Bill Gates, Jeff Bezos-Backed Startup Leads The Charge In Global 'Gold Rush' For Buried Hydrogen

Koloma, a clean fuel startup supported by Bill Gates and Jeff Bezos, is leading the international quest for geologic hydrogen, a potentially revolutionary energy source.

What Happened: The startup plans to leverage expertise from the hydrocarbon industry to speed up the discovery of this carbon-free resource, CNBC reported on Thursday.. Geologic hydrogen, also known as white, gold, or natural hydrogen, is a naturally occurring gas found beneath the Earth’s surface.

Pete Johnson, CEO and co-founder of Koloma, stated that the company could leverage existing expertise and service providers from the oil, gas, and mining industries to accelerate the maturation of the geologic hydrogen industry.

Founded a few years ago, Denver-based Koloma has already raised over $305 million. Its backers include U.S. venture capital firm Khosla Ventures, Amazon’s Climate Pledge Fund, United Airlines, and Breakthrough Energy Ventures, a climate and technology fund established by Bill Gates in 2015.

Exploratory efforts for this low-carbon energy source are currently underway in multiple countries, including the U.S., Canada, Australia, France, Spain, Colombia, and South Korea.

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Despite the potential of geologic hydrogen, the Hydrogen Science Coalition has raised environmental concerns about the extraction process and the challenges of transportation and distribution.

Despite these challenges, Johnson remains optimistic about the future of the industry, stating that Koloma is “very well capitalized, which allow us to take on these challenges the right way, thoughtfully and patiently.”

Why It Matters: The pursuit of geologic hydrogen as a viable energy source has seen mixed reactions. In July, Tesla Inc. CEO Elon Musk criticized the use of hydrogen for cars, calling it “silly.” Meanwhile, Fortescue, an Australian mining giant, delayed its green hydrogen ambitions due to higher energy prices.

However, interest in hydrogen as an energy source remains high. In September, Exxon Mobil struck a major hydrogen deal with Abu Dhabi National Oil Company (ADNOC). The deal involves ADNOC acquiring a 35% equity stake in Exxon Mobil’s proposed low-carbon hydrogen and ammonia production facility in Baytown, Texas.

These developments underscore the varied perspectives and challenges in the hydrogen industry, making Koloma’s pursuit of geologic hydrogen all the more significant.

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This story was generated using Benzinga Neuro and edited by Pooja Rajkumari