Factor2 Energy, a German climate-tech company developing CO₂-based geothermal systems, has raised $9.1 million in seed funding. The round was led by At One Ventures, with participation from High-Tech Gründerfonds (HTGF), Gründerfonds Ruhr, Verve Ventures, and Siemens Energy Ventures.
The Duisburg-based company was founded by Michael Wechsung, Jörg Strohschein, and Felix Böhmer, who previously worked at Siemens Energy. There, they invented a new geothermal approach using CO₂ instead of water or brine as the working fluid—doubling potential output while lowering capital costs.
The fresh capital will fund further development of the system and a pilot power plant to demonstrate scalability. “Our approach enables emission-free, efficient, and baseload-capable electricity production, which is ideal for traditional oil and gas companies looking to diversify their operating assets” ~ Felix Böhmer, co-founder and CEO.
Factor2 Energy’s system injects CO₂ into deep porous formations, where it absorbs geothermal heat and rises naturally to the surface without pumps, reducing energy losses. The CO₂ drives a turbine before being cooled and reinjected, forming a closed cycle that simultaneously generates power and stores carbon.
Helen Lin, partner at At One Ventures, said: “The fluid physics of CO₂ as a geothermal working fluid enables a 2x increase in power output while operating at the same depths as conventional geothermal, translating to efficiencies in both capex and opex.”
HTGF’s Timo Bertsch added: “Their successful proof of concept in a geologically complex environment demonstrates the robustness and scalability of their approach. We believe Factor2 Energy is well positioned to play a pivotal role in the global energy transition.”
By expanding geothermal access to shallower and cooler sites—including carbon capture and storage reservoirs—Factor2 Energy aims to unlock new pathways for reliable, 24/7 renewable power at competitive costs.
