every day. Find out how Bdaily can help →

Join more than 55,000 subscribers by signing up to our daily bulletin each morning here.