Equatic is part of a fast-growing group of climate start-ups betting that the ocean can help solve two major problems at once: removing carbon dioxide from the atmosphere and producing clean hydrogen. For investors, the appeal is clear. If the technology works at scale, it could tap into multiple massive markets at the same time.
Many scientists now believe carbon removal will be necessary to meet global climate targets. At the same time, green hydrogen is widely seen as a future fuel for industries like aviation, shipping, and heavy manufacturing. Equatic claims it can generate both through a single system powered by clean electricity.
Why Investors Are Paying Attention
Carbon removal is moving quickly from theory to business. Large corporations and governments are already spending real money on carbon credits, and that market is expected to grow sharply over the next decade. Equatic plans to sell verified carbon removal credits, while also generating revenue from hydrogen sales.
The company already has early commercial interest. Boeing has agreed to a pre-purchase option covering 62,000 tonnes of carbon removal and 2,100 tonnes of hydrogen. Equatic is also competing to sell carbon removal credits to the US government at prices far above current market levels.
Management believes this dual-revenue model could help offset high operating costs, something that has hurt many other carbon capture start-ups.
Scaling Is the Make-or-Break Factor
Equatic has moved beyond the lab stage but is still early in commercial deployment. It currently runs small pilot projects and is building a larger facility in Singapore that will remove about 4,000 tonnes of CO2 per year.
A much bigger commercial plant is planned in Quebec, powered by hydropower, with a target capacity of more than 100,000 tonnes of CO2 annually. That facility could come online in late 2026, assuming construction and permitting stay on track.
Long term, the company claims its technology could be scaled to remove millions of tonnes of CO2 per year per site. That vision would require massive capital investment, large amounts of clean electricity, and strong regulatory support.
Cost and Profitability Remain Unclear
Today, carbon removal is expensive. Equatic estimates early carbon credits could sell for around $200 per tonne, with long-term goals of dropping below $100. Management has said true mass adoption may require prices closer to $30 per tonne, which is still many years away.
Energy use is another concern. Removing carbon at scale requires enormous amounts of power, and while Equatic can use surplus renewable energy, access to cheap, reliable electricity will be critical to margins.
There is also supply chain risk. Some key components currently rely on rare and expensive materials, though the company says it is working on alternatives.
Regulatory and Environmental Risk
Ocean-based carbon removal is controversial. Environmental groups warn that large-scale deployment could disrupt marine ecosystems. Regulators are still catching up, and future rules could slow or limit expansion.
At the same time, policy support could become a major tailwind. Governments in Europe and North America are exploring formal carbon removal markets, which could create long-term demand beyond today’s voluntary carbon credit buyers.
Bottom Line for Investors
Equatic sits at the intersection of two high-growth climate themes: carbon removal and green hydrogen. If the technology scales safely and costs come down, the upside could be significant.
However, this is still a high-risk, early-stage play. Commercial proof, regulatory clarity, and cost reductions are all still ahead. For investors, Equatic represents a long-term option on climate infrastructure rather than a near-term cash-flow story.
As with much of climate tech, the opportunity is large, but patience and risk tolerance will be required.
