First Mode, a Seattle, WA-based global carbon reduction company focused on heavy industry, raised $200m in equity funding from global mining company Anglo American.
The two companies also signed a binding agreement to combine First Mode and Anglo American’s nuGen™ zero emission haulage solution to accelerate the transition of mining and other heavy industries to diesel-free futures. The transaction, which is expected to close in January 2023, values the newly combined business in the order of US$1.5 billion.
Upon closing of the transaction, First Mode will enter into a global supply agreement to supply several nuGen™ systems to Anglo American which includes the retrofit of approximately 400 ultra-class haul trucks with First Mode’s proprietary hybrid fuel cell battery powerplant and related infrastructure. The supply agreement includes the appropriate provision of critical supporting infrastructure such as refueling, recharging, and facilitation of hydrogen production. The roll-out of nuGen™ across Anglo American’s haul truck fleet over the next 15 years is subject to certain conditions and required approvals.
Previously announced in June 2022, the transaction is a combination of creative engineering excellence and mining expertise which brings together the existing First Mode business with Anglo American’s nuGen™ related intellectual property, management, and operational teams.
The investment will facilitate the rapid global growth of First Mode, development of production facilities in Seattle and new proving grounds in Centralia, Washington, support staffing goals worldwide, develop our footprint in Perth, Australia, and speed the commercialization and deployment of First Mode clean energy solutions to market.
On close, Anglo American will become a majority shareholder of First Mode, with the balance continuing to be held by First Mode employees. In addition, current First Mode President and CEO, Chris Voorhees will transition to the role of Chief Product & Technology Officer, overseeing the company’s global product and technology development out of Seattle. Julian Soles, Anglo American’s head of Technology Development, will take over as First Mode CEO and be based in First Mode’s new headquarters in London.
First Mode was founded in 2018 by Rhae Adams, Spencer Anunsen, Colin Bateson, Riley Chapin, Krunal Desai, Brian Geddes, Peter Illsley, Maggie Scholtz, Josh Sweere, Chris Voorhees, and Josh Weiss.
FinSMEs
08/12/2022