In the coming weeks, Liberty Energy Capital will be working with its partners to launch a company that will see investors get access to the international biochar sector estimated to reach a market size of US$3.1b by 2025, growing at a CAGR of 13.2%.
The exciting new venture intends to become Australia’s biggest biochar producer, servicing a large commercial and industrial market.
Biochar is a stable form of carbon obtained from sustainable sources such as biomass and is the only actual carbon capture and storage system available in the world today.
Biochar is sequestered in soils to enhance their agricultural and environmental value. According to a NSW Ag Department trial, the state’s corn experienced yield growth from 13 to 35t/ha by utilising the material.
The process to produce biochar is known as pyrolysis, an ancient method currently used today for the production of emissions-free hydrogen.
Biochar is becoming increasingly popular because it turns biomass waste streams into revenue whilst having an incredible impact on the environment and climate.
Currently, it has market demand across various sectors — livestock (feed), agriculture (fertiliser), construction (cement), & animal bedding — and is sold for upwards of US$800 per tonne.
Benefits of Biochar:
- Biochar can significantly reduce the need for fertiliser, creating a large opportunity to fill the vacuum in an agriculture market that is seeing product shortages and subsequent price increases.
- Protects the environment from harmful chemical runoff, as it decreases the amount of synthetic fertiliser needed for crops.
- As a feed additive, biochar reduces the need for antibiotics while also increasing the overall health and yield of livestock.
- Effective regenerative agriculture strategy, as it restores soil carbon that has been lost due to previous farming practices and speeds up the process of the carbon stored in the soil faster than any other method.
- Assists in building soil microbes, key to regenerating soils, some of which build nitrogen in the soil.
- Increases water holding capacity so water is saved and can be used more efficiently.
- When blended into a standard cement mix, it can reinforce the overall strength by 20%.
- The production of biochar removes carbon from the atmosphere opening up the opportunity for lucrative carbon credits, which can generate millions of dollars in revenue per year.
- Biochar can be used in biochar-graphene composites, which has been touted as the strongest material known to exist, 200 times stronger than steel, lighter than paper, and with extraordinary mechanical and electrical properties.
- Recent studies have demonstrated that biochar-based materials show great application potential in energy storage and conversion because of their easily tuned surface chemistry and porosity.
- Biochar can be used for green steel production by replacing coal in electric arc furnaces.