Climate Change and Cement Industry Emissions

• Focus on gigaton-scale emissions from major industries (steel, chemicals, energy, cement)
• Cement = "glue" in concrete, second most-consumed material globally after water
• Cement accounts for ~8% of world's CO2 emissions
  • If cement were a country, would rank 3rd in emissions behind US, ahead of India
• Need to solve emissions within existing cement ecosystem

Four Key Requirements for Meaningful Impact

• Leverage same feedstocks already used at cement plants (billions of tons scale)
• Utilize existing capital infrastructure (quarry through product distribution)
• Produce product fitting within existing regulations for contractor comfort
• Create economically competitive product without green premium vs traditional cement

Cement Production Process and CO2 Problem

• Main ingredient: limestone (44% by weight solid CO2)
• Process: heat limestone to 1,450°C using fossil fuels (coal/gas)
• CO2 emissions from two sources:
  • Carbon fuels used for heating
  • CO2 driven out of limestone itself during heating

Nature-Inspired Solution Origins

• Inspiration from Calera company (started 17 years ago)
• Mimics natural processes in coral reefs and shells
• Ocean absorbs CO2 → creates reactive limestone (vaterite ball structures)
• Results in white powder (44% CO2 by weight)
• Adding water transforms back to aragonite/calcite through cementing reaction
• Converts CO2 from waste to product ingredient

Technical Challenges and Economic Reality

• Original concept worked technically but lacked economic viability
• Was competitive rather than additive to cement industry
• Needed solution for cheap production at gigaton scale

Forterra's Integrated Approach

• Install technology at existing cement kilns alongside manufacturers
• Bolt onto back of existing process
• Capture CO2 from kiln + lime from limestone processing
• Produce blendable product or 100% cement replacement
• Capturing CO2 and converting to product doubles output volume
• Makes process economically competitive through increased yield

Performance and Emissions Reduction

• Process: limestone → limestone (inert rock → active cement)
• 70% CO2 reduction per ton when using fossil fuels
• Zero-CO2 cement possible with clean electricity/green fuels
• Integrates with existing plants and distribution channels
• Partners with established cement players for scale and cost efficiency

Commercial Implementation and Scale

• Forterra: 4-year-old company with rapid scaling
• First commercial plant in northern California operational early 2024
• Proves bolt-on capability for existing plants
• Plans for global scaling
• Multiple companies working on cement/concrete emissions solutions
• Forterra's differentiation: fitting within existing ecosystem while providing performance + pollution benefits

Industry Collaboration Strategy

• Work with industry rather than compete against it
• Target: solve 4 billion tons of cement industry emissions in coming decades
• Path to gigaton-scale CO2 savings through industry partnership