October 22, 2025
In a significant move to address its value chain emissions, tech giant Meta has entered an Environmental Attribute Credit (EAC) agreement with Electra, a clean iron startup. The deal was announced alongside a series of strategic purchase agreements Electra has secured with major global steel companies, signaling growing industry demand for low-carbon steel solutions.
Founded in 2020, Colorado-based Electra has pioneered a novel, low-temperature electrochemical process to refine iron ore into 99% pure iron. This method replaces the coal and extreme heat of traditional blast furnaces with renewable electricity and chemistry. The proprietary technique involves dissolving iron ore in an acidic solution, removing impurities, and then using an electrical current to deposit pure iron onto metal sheets.
Key advantages of Electra's technology include its compatibility with intermittent renewable energy sources due to its low-temperature operation and its ability to process a wide range of ores, including lower-grade and previously mined materials that are unsuitable for conventional ironmaking. The process also recovers valuable co-products like silica and alumina, reducing waste.
To scale its innovation, Electra has selected a site in Jefferson County, Colorado, for a new 130,000-square-foot demonstration facility. Slated to begin operations in mid-2026, the plant is expected to produce up to 500 metric tons of high-purity, low-carbon iron annually.
The project is bolstered by a new $50 million grant from Breakthrough Energy Catalyst—an initiative backed by Bill Gates—and an $8 million tax credit from the Colorado Industrial Tax Credit Offering (CITCO). This funding adds to the company's recent $186 million Series B financing round.
"Steel production is one of the largest sources of emissions, driven primarily by the energy-intensive step of refining iron," said Mario Fernandez, Head of Catalyst at Breakthrough Energy. "Electra is reimagining the fundamentals of ironmaking, enabling a scalable, cost-effective pathway to low-carbon steel."
The partnership with Meta aligns with the social media company's goal to achieve net zero emissions across its value chain by 2030. This target faces challenges from the rapid expansion of infrastructure to support artificial intelligence growth. Meta has recently explored using mass timber in data center construction to replace emissions-intensive steel and concrete. Under the new agreement, Meta will purchase verified EACs linked to the emissions reductions from Electra's clean iron process and will have an option for future EACs from commercial-scale facilities.
"Meta is thrilled to collaborate with Electra to advance low-carbon iron and steel – critical data center building solutions – made here in the U.S.," stated John DeAngelis, Head of Clean Technology Innovation at Meta. "Through this partnership and our commitment, we aim to demonstrate a pathway for these innovative materials to scale."
Electra's commercial purchase agreements include deals with U.S. steelmaker Nucor to use its clean iron in Electric Arc Furnace (EAF) steelmaking, with Toyota Tsusho America to distribute green steel to automakers, and with Germany's INTERFER Edelstahl Group for use in specialty steel applications. Nucor, Interfer, and Toyota Tsusho Corporation were also strategic investors in Electra's Series B round.
"We started Electra to fundamentally reinvent the way the world makes iron and tackle one of the biggest sources of industrial emissions, but we’ve always known we could not do it alone," said Sandeep Nijhawan, CEO of Electra. "With binding commitments and support from strategic partners, we are proving that pure iron can be made resourcefully and scaled quickly to meet global demand."
SOURCE esgtoday
