It began with a sketch on a napkin. Now, AirLoom Energy is raising $12.7 million in new funding, according to information obtained by TechCrunch.
The funding came from 21 investors, as per a regulatory filing that does not disclose the names of the backers. The company has yet to respond to requests for comments.
Based in Wyoming, the startup has a unique approach to wind power. Instead of placing large turbines on towers over 100 meters tall, it uses vertical blades attached to cables on an oval-shaped track just 25 meters (82 feet) above the ground.
The company aims to produce electricity at $13 per megawatt-hour, which would be more than 50% cheaper than traditional onshore wind.
The racetrack configuration idea was inspired by founder Robert Lumley’s kiteboarding hobby. He first sketched the concept on a napkin during a wind energy conference in Berlin.
Much of the anticipated cost savings come from AirLoom’s lower profile. Current wind turbines become more efficient as they grow larger, but the enormous towers and blades are difficult to transport, sometimes requiring up to a year of advance planning. AirLoom’s smaller parts are easier to manufacture, transport, and assemble on-site.
AirLoom last raised $4 million in a seed round in November from Breakthrough Energy Ventures, founded by Bill Gates, along with Lowercarbon Capital and MCJ Collective. At the same time, it also appointed Neal Rickner as the new CEO, who previously served as COO of Makani Energy, the Alphabet company that aimed to use kites to harness wind energy.
In November, Rickner told TechCrunch that the company’s next goal is to refine the technology to the point of building a 1-megawatt pilot, targeted for 2026. The new funding is likely to support this project.