$70M Co-Development and Project Finance Agreement to Propel Skyven Arcturus Industrial Steam-Generating Heat Pump Projects

Skyven Technologies, a leader in emissions-free industrial steam, has announced a $70 million co-development and project finance agreement with Kyotherm, a global financier of renewable thermal energy projects. This strategic partnership will accelerate the deployment of Skyven’s cutting-edge Arcturus steam-generating heat pump technology at manufacturing facilities across the United States.

A Capital Investment in Decarbonization

This agreement builds on Skyven’s recent $145 million award from the U.S. Department of Energy’s Office of Clean Energy Demonstrations (OCED). The combined capital will fuel Skyven’s Energy-as-a-Service (EaaS) offering, which allows industrial manufacturers to reduce their on-site emissions and improve operational efficiency with zero upfront capital.

Arun Gupta, Skyven’s Founder and CEO, highlighted the significance of the partnership:

“This capital helps fund our Energy-as-a-Service offering, allowing us to deploy Arcturus at industrial manufacturing facilities — saving them money and cutting their emissions with no capital expense required. We are excited to grow our longstanding relationship with Kyotherm and continue to advance the transition to cleaner industrial processes together.”

The co-development agreement combines project debt and project equity under a milestone-based structure, with Skyven Technologies maintaining majority ownership, control, and operational responsibility for the decarbonization projects. This seamlessly integrates all phases of funding required for Skyven’s Energy-as-a-Service (EaaS) projects, combining development capital for initial design and planning and construction capital to support the on-site buildout of the Arcturus steam-generating heat pump.

What This Means for Industry

The Arcturus steam-generating heat pump is a game-changer for hard-to-abate industries reliant on high-temperature and high-pressure steam to run on-site processes. Arcturus captures low-temperature heat rejected from industrial processes, increases the temperature of that heat (as high as 420°F / 215°C), and uses it to generate emissions-free steam at the same temperature, pressure, and quality of existing boilers. Resulting in reduced operating costs and reduced emissions for industrial manufacturers.

Kyotherm’s CEO, Arnaud Susplugas, emphasized the importance of this partnership in scaling sustainable solutions:

“We are proud to partner with Skyven Technologies again, and we see a lot of potential in the deployment of high-temperature industrial heat pumps such as Arcturus. This relationship aligns with our commitment to finance scalable solutions that address the urgent challenge of industrial decarbonization.”

The partnership also has tangible benefits for communities and the workforce. Beyond reducing emissions and improving air quality, the projects will create good-paying jobs and foster workforce training programs to improve the competitiveness of industrial manufacturers.

A Proven Partnership

This isn’t the first time Skyven and Kyotherm have collaborated. In 2021, their partnership delivered successful decarbonization projects at California Dairies, Inc. (CDI). These projects have collectively reduced CO₂ emissions by over 7,000 metric tons annually — all at zero cost to CDI.

With this new agreement, Skyven and Kyotherm are poised to replicate and expand their success on a larger scale.

The Bigger Picture

Skyven’s proven EaaS model removes the financial barriers to industrial decarbonization, making it an attractive option for manufacturers looking to reduce their emissions without sacrificing profitability.

Meanwhile, Kyotherm’s extensive experience in financing renewable thermal and energy efficiency projects ensures that these initiatives are not only feasible but scalable. With 63 projects across 12 countries already under their belt, Kyotherm brings expertise and a track record of success to this partnership.

A Call to Action

As industries continue to explore ways to improve operational efficiencies and reduce emissions, partnerships like this demonstrate what’s possible when innovation meets financial expertise. Skyven and Kyotherm are proving that industrial sustainability isn’t just an environmental imperative — it’s a smart business decision.

If your facility is looking for a way to cut emissions and save costs, now is the time to explore the benefits of the Arcturus steam-generating heat pump.

 

Read the full Press Release.