ArcelorMittal-, Microsoft-Backed Boston Metal Raises $120M to Scale Green Steel Technology

Boston Metal, a Boston, MA-based company developing “green steel” technology to decarbonize steel production, raised $120mn in Series C funding. The raise was led by ArcelorMittal, the world’s second largest steelmaker, through its XCarb® Innovation Fund. Microsoft’s Climate Innovation Fund and SiteGround Capital also participated in the round.

To date, the company has raised about $210 million in equity rounds and about $10 million in government grants.

Tadeu Carneiro, CEO of Boston Metal, said its technology is “designed to decarbonize steel production at scale” and would “disrupt the industry.”

The company’s technology was developed at the Massachusetts Institute of Technology. Professors Donald Sadoway and Antoine Allanore, experts in energy storage and metallurgy, respectively, are the founders.

Irina Gorbounova of ArcelorMittal and Rick Cutright of current investor OGCI Climate Investments joined the company’s board of directors.

Making steel releases more climate-warming carbon dioxide than any other industry, according to the International Energy Agency – roughly 8% of worldwide emissions. Many companies such as Boston Metal are working on alternative measures.