H2CHP, a Durham University spinout developing clean electric generators for data centers and other energy-intensive sites, has secured £1.5 million ($2m) of investment as part of its latest funding round.

First reported by Recharge News, the company’s main offering is its free-piston linear generator, which it claims is a “fuel-flexible” technology, comprising high-efficiency generators capable of running on hydrogen, ammonia, biofuels, and e-fuels.

According to the company, the main aim of its offering is to mitigate supply-chain risks, reduce emissions, and improve performance.

The investment included grant funding from government innovation agency Innovate UK, as well as backing from Blackfinch Ventures and Northstar Ventures from its North East Spinout Inspire Fund, marking the first Durham spinout to be backed by the fund.

Professor Tony Roskilly, co-founder and chairman, said: “From the outset, H2CHP has been about translating advanced research in free-piston engine systems into a commercially meaningful power generation technology. This support is a strong endorsement of the progress the company has made and of the wider potential for high-efficiency, fuel-flexible generation to play an important role in the transition to lower-carbon, more resilient energy systems.”

Fellow co-founder Stephen Hampson added: “This support is an important step for H2CHP as we continue to develop and demonstrate our free-piston linear generator technology. We believe there is a major opportunity for high-efficiency, low-emission, and fuel-flexible local power generation in applications such as microgrids, EV charging, ports, and data centers, where resilience, cost, and decarbonization all matter.”

The company was incorporated in July 2022 and is registered in Newcastle. In December 2024, the company raised more than £2m ($2.7m) to support the development of a prototype generator. Following the latest round, the company has raised approximately £3.5m ($4.7m).