Bill Gates-Backed Deep Sky Secures $40 Million for Carbon Removal Breakthrough
Bill Gates’ Breakthrough Energy backs Deep Sky with a $40 million grant to transform carbon removal innovation.
Editorial Team (ET)May 9, 2025
The clean-tech venture firm founded by Bill Gates, Breakthrough Energy, has injected a $40 million grant into Deep Sky Corp., a Montreal-based startup dedicated to carbon capture innovation. Deep Sky is constructing its first large-scale carbon removal facility in Innisfail, Alberta, a move hailed as a breakthrough in combating climate change. The facility aims to pioneer technologies that can extract millions of tons of carbon dioxide (CO2) from the atmosphere and store it underground.
This initiative is not just about reducing emissions—it’s a race against time to mitigate the impacts of climate change. Deep Sky's ambitious plan aligns with global efforts to remove billions of tons of CO2 from the atmosphere by mid-century.
The High Stakes of Carbon Removal
Why is this investment critical? The Intergovernmental Panel on Climate Change (IPCC) warns that carbon removal is essential to achieving global climate goals. Yet, this industry remains in its infancy, marked by high costs and limited scalability. Current technologies charge anywhere from hundreds to $1,000 per ton of CO2 removed.
Deep Sky aims to change that narrative by testing and scaling the most promising technologies in its Alberta facility, which requires over C$100 million in investment. Backed by Breakthrough Energy’s Catalyst program, the startup is positioned to drive down costs and make carbon removal more accessible.
A Star-Studded Roster of Supporters
Deep Sky's financial backers represent a who’s who of climate innovation. With over C$130 million raised, the startup enjoys support from industry heavyweights such as Microsoft Corp., the Royal Bank of Canada, and the Quebec government. It has also partnered with direct-air capture companies like Mission Zero Technologies to refine its methods.
Notably, Deep Sky recently sold carbon removal credits to Microsoft and the Royal Bank of Canada, a promising sign that corporations are recognizing the economic and environmental value of these efforts.
Scaling Innovation: The Alberta Facility
The Innisfail plant is more than just a testing ground; it’s a proving ground for the future of carbon capture. Designed to identify and refine the most efficient carbon removal techniques, the facility will begin operations in 2025. It is expected to deliver carbon credits to major corporate buyers while driving technological advancements.
Other projects are already in the pipeline, including potential storage initiatives in Quebec. This multi-pronged approach underscores Deep Sky’s commitment to scalability and regional impact.
The Road Ahead for Carbon Capture
Despite the promise, challenges remain. According to the International Energy Agency, fewer than 30 direct air capture plants exist globally, with only a handful operational. The largest facility captures just 36,000 tons of CO2 annually—a drop in the bucket compared to the billions of tons required.
Mario Fernandez, head of Breakthrough’s Catalyst program, emphasizes the need for diverse solutions. “The world will ultimately need many approaches to carbon removal at prices far lower than is achievable today,” he said in a news release. Deep Sky’s efforts are a vital step in making affordable direct air capture a reality.
Conclusion
Deep Sky Corp.’s bold journey, fueled by a $40 million injection from Bill Gates’ Breakthrough Energy, represents a significant leap in carbon capture technology. With its Alberta facility poised to transform the landscape, the startup embodies the innovative spirit needed to tackle the climate crisis. Backed by a robust network of investors and partners, Deep Sky is well-positioned to lead the charge in building a sustainable future.
