Solugen Leading a Paradigm Shift in Chemical Manufacturing

03 Jan. 2022

When a chemical manufacture's first rule of business is "First, do no harm," we took notice and discovered an innovative company looking to make chemicals from sugar, not petroleum. With their mission of bringing clean, sustainable chemistry to every industry, Solugen is on our list of companies to follow in 2022.

The chemicals industry is a very dirty enterprise. The industry is responsible for a massive 30% of all carbon emissions and its waste significantly impacts aquatic animals, air quality, soil as well as critical sources of clean water. Humans have synthesized over 140,000 chemicals and trillions of tons of chemicals have been released into the environment — about 200 tons per year. Industrial chemicals, including known carcinogens and their residues have been founded throughout the food chain. Bottom dwelling creatures such as shrimp have been shown to be exceptionally dirty as toxins stay in aquatic environment for a longer period of time. Given this stark reality, Solugen's new approach to chemical manufacturing is a breath of fresh air.

Solugen unlocks the power of AI to engineer enzymes and metal catalysts. This innovative process allows Solugen to produce molecules with bio based feedstocks, without producing toxins and waste. The revolutionary technology has the potential to transform the chemical industry and upend over a century of convention. Currently, applications for Solugen's technology includes plant nutrition, concrete, cleaning materials, water treatment and food additives. All very large potential markets for Solugen to compete. .

One of the more exciting aspects of Solugen's business model is its practice of working with partners across industries to clean up their chemical supply chain. Overtime, these manufacturers are going to realize that they are part of a paradigm shift from traditional fermentation processes and thermo chemicals to large reactor tanks full of enzymes that can be controlled and manipulated. As this enzyme brew flows over metal catalysts it creates the final product without the use of petrochemicals. Solugen claims that more than 90% of the feedstock is converted into the final product. If tank were to explode corn syrup and compressed air would be leaked into the surrounding environment, a vast improvement over the status quo's petrochemical toxic stew.

Obviously, if Solugen is able to achieve its promise, it will be a leader in a very large industry. Singapore's private wealth fund certainly understands the potential of enzyme based chemical manufacturing, leading a $357 million round for the Houston company. That's right, Solugen is leading this shift not from the the hills of silicon valley but from the belly of the petrochemical beast, Houston, Texas. We are closely following the promise of Solugen with a close eye on the company's ability to scale its already proven process. We also look forward to any additional funding rounds as helping to determine possible valuation.

More about Solugen

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