WEBVTT - Carbon Capture at Rock-Bottom Prices

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<v Speaker 1>Pushkin, How did spend in your childhood in Southeast India?

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<v Speaker 1>Ef fact that we think about climate change.

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<v Speaker 2>The place where I grew up, you know, just had

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<v Speaker 2>to have had their path. When things got dry, they

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<v Speaker 2>got really dry, and when things got wet, they got

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<v Speaker 2>really wet. You know, the monster's got more and more extreme.

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<v Speaker 2>The droughts got more and more extreme over time. And

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<v Speaker 2>it's a pretty normal thing to show up to school

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<v Speaker 2>one day and your friend just like doesn't come to

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<v Speaker 2>school for like six months at a time because they're

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<v Speaker 2>helping their parents recover from a flood that happened in

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<v Speaker 2>months ago. And it's a pretty common thing for me.

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<v Speaker 2>You know, I didn't know it was climate change growing up, honestly,

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<v Speaker 2>Like it was just like a thing that happened.

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<v Speaker 1>It was just climate.

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<v Speaker 2>That's what nature was, and things just got worse and

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<v Speaker 2>worse every year, and that's just how things are. As

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<v Speaker 2>I grew up and started learning a lot more, and

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<v Speaker 2>it started connecting the dots. What I realized was that

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<v Speaker 2>the folks who are facing the worst impacts of climate

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<v Speaker 2>change are the ones who are least educated about it

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<v Speaker 2>and then the most vulnerable to it already. And I

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<v Speaker 2>think That's what I think gives me a lot of

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<v Speaker 2>motivation and drive that fundamentally, this problem is an unfair

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<v Speaker 2>one where it's created and where the impacts are most felt.

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<v Speaker 2>People ask me like, how did you decide to work

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<v Speaker 2>on climate? How did you decide specifically to work on

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<v Speaker 2>carbon removal? But for me, it was a no brainer.

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<v Speaker 2>Of course I'm going to work on this, and of

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<v Speaker 2>course this is the most scalable way to solve the problem.

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<v Speaker 2>Being an engineer myself, like building these cost models so forth,

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<v Speaker 2>it's like it's actually possible. So why didn't we actually

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<v Speaker 2>go about doing it? It was just a matter of

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<v Speaker 2>putting together right team and right partners and going on

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<v Speaker 2>the journey.

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<v Speaker 1>I'm Jacob Goldstein and this is What's Your Problem? The

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<v Speaker 1>show where I talk to people who are trying to

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<v Speaker 1>make technological progress. My guest today is Shashank Samala Sschank

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<v Speaker 1>is the co founder and CEO of Airloom. Shashank's problem

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<v Speaker 1>is this, can you use crushed up rocks, specifically limestone,

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<v Speaker 1>to permanently suck carbon out of the atmosphere? And crucially

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<v Speaker 1>can you do it for one hundred dollars per ton

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<v Speaker 1>of carbon? To that end Heirloom has built a pilot

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<v Speaker 1>plant in California near its headquarters, and is currently working

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<v Speaker 1>on a much larger plant in Louisiana. By the way,

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<v Speaker 1>I learned about Shoshank from my conversation a few weeks

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<v Speaker 1>ago with Nan Ransahoff. If you missed that one and

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<v Speaker 1>want to hear more about carbon removal, you might want

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<v Speaker 1>to check that out. Shachank began his career in manufacturing.

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<v Speaker 1>He wasn't an environmental scientist or a geologist, so to

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<v Speaker 1>start I asked him about rocks.

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<v Speaker 2>We love rocks. I've dedicated my life to rocks.

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<v Speaker 1>When did you discover rocks?

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<v Speaker 2>When I realized that carbon capture is like the thing

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<v Speaker 2>to do, Not everyone has realized it yet, but like

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<v Speaker 2>people will. In that journey, I started just reading papers

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<v Speaker 2>and books at night, and you know, it was basically,

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<v Speaker 2>what are the natural things that I already doing this? It's

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<v Speaker 2>biomass and rocks.

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<v Speaker 1>Basically plants and rocks.

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<v Speaker 2>Yeah, exactly.

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<v Speaker 1>When you start looking at this, it does seem like

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<v Speaker 1>there's sort of three very crudely kind of modes. Right,

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<v Speaker 1>people are using fans, plants, and rocks, right, Yeah, Why

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<v Speaker 1>did you wind up ruling out fans and plants.

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<v Speaker 2>So that's a great question. I think at the beginning,

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<v Speaker 2>when I first got started, I wasn't married to any approach.

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<v Speaker 2>I come from a manufacturing background. I was making electronics

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<v Speaker 2>for satellites and robots and so forth, and you know,

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<v Speaker 2>manufacturing is superkin margins and you have to understand where

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<v Speaker 2>your costs are. And for me, when I first started

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<v Speaker 2>looking at this problem, it was very clear that at

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<v Speaker 2>the end of the day, what matters has cost costs

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<v Speaker 2>pertanos two. You know, it's not like we're designing an

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<v Speaker 2>amazingly beautiful car for people to drive around. All the

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<v Speaker 2>matters is how many molecules of CO two in the

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<v Speaker 2>air are and how cost effectively you remove it, how.

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<v Speaker 1>Many molecules of CO two per dollar you can get exactly.

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<v Speaker 2>So I was just so obsessed about, like, you know,

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<v Speaker 2>what is the absolute simplest way you can solve this problem.

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<v Speaker 2>And there's a bunch of other folks who are using

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<v Speaker 2>synthetic ways to you know, using fans and so forth

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<v Speaker 2>to pull carbon, And I think the best way to

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<v Speaker 2>approach an engineering problem is just like what is the

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<v Speaker 2>bare minimum you need and then add complexity from there.

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<v Speaker 1>So why does this idea of like cheapest absolute bare minimum,

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<v Speaker 1>why does that lead you to rocks?

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<v Speaker 2>Rocks basically have a couple of principles, right, Like, if

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<v Speaker 2>you start with the idea that you need CO two

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<v Speaker 2>to be permanently sequestered so you know it doesn't decomposs

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<v Speaker 2>back into the atmosphere, you need a sponge With rocks,

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<v Speaker 2>it's the CO two only goes one way and it

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<v Speaker 2>doesn't respire back you, so it doesn't decompos and they're

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<v Speaker 2>super cheap. Earth has already spent billions of years creating

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<v Speaker 2>this sort of crystal instruction in this geochemical mineral that

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<v Speaker 2>is thirsty for CO two, and it helped balance the

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<v Speaker 2>CO two in the atmosphere, So it already paid this

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<v Speaker 2>energy penalty to make this rock that is super abundant

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<v Speaker 2>and cheap. So the mineral the view using it's you know,

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<v Speaker 2>thirty to forty bucks a ton, and we can reuse

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<v Speaker 2>it over and over again. So you know, if you

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<v Speaker 2>can reuse it s a hundred cycles, you can get

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<v Speaker 2>the cost per ton for the rock down to twenty

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<v Speaker 2>thirty cents.

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<v Speaker 1>So you land on limestone. Right, you haven't said limestone,

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<v Speaker 1>but you're talking about limes. Ztone, tell me about limestone.

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<v Speaker 2>Yeah, So limestone is this amazingly beautiful chemical. It's a

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<v Speaker 2>naturally occurring mineral. There is four percent of the Earth's

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<v Speaker 2>crust is made up of limestone, and the chemical formula

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<v Speaker 2>for it is calcium carbonate, and Earth produced a lot

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<v Speaker 2>of this over you know, billions of years to partly

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<v Speaker 2>to help balance the CO two in the atmosphere. It's

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<v Speaker 2>like if you're a rock climber, it's a chalk that is,

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<v Speaker 2>it's a carbonate limestone. It's it's incredibly abundant, basically looks

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<v Speaker 2>like white powder.

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<v Speaker 1>So that's limestone. It has carbon dioxide in it already,

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<v Speaker 1>so it's already done the thing you want to do

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<v Speaker 1>Exactly when you're figuring out what's going to be your

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<v Speaker 1>play for air capture, like how do you get to

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<v Speaker 1>where you wind up? Like you see that limestone has

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<v Speaker 1>already done this thing. Limestone already has the carbon, but

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<v Speaker 1>that's not what you want, Like you want to capture

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<v Speaker 1>more carbon exactly.

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<v Speaker 2>I think carbon removal and directory capture. It's all a

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<v Speaker 2>energy optimization play. Yeah, how do you spend as little

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<v Speaker 2>energy as possible to remove a bunch of cooto molecules

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<v Speaker 2>from the air, and you know, and there's a lot

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<v Speaker 2>of different directions, a lot of different philosophies on how

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<v Speaker 2>you approach this problem. And our thesis was, you need

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<v Speaker 2>a sponge to remove the CO two, and there's an

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<v Speaker 2>energy that goes into capturing the YOU two, and there's

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<v Speaker 2>an energy that goes into releasing that CO two so

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<v Speaker 2>that we can capture more CO two with that sponge.

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<v Speaker 1>Right, you got to capture the CO two from the air,

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<v Speaker 1>and then you've got to do something with it to

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<v Speaker 1>basically stick it in the ground for ten thousand years exactly.

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<v Speaker 1>So it's a two step process. There's capture and storage. Right.

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<v Speaker 1>All the different angles are doing some version of that, right,

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<v Speaker 1>those two step process exactly.

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<v Speaker 2>It's a capture and a release, capture and regeneration. And

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<v Speaker 2>the whole play is how do you minimize energy in

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<v Speaker 2>both of those steps.

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<v Speaker 1>Yeah, because the energy basically winds up being cost, right,

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<v Speaker 1>like the cost the key input ends up being energy.

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<v Speaker 2>Exactly right, exactly right. It's you know, whether it's in

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<v Speaker 2>the form of capital equipment, whether it's in the form

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<v Speaker 2>of literal electrons going in, it's energy. At the end

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<v Speaker 2>of the day. Is the thing to optimize around, and

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<v Speaker 2>so for us when we looked around, that was not

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<v Speaker 2>a PhD in material science when I started this, right, like,

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<v Speaker 2>I come from a manufacturing background, and I literally just

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<v Speaker 2>like picked up my chemistry books from high school and

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<v Speaker 2>reread them to you know, first getting started and basically like,

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<v Speaker 2>if this is the framework and you're trying to optimize

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<v Speaker 2>energy on both sides, first you start with the capture step. Okay,

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<v Speaker 2>well what already does this naturally? Right? And there's a

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<v Speaker 2>bunch of carbonates, calcin carbonate, machnicin carbonate, and so forth.

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<v Speaker 2>And we ended up with calcin carbonate limestone because it

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<v Speaker 2>needs the lowest amount of energy to capture CO two, okay,

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<v Speaker 2>just thermodynamically, and it's thermodynamically favored. It's so thirsty for

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<v Speaker 2>COO two, Like if you figure out a way to

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<v Speaker 2>break it to release that COO two and you put

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<v Speaker 2>that on your desk, it just starts gobbling up COO

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<v Speaker 2>two molecules whether you like it or not.

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<v Speaker 1>So it's very energy favorable for step one exactly capture,

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<v Speaker 1>but it doesn't want to release it once it has

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<v Speaker 1>it right as you put it out. There's two steps.

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<v Speaker 2>There's two steps.

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<v Speaker 1>Now you've got this limestone full of carbon, but you

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<v Speaker 1>got to get it to release it. And it does

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<v Speaker 1>seem like for you that's the hard part. That's certainly

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<v Speaker 1>the energy intensive part.

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<v Speaker 2>That is certainly the energy intensive part. Not just for us,

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<v Speaker 2>it's actually basically everyone else.

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<v Speaker 1>Oh you mean, for all of the carbon capture and removal.

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<v Speaker 1>It's actually the release is the hard part.

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<v Speaker 2>The release is the most energy intensive part. And when

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<v Speaker 2>we first picked limestone, we liked the way of releasing

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<v Speaker 2>CO two in the second step because cement industry already

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<v Speaker 2>does this, cement and lime industry. They take limestone, they

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<v Speaker 2>break it into calcium oxide CO two put the cootwo

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<v Speaker 2>into the air, but they take the calcium oxide, put

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<v Speaker 2>a bunch of other stuff to it, and turn it

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<v Speaker 2>into cement.

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<v Speaker 1>And just to be clear, like let's just pause there,

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<v Speaker 1>because this is a giant global industry that in fact

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<v Speaker 1>is a huge emitter for this reason, right fact, the

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<v Speaker 1>key input to cement is limestone. And the basic thing

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<v Speaker 1>you do when you're making cement is you put limestone

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<v Speaker 1>in a kiln, make it very hot, and you just

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<v Speaker 1>burn off the CO two and then you're left with lime,

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<v Speaker 1>which is whatever, it's calcium oxide something. Yeah, So there

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<v Speaker 1>is a question I have there, which is like, there's

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<v Speaker 1>already a giant global industry of people doing this. Yes,

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<v Speaker 1>would it not be more efficient to just capture that

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<v Speaker 1>CO two that they're already releasing literally today in great

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<v Speaker 1>quantities and stick that in the ground.

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<v Speaker 2>We should absolutely do that, And there's many companies already

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<v Speaker 2>doing that as well. And that's that's called points source capture,

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<v Speaker 2>So where you're essentially avoiding emissions from a cement plant

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<v Speaker 2>or national gas power plan fitting the CO two into.

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<v Speaker 1>The air, and then you get to sell the cement, right.

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<v Speaker 1>I feel like the economics there are much more favorable.

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<v Speaker 2>Well, you're selling cement, but it's actually an added cost

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<v Speaker 2>to capture that CO two.

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<v Speaker 1>Right, sure, So I mean ideally you could sell the

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<v Speaker 1>cement and sell the carbon capture and removal.

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<v Speaker 2>Yeah, it's a different technical method. It's it's points source capture,

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<v Speaker 2>and there's a bunch of folks already working on it.

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<v Speaker 2>What we're focused on is removing COEO two that's already

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<v Speaker 2>in the air.

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<v Speaker 1>Are you assuming that like in X years ten or something,

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<v Speaker 1>everybody making cement's going to do that? Anyways? And you

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<v Speaker 1>want to do a marginal benefit.

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<v Speaker 2>So if you look across four thousands CEM in plants

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<v Speaker 2>that already exist on the planet, there's a bunch of

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<v Speaker 2>other infrastructure that needs to be in place for points

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<v Speaker 2>source capture to happen. There's a bunch of cemen plants

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<v Speaker 2>that are close to where energy is cheap and underground

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<v Speaker 2>storage is available, where they can do points source capture,

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<v Speaker 2>and we should absolutely do it. But there's also many

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<v Speaker 2>many cimon plants, thousands of cimon plants that are not

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<v Speaker 2>near where a COE to underground storage is available or

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<v Speaker 2>energy is not available. To actually capture that CO two

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<v Speaker 2>from from the flue gas that it would be very expensive.

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<v Speaker 2>You would have to transport that CO two hundreds of

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<v Speaker 2>miles away and that costs a lot of money, and

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<v Speaker 2>effectively it becomes a cost benefit analysis where it could

0:11:57.036 --> 0:11:59.636
<v Speaker 2>actually be cheaper to remove the CO two than putting

0:11:59.676 --> 0:12:01.276
<v Speaker 2>a point source capture on top of it.

0:12:01.516 --> 0:12:04.676
<v Speaker 1>So okay, so that's why not do it with cement

0:12:04.756 --> 0:12:07.076
<v Speaker 1>or not just do it with cement exactly. So you

0:12:07.196 --> 0:12:11.196
<v Speaker 1>have this idea, what are the obvious problems with it?

0:12:11.196 --> 0:12:13.316
<v Speaker 1>When you come up with the idea, what are the like, oh,

0:12:13.356 --> 0:12:15.036
<v Speaker 1>here's why it's going to be difficult.

0:12:15.876 --> 0:12:18.236
<v Speaker 2>Here's why it's going to be difficult. So I think

0:12:18.716 --> 0:12:21.196
<v Speaker 2>at the beginning, you know, when before the start started,

0:12:21.236 --> 0:12:24.716
<v Speaker 2>and I think people knew that rocks can capture CO two,

0:12:25.916 --> 0:12:31.356
<v Speaker 2>but the problem was it was too slow. You know, geochemically, naturally,

0:12:31.516 --> 0:12:34.476
<v Speaker 2>it would take maybe six months or a year to

0:12:34.516 --> 0:12:37.076
<v Speaker 2>fully saturate itself with CO two in the air. So

0:12:37.116 --> 0:12:38.516
<v Speaker 2>if you put that on your desk, it would take

0:12:38.516 --> 0:12:41.476
<v Speaker 2>that long. And if you put that into a cost model,

0:12:41.636 --> 0:12:44.476
<v Speaker 2>you pretty quickly realize that there's just no way this

0:12:44.556 --> 0:12:47.036
<v Speaker 2>can get to one hundred bucks a ton long term.

0:12:46.676 --> 0:12:49.396
<v Speaker 1>Just because you've got to have like essentially a factory,

0:12:49.556 --> 0:12:52.356
<v Speaker 1>and all that's happening at your factory is rock is

0:12:52.396 --> 0:12:54.196
<v Speaker 1>sitting there for a year exactly.

0:12:54.236 --> 0:12:58.076
<v Speaker 2>You need gobs and gobs of limestone, yea, And I

0:12:58.076 --> 0:13:00.636
<v Speaker 2>mean think of you know, thousands of scure kilometers to

0:13:01.076 --> 0:13:01.836
<v Speaker 2>capture you.

0:13:01.756 --> 0:13:02.716
<v Speaker 1>Know, not gonna work.

0:13:02.876 --> 0:13:05.476
<v Speaker 2>It's not gonna work. So, you know, it was pretty

0:13:05.516 --> 0:13:08.756
<v Speaker 2>clear from the beginning that this thing needs to be

0:13:09.316 --> 0:13:12.596
<v Speaker 2>at least ten times faster, if not more. And at

0:13:12.636 --> 0:13:15.436
<v Speaker 2>the beginning, we're not sure whether this is even possible.

0:13:15.516 --> 0:13:18.476
<v Speaker 2>And you know, we just had a few scientists just

0:13:18.636 --> 0:13:21.756
<v Speaker 2>playing around with a few different things, and they figured

0:13:21.756 --> 0:13:24.996
<v Speaker 2>out how to basically give it superpowers to pull carbon

0:13:25.036 --> 0:13:29.076
<v Speaker 2>from the air faster. And over the last been seven years,

0:13:29.076 --> 0:13:30.996
<v Speaker 2>where you know, we started at six months, and we

0:13:31.596 --> 0:13:34.196
<v Speaker 2>first went to you know, three months, and then you know,

0:13:34.196 --> 0:13:36.076
<v Speaker 2>it went down to a month, and then it went

0:13:36.116 --> 0:13:38.396
<v Speaker 2>down to two weeks and five days and four days.

0:13:38.476 --> 0:13:43.196
<v Speaker 2>We're way down below that today. And what's been interesting

0:13:43.356 --> 0:13:46.796
<v Speaker 2>is people will always ask me, why is this so

0:13:46.876 --> 0:13:49.916
<v Speaker 2>important for you to cycle time? And it's so important

0:13:49.916 --> 0:13:52.676
<v Speaker 2>because the difference between ten days and five days is

0:13:53.116 --> 0:13:56.316
<v Speaker 2>for the same amount of capital equipment, I can get

0:13:56.316 --> 0:13:59.396
<v Speaker 2>two x to through put right, and the costs come

0:13:59.476 --> 0:14:03.876
<v Speaker 2>down just dramatically. So that's been our biggest lever and

0:14:03.956 --> 0:14:07.356
<v Speaker 2>it's been amazing. Every twelve to eighteen months we figured

0:14:07.356 --> 0:14:08.996
<v Speaker 2>out a way to make it about two ks faster.

0:14:09.476 --> 0:14:12.436
<v Speaker 2>I think that's where a lot of optimism comes from

0:14:12.516 --> 0:14:13.276
<v Speaker 2>for cost reduction.

0:14:14.556 --> 0:14:17.516
<v Speaker 1>Is there one particular improvement that would be interesting to

0:14:17.516 --> 0:14:20.076
<v Speaker 1>talk about, one particular thing you figured out or your

0:14:20.116 --> 0:14:21.556
<v Speaker 1>team figured out to go faster.

0:14:22.716 --> 0:14:25.836
<v Speaker 2>There's about fifteen to twenty different parameters internally, you know,

0:14:25.916 --> 0:14:29.596
<v Speaker 2>there's like particle size, particle size distribution, the porosity of

0:14:29.596 --> 0:14:31.636
<v Speaker 2>the particle, the surface area of each particle.

0:14:32.036 --> 0:14:34.276
<v Speaker 1>So these are just physical traits. You sort of mash

0:14:34.356 --> 0:14:36.356
<v Speaker 1>up the rock in different ways, grind it up one

0:14:36.396 --> 0:14:37.596
<v Speaker 1>way or grind it up another way.

0:14:37.756 --> 0:14:39.716
<v Speaker 2>Yeah, so we actually grind it up only once at

0:14:39.716 --> 0:14:41.756
<v Speaker 2>the beginning, when we first get the feed stock from

0:14:41.756 --> 0:14:45.556
<v Speaker 2>the mine. But how you run the process, you know

0:14:45.596 --> 0:14:48.956
<v Speaker 2>what temperature and what residents time you have in the oven.

0:14:49.076 --> 0:14:50.916
<v Speaker 2>You know, it's sort of like when you're baking cookies

0:14:50.916 --> 0:14:52.836
<v Speaker 2>in an oven, right, Like there's a few levers you have,

0:14:53.356 --> 0:14:56.076
<v Speaker 2>and it actually turns out they have a big implication

0:14:56.156 --> 0:14:59.196
<v Speaker 2>on how the physical properties of these things are.

0:15:00.156 --> 0:15:02.996
<v Speaker 1>But it's not chemical. You're not like adding chemical inputs.

0:15:03.036 --> 0:15:06.436
<v Speaker 1>You're just monking with the limestone in different ways to

0:15:06.476 --> 0:15:11.716
<v Speaker 1>get you know, a magnitude of it's.

0:15:11.156 --> 0:15:15.556
<v Speaker 2>Pretty insane, Like it's the science is a lot more complicated.

0:15:15.556 --> 0:15:19.716
<v Speaker 2>But there's a specific parameter space that the nature really

0:15:19.756 --> 0:15:24.316
<v Speaker 2>loves limestone to be in, and we're constantly experimenting with

0:15:24.636 --> 0:15:26.756
<v Speaker 2>how you get into that tight space.

0:15:28.196 --> 0:15:30.076
<v Speaker 1>When you say nature loves that, you mean that makes

0:15:30.076 --> 0:15:34.476
<v Speaker 1>it particularly eager to absorb carbon dioxide.

0:15:34.076 --> 0:15:38.956
<v Speaker 2>Exactly Yeah, humidity. For example, we love humidity. It actually

0:15:38.956 --> 0:15:41.356
<v Speaker 2>forms a thin layer of water on top of lime

0:15:42.076 --> 0:15:45.036
<v Speaker 2>and it makes it even more thirsty for COO two,

0:15:45.276 --> 0:15:47.916
<v Speaker 2>And all these things kind of work together. And our

0:15:47.956 --> 0:15:51.036
<v Speaker 2>technology is all about how do you keep this rock

0:15:51.156 --> 0:15:54.316
<v Speaker 2>in that tight space so we can capture you know,

0:15:54.396 --> 0:15:56.276
<v Speaker 2>CO two about one hundred times faster.

0:15:56.196 --> 0:15:59.596
<v Speaker 1>That tight possibility space, that tight space of possible, and.

0:15:59.596 --> 0:16:01.636
<v Speaker 2>As cheaply as possible. Right, Like, we're not adding chemicals,

0:16:01.676 --> 0:16:04.836
<v Speaker 2>we're not adding catalysts, just a bunch of rocks sitting

0:16:04.876 --> 0:16:05.396
<v Speaker 2>on trace.

0:16:06.116 --> 0:16:08.316
<v Speaker 1>Let's talk about the facility. So you built this facility

0:16:08.916 --> 0:16:12.596
<v Speaker 1>in Tracy, California, right east of San Francisco. That's sort

0:16:12.596 --> 0:16:15.036
<v Speaker 1>of a pilot plant. Let's talk about that as a

0:16:15.076 --> 0:16:17.116
<v Speaker 1>way to understand the process. What does it look like

0:16:17.156 --> 0:16:19.036
<v Speaker 1>if I drive up there? Like, how big is it?

0:16:19.076 --> 0:16:19.756
<v Speaker 1>What does it look like?

0:16:20.036 --> 0:16:23.396
<v Speaker 2>So you drive up there and the first thing you

0:16:23.516 --> 0:16:28.436
<v Speaker 2>see is that there's a big box and the box

0:16:28.516 --> 0:16:32.876
<v Speaker 2>is basically, you know, it's a semi open building.

0:16:32.996 --> 0:16:35.276
<v Speaker 1>Like the size of Costco or something. When you say

0:16:35.316 --> 0:16:36.676
<v Speaker 1>big box, like how big are you talking?

0:16:36.836 --> 0:16:40.836
<v Speaker 2>Yeah, it's this specific one is probably a quarter size

0:16:40.956 --> 0:16:44.076
<v Speaker 2>of a Costco. And once you go in, you will

0:16:44.116 --> 0:16:49.596
<v Speaker 2>see these tall stocks of trays. Imagine very large baking trays,

0:16:50.076 --> 0:16:51.876
<v Speaker 2>stock multiple stories.

0:16:51.596 --> 0:16:52.796
<v Speaker 1>How many stories? How tall?

0:16:52.916 --> 0:16:55.636
<v Speaker 2>So this specific one is about forty feet tall, a

0:16:55.636 --> 0:16:57.476
<v Speaker 2>couple hundred trays stacked all the way to the top.

0:16:57.516 --> 0:17:00.876
<v Speaker 2>And if you come closer to each tray, you'll start

0:17:00.916 --> 0:17:05.996
<v Speaker 2>seeing kind of like a large white cookie crumbled sitting

0:17:06.036 --> 0:17:07.756
<v Speaker 2>on a tray, and.

0:17:07.756 --> 0:17:09.876
<v Speaker 1>It looks like it's just sitting there, but actually it's

0:17:09.916 --> 0:17:12.196
<v Speaker 1>absorbing carbon dioxide out of the air exactly.

0:17:12.276 --> 0:17:17.476
<v Speaker 2>And what's cool is when you so you start out with,

0:17:17.636 --> 0:17:19.916
<v Speaker 2>you know, a bunch of white powder, and there's a

0:17:19.916 --> 0:17:22.836
<v Speaker 2>small amount of water that basically makes it cohesive, and

0:17:22.956 --> 0:17:26.716
<v Speaker 2>over time it's actually growing, just like growing like a cookie, right,

0:17:26.756 --> 0:17:29.556
<v Speaker 2>And as it's growing, it forms all these cracks and

0:17:29.596 --> 0:17:32.236
<v Speaker 2>it crumbles and so forth, and all that extra mass

0:17:32.516 --> 0:17:35.756
<v Speaker 2>is COO two. The only thing that captures is CO

0:17:35.996 --> 0:17:36.596
<v Speaker 2>two from the air.

0:17:37.916 --> 0:17:40.476
<v Speaker 1>And so at this point, how long does that process take?

0:17:40.516 --> 0:17:41.876
<v Speaker 1>It takes a day or something.

0:17:41.916 --> 0:17:45.156
<v Speaker 2>It takes a few days. The ones upcoming are much faster,

0:17:45.676 --> 0:17:47.836
<v Speaker 2>So I'll keep that under the rest.

0:17:48.756 --> 0:17:51.956
<v Speaker 1>So then you have your big cookie full of carbon dioxide.

0:17:52.796 --> 0:17:54.596
<v Speaker 1>What do you do with it?

0:17:54.716 --> 0:17:56.996
<v Speaker 2>After a few days. We don't wait until one hundred

0:17:57.036 --> 0:17:59.956
<v Speaker 2>percent saturation. We wait until eighty five ninety percent, and

0:17:59.996 --> 0:18:03.756
<v Speaker 2>then we bring it over to a hot kiln. And

0:18:03.796 --> 0:18:06.996
<v Speaker 2>this kiln is running. You know, it's electric, it's renewable

0:18:07.116 --> 0:18:08.396
<v Speaker 2>energy powered, so.

0:18:08.356 --> 0:18:10.476
<v Speaker 1>It's super high, right, what is it like, nine hundred

0:18:10.516 --> 0:18:13.796
<v Speaker 1>degrees celsius or exactly right? Wildly hot? Yeah. Yeah.

0:18:14.556 --> 0:18:19.076
<v Speaker 2>Basically, you're exposing this material for ten to fifteen seconds

0:18:19.316 --> 0:18:25.116
<v Speaker 2>to very high temperature, and it's decomposing. It's releasing the

0:18:25.156 --> 0:18:27.916
<v Speaker 2>CO two that it captured from the air, and now

0:18:28.036 --> 0:18:31.596
<v Speaker 2>you essentially have high purity CO two coming out of

0:18:31.596 --> 0:18:34.876
<v Speaker 2>the kiln. We compress it and in the case of

0:18:34.916 --> 0:18:38.556
<v Speaker 2>the Tracy facility, we store it in concrete, but in

0:18:38.596 --> 0:18:42.276
<v Speaker 2>the future facilities it's either going underground or it's used

0:18:42.316 --> 0:18:45.636
<v Speaker 2>for synthetic fuels and so forth. The line that comes

0:18:45.636 --> 0:18:48.156
<v Speaker 2>off of it, it's ready to capture more CO two.

0:18:48.436 --> 0:18:52.036
<v Speaker 2>So we're sending it back into the tray, expose it

0:18:52.076 --> 0:18:55.076
<v Speaker 2>to the air, capture more CO two, Wait a few days,

0:18:55.236 --> 0:18:58.076
<v Speaker 2>put it back in the kilnt and the cycle repeats

0:18:58.116 --> 0:18:59.916
<v Speaker 2>over and over and over again.

0:19:00.876 --> 0:19:03.356
<v Speaker 1>Heating get kiln to nine hundred degrees See is wildly

0:19:03.476 --> 0:19:06.356
<v Speaker 1>energy intensive, right, And obviously for your project, you're not

0:19:06.396 --> 0:19:08.156
<v Speaker 1>going to burn fossil fuel to do that. But is

0:19:08.196 --> 0:19:10.996
<v Speaker 1>that in terms of the cost of the whole thing,

0:19:11.156 --> 0:19:12.436
<v Speaker 1>Is that the expensive part?

0:19:13.076 --> 0:19:15.796
<v Speaker 2>That's the expensive part, Yes, And I think the one

0:19:15.796 --> 0:19:20.596
<v Speaker 2>thing to realize is that the cement industry does this

0:19:20.796 --> 0:19:24.556
<v Speaker 2>incredibly efficiently. Obviously they use cold natural gas and so forth,

0:19:24.916 --> 0:19:27.276
<v Speaker 2>and you know, they've had decades of learning around how

0:19:27.316 --> 0:19:30.236
<v Speaker 2>to do this efficiently so that you know, there's all

0:19:30.276 --> 0:19:33.356
<v Speaker 2>sorts of heat exchange and heat recovery, and what we're

0:19:33.356 --> 0:19:36.316
<v Speaker 2>doing right now is basically learning from that industry to

0:19:36.476 --> 0:19:40.756
<v Speaker 2>incorporate that heat recovery so that the energy is as

0:19:40.796 --> 0:19:43.756
<v Speaker 2>low as possible. I often think about, you know, what

0:19:43.876 --> 0:19:46.516
<v Speaker 2>is the energy that's required for us to hit one

0:19:46.596 --> 0:19:48.676
<v Speaker 2>hundred dollars per ton And we will talk about why

0:19:48.796 --> 0:19:51.956
<v Speaker 2>hundred dollars per ton in a minute for that project,

0:19:51.956 --> 0:19:57.556
<v Speaker 2>about two mega wat hours pertennaco two And if we

0:19:57.876 --> 0:20:01.316
<v Speaker 2>adopted everything the cement industry alreadopted like, we could be

0:20:01.396 --> 0:20:04.636
<v Speaker 2>a lot lower than two mega what hours. So you're

0:20:04.636 --> 0:20:08.676
<v Speaker 2>not breaking physics in terms of the energy required to

0:20:08.676 --> 0:20:10.956
<v Speaker 2>get to that. So you know, for us, the main

0:20:10.996 --> 0:20:14.676
<v Speaker 2>goal is to make it as energy efficient as possible,

0:20:14.756 --> 0:20:17.636
<v Speaker 2>recover heat, reuse the heat, and so forth, so that

0:20:18.156 --> 0:20:19.996
<v Speaker 2>you're not losing that heat to the atmosphere.

0:20:20.356 --> 0:20:22.476
<v Speaker 1>So you're saying you just have to be as efficient

0:20:22.716 --> 0:20:24.676
<v Speaker 1>as a industrial cement plant.

0:20:24.796 --> 0:20:26.076
<v Speaker 2>Is that what you're saying exactly?

0:20:26.876 --> 0:20:28.196
<v Speaker 1>I feel like it's harder than that.

0:20:28.276 --> 0:20:31.916
<v Speaker 2>Sound Well, it's harder because folks have not done this

0:20:32.316 --> 0:20:33.916
<v Speaker 2>yet for an electric kiln.

0:20:34.196 --> 0:20:38.036
<v Speaker 1>I see, there's a reason fossil fuel is awesome, right, Like,

0:20:38.156 --> 0:20:42.636
<v Speaker 1>it's incredibly efficient way to generate heat. It has one

0:20:42.676 --> 0:20:46.476
<v Speaker 1>notable downside which you're trying to fix. How many mega

0:20:46.516 --> 0:20:48.276
<v Speaker 1>wade hours per ton does it take you? Now?

0:20:49.116 --> 0:20:52.116
<v Speaker 2>It takes us maybe I want to say three ish

0:20:52.156 --> 0:20:52.916
<v Speaker 2>mega white hours.

0:20:53.356 --> 0:20:54.756
<v Speaker 1>Okay, you got to get a third out of that.

0:20:54.836 --> 0:20:57.476
<v Speaker 2>Yeah, A lot of it is just heat recovery, right,

0:20:57.716 --> 0:21:00.836
<v Speaker 2>Like how the cement kilns have done it is they have,

0:21:00.956 --> 0:21:04.156
<v Speaker 2>you know, multiple decades of experience just figuring out how

0:21:04.196 --> 0:21:07.596
<v Speaker 2>to reuse the heat. And for us just doing that

0:21:07.636 --> 0:21:11.156
<v Speaker 2>with an electrical system with fossil fuel, you know, what

0:21:11.196 --> 0:21:13.356
<v Speaker 2>you're doing is you're spending a bunch of energy burning

0:21:13.396 --> 0:21:19.236
<v Speaker 2>that fuel that you don't get back with electrical it's renewable, right,

0:21:19.236 --> 0:21:21.636
<v Speaker 2>Like once you put in the energy, you can actually

0:21:21.716 --> 0:21:24.636
<v Speaker 2>use those electrical heating elements over and over again, so

0:21:24.716 --> 0:21:27.996
<v Speaker 2>overall thermal efficiency is actually higher. So that's actually what

0:21:28.076 --> 0:21:30.716
<v Speaker 2>makes me so excited that like we're getting closer and

0:21:30.716 --> 0:21:32.956
<v Speaker 2>closer to what's actually possible.

0:21:36.156 --> 0:21:49.916
<v Speaker 1>We'll be back in just a minute. Tell me what

0:21:49.956 --> 0:21:51.196
<v Speaker 1>you're working on in Louisiana.

0:21:52.196 --> 0:21:56.956
<v Speaker 2>We're building Project Cypress and this is a director capture

0:21:57.676 --> 0:22:02.196
<v Speaker 2>hub that is funded by the Department of Energy and

0:22:02.436 --> 0:22:06.236
<v Speaker 2>US along with our partner Client Works and BTEL. We're

0:22:06.236 --> 0:22:07.596
<v Speaker 2>building a hub.

0:22:08.356 --> 0:22:11.436
<v Speaker 1>Clim Works is fans, right, using fans to do air capture.

0:22:11.436 --> 0:22:16.116
<v Speaker 1>They've they've been working in Iceland, right. And Battel is

0:22:16.156 --> 0:22:18.316
<v Speaker 1>like a big what are they like an oil field

0:22:18.316 --> 0:22:20.396
<v Speaker 1>services coming to their big like industrial firm. Am I

0:22:20.396 --> 0:22:21.356
<v Speaker 1>thinking of the right company.

0:22:21.516 --> 0:22:26.236
<v Speaker 2>Battel is a engineering and procurement and their government contractor

0:22:26.276 --> 0:22:30.116
<v Speaker 2>they're the hub owner and they're the ones interfacing with

0:22:30.316 --> 0:22:33.116
<v Speaker 2>the government because this is a public private partnership.

0:22:33.636 --> 0:22:35.876
<v Speaker 1>So how big is the thing you're building there, Like,

0:22:35.956 --> 0:22:36.996
<v Speaker 1>what's it going to look like?

0:22:37.676 --> 0:22:41.236
<v Speaker 2>It's multiple phases and it's going to scale up to

0:22:41.316 --> 0:22:44.476
<v Speaker 2>about a megaton one million tons of CO two removed

0:22:45.156 --> 0:22:46.956
<v Speaker 2>over the multiple phases of the project.

0:22:47.676 --> 0:22:49.636
<v Speaker 1>What you said about a million tons per year, right,

0:22:49.636 --> 0:22:53.076
<v Speaker 1>that's per year, and so that's like a big natural

0:22:53.076 --> 0:22:55.316
<v Speaker 1>gas power plant. That's about what that is, right, order

0:22:55.356 --> 0:22:56.556
<v Speaker 1>of magnitude.

0:22:56.036 --> 0:22:59.556
<v Speaker 2>In terms of coog omitted, it's about it's a very

0:22:59.636 --> 0:23:00.756
<v Speaker 2>large national gas.

0:23:00.516 --> 0:23:04.196
<v Speaker 1>Power maybe two maybe two x. Or are there something

0:23:04.396 --> 0:23:07.716
<v Speaker 1>like a thousand of those in the country five hundred

0:23:07.756 --> 0:23:08.556
<v Speaker 1>one thousand.

0:23:09.276 --> 0:23:12.716
<v Speaker 2>Right now, depending on you. Yeah, at least a thousand

0:23:12.756 --> 0:23:15.476
<v Speaker 2>across the world. There's yeah, multiple thousands.

0:23:16.476 --> 0:23:19.076
<v Speaker 1>When I was sort of figuring out that math, I

0:23:19.116 --> 0:23:22.836
<v Speaker 1>was praying for the interview, like I got disheartened, to

0:23:22.916 --> 0:23:25.276
<v Speaker 1>be honest, Like I was like, Oh, here's the great,

0:23:25.316 --> 0:23:28.076
<v Speaker 1>big one, and the government is supporting it and putting

0:23:28.116 --> 0:23:30.316
<v Speaker 1>in hundreds of millions of dollars. Right, that's the order

0:23:30.316 --> 0:23:32.596
<v Speaker 1>of magnitude for this project. And it's like, oh my god,

0:23:32.676 --> 0:23:35.556
<v Speaker 1>it's just like one two little power plants and there's

0:23:35.596 --> 0:23:38.756
<v Speaker 1>like a thousand of them. I don't know, it just

0:23:38.836 --> 0:23:42.916
<v Speaker 1>felt so small when I did that math. Do you

0:23:42.956 --> 0:23:43.676
<v Speaker 1>feel that way?

0:23:43.796 --> 0:23:45.436
<v Speaker 2>Like how does it play for you if you just

0:23:46.036 --> 0:23:48.636
<v Speaker 2>take a step back and think about the climate problem? Right?

0:23:48.676 --> 0:23:51.636
<v Speaker 2>Like it's you know, if you're emitting fifty billion tons

0:23:51.636 --> 0:23:57.436
<v Speaker 2>of CO two into the air every year, you know, agriculture, automotive, shipping, airplanes,

0:23:58.316 --> 0:24:01.116
<v Speaker 2>all sorts of things are emitting SEO two oil and gas.

0:24:00.916 --> 0:24:05.516
<v Speaker 1>Plants fifty billion, fifty thousand million, we're talking about one

0:24:05.556 --> 0:24:07.436
<v Speaker 1>million and then this is fifty thousand million.

0:24:07.516 --> 0:24:10.876
<v Speaker 2>Yeah, and you know us about one hundred hundred and

0:24:10.916 --> 0:24:15.356
<v Speaker 2>fifty years of infrastructure. So, you know, I think when

0:24:15.396 --> 0:24:17.996
<v Speaker 2>we think about building a carbon and mobile industry, that

0:24:18.076 --> 0:24:23.676
<v Speaker 2>is essentially reversing that and removing that. You know, right now,

0:24:23.716 --> 0:24:26.236
<v Speaker 2>what we're focused on is creating a blueprint, creating a

0:24:26.276 --> 0:24:29.436
<v Speaker 2>template that we can emulate. We can if you make

0:24:29.476 --> 0:24:32.316
<v Speaker 2>this so cheap, right, if you make this so cheap

0:24:32.396 --> 0:24:36.516
<v Speaker 2>such that it's an economic no brainer and it uses

0:24:36.556 --> 0:24:39.156
<v Speaker 2>materials that are very abundant and scalable, and you can

0:24:39.196 --> 0:24:42.956
<v Speaker 2>emulate this all across the world, then I think making

0:24:42.996 --> 0:24:45.756
<v Speaker 2>this a blueprint and showing that it is scalable, that's

0:24:45.796 --> 0:24:47.916
<v Speaker 2>really the first goal of what we're trying to do.

0:24:48.476 --> 0:24:52.076
<v Speaker 2>And this is not dissimilar to the first utility solar

0:24:52.116 --> 0:24:54.676
<v Speaker 2>plant that was built in two thousand and nine twenty

0:24:54.796 --> 0:24:57.316
<v Speaker 2>ten in the US where it took us multiple years

0:24:57.356 --> 0:24:59.956
<v Speaker 2>and lots of government subsidies. But once we build that,

0:25:00.436 --> 0:25:02.716
<v Speaker 2>now we're building them every week.

0:25:03.356 --> 0:25:05.916
<v Speaker 1>Yeah, solar is a good model of like an incredibly

0:25:05.956 --> 0:25:08.636
<v Speaker 1>fast ramp, right. And it is amazing when you look

0:25:08.676 --> 0:25:12.716
<v Speaker 1>at those estimates from like big credible government organizations over

0:25:12.716 --> 0:25:15.076
<v Speaker 1>the last fifteen years of how big is solar going

0:25:15.116 --> 0:25:17.796
<v Speaker 1>to be? Like every year they underestimate what's going to

0:25:17.836 --> 0:25:20.516
<v Speaker 1>happen the next year. Right, The line keeps getting steeper,

0:25:20.916 --> 0:25:23.636
<v Speaker 1>So I guess that's a good model. Right, And that

0:25:23.836 --> 0:25:26.556
<v Speaker 1>is a model of just like it just got so cheap, right,

0:25:26.556 --> 0:25:27.596
<v Speaker 1>because it's so simple.

0:25:27.876 --> 0:25:30.196
<v Speaker 2>Yeah, it's just so simple. There's so many things we

0:25:30.196 --> 0:25:33.236
<v Speaker 2>can learn from solar. One is the cost floor and

0:25:33.516 --> 0:25:35.956
<v Speaker 2>the abundance of materials that went into making these solar

0:25:35.956 --> 0:25:40.076
<v Speaker 2>panels and silicon basically sand is the raw material for

0:25:40.116 --> 0:25:43.116
<v Speaker 2>making those solar panels. And the cost floor for the

0:25:43.156 --> 0:25:45.556
<v Speaker 2>solar panel is so cheap that the more you make them,

0:25:45.556 --> 0:25:47.876
<v Speaker 2>the cheaper it got. And the second thing that we

0:25:47.916 --> 0:25:51.596
<v Speaker 2>can learn from it is the adoption really started taking

0:25:51.636 --> 0:25:55.596
<v Speaker 2>off in ways that humans found it very hard to predict.

0:25:56.156 --> 0:26:00.996
<v Speaker 2>Is grid parity. Once the cost became as cheap or

0:26:01.076 --> 0:26:04.636
<v Speaker 2>cheaper than the cost of electricity from other sources in

0:26:04.676 --> 0:26:08.516
<v Speaker 2>the grid. It was an economic no brainer to all

0:26:08.556 --> 0:26:11.236
<v Speaker 2>of his deploy because it was always the cheapest thing

0:26:11.716 --> 0:26:14.316
<v Speaker 2>for us. How do you translate that into a director

0:26:14.396 --> 0:26:18.076
<v Speaker 2>capture one, you know, use abandoned materials, use cheap materials.

0:26:18.076 --> 0:26:20.236
<v Speaker 2>Whereas you the more you deploy, the more you learn,

0:26:20.276 --> 0:26:22.396
<v Speaker 2>the cheaper it gets. So if you're doing that with

0:26:22.476 --> 0:26:26.276
<v Speaker 2>limestone and you're seeing those learning rates every year, And

0:26:26.316 --> 0:26:28.396
<v Speaker 2>the second thing is, you know what is that cost?

0:26:28.556 --> 0:26:32.196
<v Speaker 2>Where does that real adoption come in? And you know,

0:26:32.236 --> 0:26:35.716
<v Speaker 2>for us, we think that's probably around two fifty three

0:26:35.796 --> 0:26:39.036
<v Speaker 2>hundred dollars per ton. And that's where it really starts

0:26:39.076 --> 0:26:43.436
<v Speaker 2>to say, okay, like removing carbon starts to be an

0:26:43.476 --> 0:26:47.836
<v Speaker 2>economically cheaper thing to do than say other types of

0:26:47.876 --> 0:26:50.836
<v Speaker 2>hard to decarbonized methods. And that's when you start turning

0:26:50.836 --> 0:26:53.676
<v Speaker 2>the flywheel to further reduce the costs down to one

0:26:53.756 --> 0:26:54.636
<v Speaker 2>hundred dollars per ton.

0:26:54.956 --> 0:26:57.316
<v Speaker 1>I mean, there is a problem that you have that

0:26:57.356 --> 0:27:00.636
<v Speaker 1>director capture has that solar doesn't, right, which is people

0:27:00.676 --> 0:27:03.596
<v Speaker 1>are paying for electric power already, and if I pay

0:27:03.596 --> 0:27:08.996
<v Speaker 1>for electricity, I get electricity. And there is this basic

0:27:09.156 --> 0:27:11.956
<v Speaker 1>public goods problem with direct air capture, which is I

0:27:12.036 --> 0:27:15.476
<v Speaker 1>pay for direct air capture, everybody gets the benefit of it,

0:27:15.516 --> 0:27:18.196
<v Speaker 1>and I get literally like one five billionth of the

0:27:18.196 --> 0:27:21.956
<v Speaker 1>benefit of it. Right, So that is a profound problem.

0:27:22.196 --> 0:27:24.276
<v Speaker 1>How does that look to you? How are we going

0:27:24.356 --> 0:27:25.236
<v Speaker 1>to deal with that one?

0:27:25.516 --> 0:27:29.796
<v Speaker 2>So the way to think about public goods generally, and

0:27:29.916 --> 0:27:31.196
<v Speaker 2>at the end of the day, there needs to be

0:27:31.236 --> 0:27:33.236
<v Speaker 2>a price on carbon in some way, shape or another,

0:27:33.316 --> 0:27:35.716
<v Speaker 2>and different economies approach the problem differently.

0:27:36.116 --> 0:27:39.116
<v Speaker 1>A price on carbon imposed by the gum Like the

0:27:39.116 --> 0:27:41.916
<v Speaker 1>government has to pass a law that says if you emit,

0:27:42.236 --> 0:27:44.076
<v Speaker 1>you have to pay a tax, or there's a cap

0:27:44.156 --> 0:27:46.516
<v Speaker 1>and trade or something exactly.

0:27:46.996 --> 0:27:51.556
<v Speaker 2>Yeah, and you're seeing this. United Kingdom's emissions trading scheme

0:27:52.396 --> 0:27:56.916
<v Speaker 2>just started to incorporate carbon removal into their cap and

0:27:56.956 --> 0:27:57.516
<v Speaker 2>trade scheme.

0:27:58.036 --> 0:28:00.356
<v Speaker 1>Is that good for you? Does that mean companies in

0:28:00.396 --> 0:28:02.596
<v Speaker 1>the UK can come to you and pay you to

0:28:02.636 --> 0:28:04.756
<v Speaker 1>stick carbon in the ground and get the credit they need.

0:28:05.236 --> 0:28:08.116
<v Speaker 2>That's a direction that they're going. So economies across the

0:28:08.156 --> 0:28:11.916
<v Speaker 2>world are coming up with schemes where carbon removal is

0:28:11.956 --> 0:28:17.276
<v Speaker 2>integrated into how they think about broader climate mitigation. Carbon

0:28:17.316 --> 0:28:20.556
<v Speaker 2>will be priced one wayship or another. And for us,

0:28:20.876 --> 0:28:24.116
<v Speaker 2>what that means is that while those markets are coming

0:28:24.156 --> 0:28:27.076
<v Speaker 2>online and getting more robust, or do we get off

0:28:27.076 --> 0:28:29.876
<v Speaker 2>the ground. And you know that's where Frontier and Microsoft.

0:28:30.156 --> 0:28:33.236
<v Speaker 2>You know, these folks have been incredibly catalytic.

0:28:32.956 --> 0:28:38.156
<v Speaker 1>Basically companies, companies that are paying for director capture now exactly.

0:28:38.636 --> 0:28:42.316
<v Speaker 2>I often compare them to you know what Germany did

0:28:42.556 --> 0:28:45.276
<v Speaker 2>to solar in two thousand and six. You know, they essentially,

0:28:45.636 --> 0:28:49.916
<v Speaker 2>you know, catalyzed the demand and helped bring down the cost.

0:28:50.076 --> 0:28:52.396
<v Speaker 1>They created a subsidy, right, the government created a big

0:28:52.436 --> 0:28:54.436
<v Speaker 1>subsidy that was sort of the birth of the modern

0:28:54.556 --> 0:28:55.476
<v Speaker 1>solar power movement.

0:28:55.796 --> 0:28:56.276
<v Speaker 2>Exactly.

0:28:56.636 --> 0:28:59.196
<v Speaker 1>Tell me about what's happening politically in the US for

0:28:59.236 --> 0:29:00.196
<v Speaker 1>a director capture.

0:29:00.996 --> 0:29:05.596
<v Speaker 2>Director capture is an interesting one politically because we've generally

0:29:05.636 --> 0:29:09.276
<v Speaker 2>found pretty good bipartisan support for it. I think the

0:29:09.276 --> 0:29:11.596
<v Speaker 2>best way to put is forty five Q. Forty five

0:29:11.676 --> 0:29:14.396
<v Speaker 2>Q is a tax credit. It's one hundred and eighty

0:29:14.436 --> 0:29:17.356
<v Speaker 2>dollars per ton that the government payss for every time

0:29:17.356 --> 0:29:19.716
<v Speaker 2>a CO two vise a questor underground.

0:29:19.916 --> 0:29:23.076
<v Speaker 1>Which is a lot. That's a really significant subsidy.

0:29:23.156 --> 0:29:27.436
<v Speaker 2>Essentially, it's huge, it's essentially the US putting a price

0:29:27.516 --> 0:29:31.756
<v Speaker 2>on carbon for director capture. Right, So before the IRA

0:29:32.316 --> 0:29:35.316
<v Speaker 2>it was fifty and IRA increased to one eighty. And

0:29:35.836 --> 0:29:39.596
<v Speaker 2>the most recent one, Big Beautiful Bill has preserved it

0:29:39.636 --> 0:29:41.116
<v Speaker 2>and it actually enhanced it.

0:29:42.036 --> 0:29:45.796
<v Speaker 1>That is surprising, I think on a certain level. Right.

0:29:45.836 --> 0:29:49.396
<v Speaker 1>I mean, clearly many of the sort of energy transition

0:29:49.596 --> 0:29:53.876
<v Speaker 1>climate change subsidies from the IRA were reduced or eliminated

0:29:53.996 --> 0:29:56.436
<v Speaker 1>in the Big Beautiful Bill and the bill that just passed.

0:29:56.996 --> 0:30:01.796
<v Speaker 1>Why did director capture subsidies survive when others got eliminated?

0:30:02.836 --> 0:30:06.836
<v Speaker 2>I think generally the way to think about DAK is

0:30:06.956 --> 0:30:11.196
<v Speaker 2>you're producing COEOTO molecules from the air and you can

0:30:11.276 --> 0:30:15.276
<v Speaker 2>use THEOTO molecules support underground for removals, or you can

0:30:15.356 --> 0:30:20.876
<v Speaker 2>use THEOTO molecules to make synthetic fuels for ships and planes.

0:30:21.836 --> 0:30:23.796
<v Speaker 1>You can also use them to get more oil out

0:30:23.836 --> 0:30:25.556
<v Speaker 1>of the ground. Right, this is the thing some people

0:30:25.596 --> 0:30:26.316
<v Speaker 1>do with them.

0:30:26.796 --> 0:30:28.916
<v Speaker 2>This is a thing that some people do. Yeah. So

0:30:29.556 --> 0:30:34.236
<v Speaker 2>I think what the technology is a platform. What it

0:30:34.276 --> 0:30:37.316
<v Speaker 2>gave for boths in the aisle are it's both a

0:30:37.436 --> 0:30:41.596
<v Speaker 2>climate and mitigation tool, and it contributes to us being

0:30:41.676 --> 0:30:43.196
<v Speaker 2>able to produce a lot more energy.

0:30:43.516 --> 0:30:44.116
<v Speaker 1>Uh, huh.

0:30:44.196 --> 0:30:46.156
<v Speaker 2>You know, in this case, you know synthetic fuels like

0:30:46.236 --> 0:30:47.236
<v Speaker 2>clean energy, so you.

0:30:47.156 --> 0:30:50.156
<v Speaker 1>Can tell the sort of energy dominance story. It's kind

0:30:50.156 --> 0:30:52.356
<v Speaker 1>of a drill baby, drill story if you want it

0:30:52.396 --> 0:30:53.396
<v Speaker 1>to be well.

0:30:53.676 --> 0:30:55.796
<v Speaker 2>In this case, I think there are ways to make

0:30:55.996 --> 0:30:59.116
<v Speaker 2>low carbon synthetic fuels. And as you know, you've signed

0:30:59.116 --> 0:31:00.796
<v Speaker 2>a partnership with United.

0:31:01.076 --> 0:31:03.396
<v Speaker 1>Well talk about that with United Airlines. So talk about

0:31:03.396 --> 0:31:04.076
<v Speaker 1>that partnership.

0:31:04.196 --> 0:31:06.796
<v Speaker 2>It's a strategic partnership where they're both investor in the

0:31:06.836 --> 0:31:10.636
<v Speaker 2>company and an off take agreement for the future. It's

0:31:10.676 --> 0:31:12.996
<v Speaker 2>five hundred thousand tons of CO two that they have

0:31:13.036 --> 0:31:18.716
<v Speaker 2>an option to either choose to store underground or utilize

0:31:18.716 --> 0:31:23.116
<v Speaker 2>it to make low carbon synthetic fuels, sustainable aviation fuels

0:31:23.676 --> 0:31:24.956
<v Speaker 2>to run their planes.

0:31:25.396 --> 0:31:27.916
<v Speaker 1>And so in that ladder universe, it's sort of turning

0:31:28.076 --> 0:31:31.276
<v Speaker 1>airplane fuel into a circular economy. Like they fly the

0:31:31.316 --> 0:31:33.516
<v Speaker 1>plane and that emits CO two and then you capture

0:31:33.516 --> 0:31:35.396
<v Speaker 1>CO two and turn it into more fuel. That's the

0:31:35.436 --> 0:31:38.596
<v Speaker 1>model there. I mean, the political valance of director capture

0:31:38.676 --> 0:31:41.676
<v Speaker 1>is really interesting. An oil company owns the biggest director

0:31:41.716 --> 0:31:44.796
<v Speaker 1>capture facility in the US, right, and then on this

0:31:44.876 --> 0:31:49.156
<v Speaker 1>sort of relatively far left, you have director capture skepticism, right,

0:31:49.196 --> 0:31:52.196
<v Speaker 1>People who are like it just will give people permission

0:31:52.276 --> 0:31:55.916
<v Speaker 1>to keep burning fossil fuels and not transition fast enough.

0:31:57.036 --> 0:32:01.076
<v Speaker 2>As you know, the problem is just so so massive

0:32:01.716 --> 0:32:06.276
<v Speaker 2>that I think the argument of this will only continue

0:32:06.316 --> 0:32:08.276
<v Speaker 2>what we're doing. It's hard to see much of many

0:32:08.356 --> 0:32:09.796
<v Speaker 2>lakes to it because at the end of the day,

0:32:09.796 --> 0:32:12.196
<v Speaker 2>we need to reduce as much as possible, Like you know,

0:32:12.476 --> 0:32:15.596
<v Speaker 2>first we need to reduce emissions in all sorts of

0:32:15.596 --> 0:32:19.516
<v Speaker 2>different things, and anything that we cannot reduce we should remove.

0:32:19.596 --> 0:32:24.996
<v Speaker 2>And unfortunately, the slower we reduce, the slower we decarbonize,

0:32:25.116 --> 0:32:28.276
<v Speaker 2>the bigger and the bigger gap that we have. Yeah,

0:32:28.476 --> 0:32:31.476
<v Speaker 2>that we're you know, the removal gap just gets bigger

0:32:31.516 --> 0:32:33.636
<v Speaker 2>and bigger. And that's what's happening right now.

0:32:34.516 --> 0:32:36.596
<v Speaker 1>Why did you get into the director capture business?

0:32:37.956 --> 0:32:41.636
<v Speaker 2>I think a couple of reasons. One is the size

0:32:41.636 --> 0:32:44.596
<v Speaker 2>of the problem was so massive, and the number of

0:32:44.636 --> 0:32:48.236
<v Speaker 2>people working on it as rigorously and with the right

0:32:48.276 --> 0:32:51.956
<v Speaker 2>approach that I thought was right was just limited. When

0:32:52.076 --> 0:32:53.196
<v Speaker 2>first Guards started.

0:32:53.156 --> 0:32:55.036
<v Speaker 1>You looked at what people were doing in carbon removal,

0:32:55.076 --> 0:32:55.876
<v Speaker 1>and what did you think.

0:32:56.476 --> 0:32:59.516
<v Speaker 2>I thought either they were not as scalable or they

0:32:59.556 --> 0:33:00.596
<v Speaker 2>would be too expensive.

0:33:01.236 --> 0:33:02.356
<v Speaker 1>You thought you could do better.

0:33:03.396 --> 0:33:07.036
<v Speaker 2>I could do better. So I mean, at the end

0:33:07.036 --> 0:33:10.116
<v Speaker 2>of the day, like hopefully there will be fifty hundred companies,

0:33:10.236 --> 0:33:13.676
<v Speaker 2>massive companies, just like there's fifty two hundred basket of

0:33:13.716 --> 0:33:16.756
<v Speaker 2>oil and companies that remove carbon. Each have a different approach.

0:33:17.116 --> 0:33:20.076
<v Speaker 2>And I think what attracted me to director capture also

0:33:20.636 --> 0:33:23.036
<v Speaker 2>is just the level of impact you can have. I

0:33:23.036 --> 0:33:26.556
<v Speaker 2>mean technically, you know, because the abundance of limestone is

0:33:26.556 --> 0:33:30.436
<v Speaker 2>so hi, the impact is infinitively scalable. Right, There's not

0:33:30.516 --> 0:33:33.716
<v Speaker 2>many solutions you can say you can scale it up

0:33:33.716 --> 0:33:35.036
<v Speaker 2>to hundreds of gigatons.

0:33:36.196 --> 0:33:40.556
<v Speaker 1>Hundreds of gigatons would be carbon negative as a world

0:33:40.596 --> 0:33:41.076
<v Speaker 1>if it were.

0:33:40.996 --> 0:33:43.076
<v Speaker 2>That big, right, right, And we need to do that

0:33:43.116 --> 0:33:45.356
<v Speaker 2>this century. First, the goal is to get to net

0:33:45.476 --> 0:33:48.316
<v Speaker 2>zero as a society, hopefully by twenty fifty. Yeah, and

0:33:48.716 --> 0:33:51.516
<v Speaker 2>IPCC predicts that from twenty fifty to twenty one hundred

0:33:51.836 --> 0:33:53.436
<v Speaker 2>we are in the negative territory.

0:33:53.476 --> 0:33:56.716
<v Speaker 1>So we're net negative, sucking more carbon dioxide out of

0:33:56.716 --> 0:33:59.276
<v Speaker 1>the air than we are emitting. Yeah, do you think

0:33:59.316 --> 0:34:00.836
<v Speaker 1>that'll happen? Yeah?

0:34:00.836 --> 0:34:02.836
<v Speaker 2>I mean I think I take my cues from solar

0:34:02.836 --> 0:34:03.196
<v Speaker 2>and wind.

0:34:03.756 --> 0:34:05.836
<v Speaker 1>You want solar more than wind, right, yeah.

0:34:05.756 --> 0:34:07.916
<v Speaker 2>Yeah, you want solar more than wind for sure. I

0:34:07.916 --> 0:34:12.476
<v Speaker 2>think once you get to a cost that is societally

0:34:13.316 --> 0:34:16.956
<v Speaker 2>acceptable and affordable, it will take a life of its

0:34:16.956 --> 0:34:19.756
<v Speaker 2>own in terms of its scale. And obviously you want

0:34:19.796 --> 0:34:23.396
<v Speaker 2>the you know, carbon markets, compliance markets to incorporate the

0:34:23.476 --> 0:34:25.396
<v Speaker 2>price of carbon across the world as well. But I

0:34:25.436 --> 0:34:27.516
<v Speaker 2>think there's a flywheel there as well. You know, as

0:34:27.556 --> 0:34:30.396
<v Speaker 2>you deploy more, it gets cheaper. And I think that

0:34:31.236 --> 0:34:35.356
<v Speaker 2>it will happen because you know, there is a future

0:34:35.476 --> 0:34:38.276
<v Speaker 2>that we can create, a future of abundance where you know,

0:34:38.316 --> 0:34:40.756
<v Speaker 2>we can have all the intelligence we want, we can have,

0:34:41.156 --> 0:34:43.036
<v Speaker 2>you know, all the things that we want, and we

0:34:43.076 --> 0:34:46.516
<v Speaker 2>can take care of the planet provided that it is affordable.

0:34:47.236 --> 0:34:48.916
<v Speaker 2>That's why this one hundred dollars per ten I think

0:34:48.996 --> 0:34:51.396
<v Speaker 2>is so important. Where I do think at that point,

0:34:51.956 --> 0:34:54.236
<v Speaker 2>the closer we get there, the faster it scales up.

0:34:56.996 --> 0:35:10.636
<v Speaker 1>We'll be back in a minute with the liking round. Okay,

0:35:10.716 --> 0:35:12.836
<v Speaker 1>I want to ask you some lightning round questions. Now,

0:35:14.156 --> 0:35:16.796
<v Speaker 1>what was one thing that was really striking to you

0:35:17.156 --> 0:35:20.636
<v Speaker 1>when you were in eighth grade and you moved from

0:35:21.076 --> 0:35:27.356
<v Speaker 1>Southeast India to Maine.

0:35:25.196 --> 0:35:27.636
<v Speaker 2>Man, so many things. Let me think about that for

0:35:27.636 --> 0:35:33.236
<v Speaker 2>a sec. Yeah, there was a lot of culture shock,

0:35:33.396 --> 0:35:37.756
<v Speaker 2>academic shock, language shock for a twelve year old kid

0:35:37.756 --> 0:35:42.236
<v Speaker 2>to be dropped into bangor Maine coming from India. It

0:35:42.316 --> 0:35:44.436
<v Speaker 2>was very interesting. To make it simple, but I think,

0:35:44.596 --> 0:35:47.236
<v Speaker 2>you know, one thing that I found, which I'm actually

0:35:47.236 --> 0:35:51.436
<v Speaker 2>grateful for, the way that the education system in India

0:35:51.836 --> 0:35:55.476
<v Speaker 2>grew up was very much like memory based. I think

0:35:55.516 --> 0:35:59.036
<v Speaker 2>what I really appreciated moving to the US at that

0:35:59.116 --> 0:36:01.916
<v Speaker 2>age is sort of that flip in to thinking of

0:36:02.076 --> 0:36:04.876
<v Speaker 2>being a lot more analytical, a lot more vigorous, which

0:36:04.916 --> 0:36:06.436
<v Speaker 2>I just found a lot more natural.

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<v Speaker 1>I heard you say in another interview that companies fail

0:36:10.676 --> 0:36:14.516
<v Speaker 1>because they stop having difficult conversations, and so I'm curious,

0:36:14.516 --> 0:36:18.676
<v Speaker 1>what is a recent difficult conversation that you had at work? Yeah.

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<v Speaker 2>You know, one of our main principles is radical honesty.

0:36:21.436 --> 0:36:23.996
<v Speaker 2>It's one of our three main principles, and for so

0:36:24.036 --> 0:36:25.996
<v Speaker 2>many reasons, it's the right thing to do. Right. It's

0:36:26.036 --> 0:36:30.196
<v Speaker 2>you know, pursuing physics, pursuing truth, pursuing merit, and you know,

0:36:30.236 --> 0:36:33.356
<v Speaker 2>how do you create a culture where it's vulnerable and

0:36:33.436 --> 0:36:37.556
<v Speaker 2>open and safe to have honest and difficult conversations and

0:36:37.836 --> 0:36:40.796
<v Speaker 2>once you get it, it's it's really amazing. For example,

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<v Speaker 2>yesterday I was given feedback by one of my reports

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<v Speaker 2>around asking a individual contributor for their time working on

0:36:48.996 --> 0:36:52.596
<v Speaker 2>a project without working with the manager on exactly the

0:36:52.596 --> 0:36:53.116
<v Speaker 2>scope of it.

0:36:53.436 --> 0:36:55.316
<v Speaker 1>So somebody who was like, hey, don't ask this person

0:36:55.356 --> 0:36:57.316
<v Speaker 1>to do this thing without asking their manager if they

0:36:57.356 --> 0:36:58.436
<v Speaker 1>have time in surance?

0:36:58.516 --> 0:37:01.316
<v Speaker 2>Right, pretty straightforward, right, you know, because the manager has

0:37:01.676 --> 0:37:04.476
<v Speaker 2>understanding of the fool and doing the scope and a

0:37:04.516 --> 0:37:07.076
<v Speaker 2>lot of the times, like this type of feedback is like, ah,

0:37:07.276 --> 0:37:08.596
<v Speaker 2>I don't know if this is worth talking to the

0:37:08.676 --> 0:37:12.276
<v Speaker 2>CEO out right, but like this person fall safe enough

0:37:12.316 --> 0:37:13.796
<v Speaker 2>to share with me, and I was so proud of

0:37:13.836 --> 0:37:16.676
<v Speaker 2>it that it's like, man, thank you for sharing this.

0:37:16.956 --> 0:37:19.196
<v Speaker 2>I could have just spent an extra minute thinking about

0:37:19.636 --> 0:37:21.836
<v Speaker 2>how to approach that conversation and then this person fell

0:37:21.916 --> 0:37:23.836
<v Speaker 2>safe enough to do it. And one thing I'd tell

0:37:23.876 --> 0:37:27.316
<v Speaker 2>other founders is, you know there isn't inherently that power dynamic.

0:37:27.676 --> 0:37:30.076
<v Speaker 2>You know, the emperor has no clothes, right, Like, how

0:37:30.076 --> 0:37:32.876
<v Speaker 2>do you create a culture, how do you create a

0:37:32.876 --> 0:37:37.476
<v Speaker 2>bi directional feedback loop between leaders and folks working on

0:37:37.516 --> 0:37:45.356
<v Speaker 2>the problem at the core every day.

0:37:46.316 --> 0:37:51.916
<v Speaker 1>Shashank Samala is the co founder and CEO of Airloom.

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<v Speaker 1>Please email us at problem at pushkin dot fm. We

0:37:55.356 --> 0:37:59.076
<v Speaker 1>are always looking for new guests for the show. Today's

0:37:59.076 --> 0:38:02.916
<v Speaker 1>show was produced by Trinomanino and Gabriel Hunter Chang. It

0:38:03.076 --> 0:38:07.036
<v Speaker 1>was edited by Alexander Garretton and engineered by Sarah Bruguerrett.

0:38:07.276 --> 0:38:09.436
<v Speaker 1>I'm Jacob Goldstein and we'll be back next week with

0:38:09.476 --> 0:38:18.316
<v Speaker 1>another episode of What's Your Problem

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<v Speaker 2>MHM.