Montana Technologies LLC will collaborate with Carrier Global Corporation to develop and commercialize Montana's AirJoule dehumidification and cooling technology.
In connection with the commercial collaboration, Montana has, subject to the satisfaction of certain milestones, granted Carrier the exclusive right to commercialise the AirJoule technology into HVAC equipment in the Americas for a period of three years.
In addition, Carrier has conditionally committed $10 million in growth equity into Montana to foster commercialisation of AirJoule.
This investment follows strategic partnerships that Montana has entered into with BASF, the largest chemical producer in the world, and CATL, the world's largest lithium-ion electric battery manufacturer.
Montana Technologies CEO, Matt Jore, said it is a strong vote of confidence in the company’s technology and vision.
"This partnership and investment represent further proof that both parties are committed to reducing energy consumption, cost and carbon footprint, and we expect that together these transactions will greatly accelerate the speed at which we can bring our innovative approach to market,” Jore said.
AirJoule is a transformational dehumidification technology that substantially improves air conditioning efficiency.
AirJoule systems utilize a self-regenerating pressure swing adsorption method to harvest water and thermal energy from air.
The proprietary method and design, when used for evaporative cooling by harvesting its own water from air, can reduce electricity consumption as compared to conventional air conditioning cooling systems, resulting in a corresponding reduction in carbon emissions as well as a reduction, or in some cases elimination, of refrigerants.
Carrier is committed to investing in both sustainable and disruptive solutions that will improve the planet for generations to come, according to Ajay Agrawal, Carrier’s senior VP of business development, Global Services, & Chief Strategy Officer.
"Our partnership with Montana Technologies, and our future collaboration to commercialise its AirJoule technology, marks another step forward in this commitment,” he said.
Carrier will also receive the right to nominate a member to the board of directors of the post-combination entity following the merger between Montana and Power & Digital Infrastructure Acquisition II Corp. (XPDB)
Last year Montana announced it will combine with XPDB and list on the NASDAQ under the ticker AIRJ following the merger. The transaction is expected to close in the first quarter of 2024.
XPDB CEO, Pat Eilers, said Montana's partnership with a global industry leader such as Carrier paves the way and completes Montana's go-to-market strategy in HVAC and provides end market customers and the public markets confidence in and access to Montana's breakthrough technology.