UK Start-Up COOloop To Produce Carbon-Negative Acetic Acid Using Monash University Tech

A UK-based start-up co-founded by a Monash University PhD graduate has secured seed funding to commercialise a catalytic process that converts captured carbon dioxide into acetic acid, a chemical used across a wide range of industries.

COOloop, co-founded by Monash graduate, Dr Rajan Lakshman, has received £150,000 in seed funding from Carbon13 Ventures to bring the technology, developed at Monash University in Melbourne, to market.

The company is pursuing what it describes as a carbon-negative alternative to fossil-based acetic acid production, using a process that combines captured CO2 and renewable hydrogen to produce the chemical directly.

A Chemical With A Large Footprint

Acetic acid is a key chemical used in the manufacture of plastics, textiles, paints, adhesives and food products. Global production sits at around 20 million tonnes per year, with almost all of it derived from fossil fuels.

COOloop’s approach centres on a Metal-Organic Framework (MOF) catalyst that enables direct conversion of CO2 into acetic acid. The company claims the process could eliminate millions of tonnes of carbon emissions while remaining competitive on cost and scale with traditional production methods.

The research underpinning the technology was developed by Professor Akshat Tanksale and his team at Monash University, with support from the Faculty of Engineering’s Research Accelerator Award in 2019.

From Lockdown Lab Work To Published Research

The Monash team continued its research through COVID-19 lockdowns, developing a novel iron-based catalyst that converts CO2 and methanol into acetic acid. The catalyst replaced expensive noble metals previously required in similar processes.

That work was published in Nature Communications in 2023. The team subsequently developed a cobalt-nickel bimetallic catalyst capable of producing acetic acid directly from CO2, removing the need for methanol as an intermediate step altogether.

The progression from an iron-based catalyst requiring methanol to a bimetallic catalyst that works directly with CO2 represents a meaningful simplification of the production pathway, potentially reducing both cost and complexity at scale.

Bridging The Gap Between Lab And Industry

COOloop Co-Founder and CEO, Ike Omambala, described the partnership with Monash as central to the company’s commercial ambitions.

“At COOloop, we’re turning carbon from a liability into a valuable resource,” Omambala stated. “Partnering with Professor Akshat Tanksale’s group at Monash allows us to bring cutting-edge catalysis from the lab into industrial reality.”

“This collaboration shows how science and entrepreneurship can build a circular carbon economy and accelerate the transition to net-zero chemicals,” he added.

COOloop Co-Founder and CTO, Dr Rajan Lakshman, who completed his PhD at Monash under the supervision of Professors Tanksale and Alan Chaffee, reflected on the journey from academic research to commercial venture.

“During my PhD at Monash University, I worked on developing new ways to convert carbon dioxide – one of the world’s most significant greenhouse gases – into valuable chemicals,” Dr Lakshman explained. “My research focused on transforming carbon dioxide into acetic acid, and our first breakthrough catalyst led to a patent filing.”

“It’s exciting to see this work now gaining real-world momentum through the formation of our spin-off company,” he continued. “COOloop represents an opportunity to take this technology beyond the lab and towards industrial application, with the potential to make a global impact on sustainable chemical production.”

A Platform For Broader Chemical Applications

COOloop will continue to collaborate with Monash University as it works to make the process economically viable and industrially scalable. The immediate focus is on acetic acid, but the underlying technology may have applications across a broader range of chemical production.

Professor Akshat Tanksale pointed to the wider potential of the platform.

“I am thrilled to see our research translated into practice by COOloop,” Professor Tanksale remarked. “Negative carbon technologies are essential for achieving net-zero emissions.”

“Starting with acetic acid, COOloop’s technology could be a platform for other chemical applications, and our team will continue working with the company to demonstrate feasibility at scale,” he added.

The Road Ahead

The seed funding from Carbon13 Ventures gives COOloop an initial runway to advance its commercialisation efforts. Carbon13, which focuses on backing ventures that address climate change, selected the start-up through its venture-building programme.

For COOloop, the next phase involves demonstrating that a process proven in a university laboratory can operate reliably and economically at industrial scale. That challenge – bridging the gap between bench-top chemistry and commercial production – is one that has historically slowed the adoption of new chemical manufacturing technologies.

The company’s proposition rests on whether its MOF catalyst can deliver consistent results at volume while maintaining the cost competitiveness needed to displace entrenched fossil-based production methods.

With acetic acid production contributing to emissions across multiple industries, a viable carbon-negative alternative would have implications well beyond a single chemical. If COOloop can scale the Monash-developed technology, it could offer a template for decarbonising other areas of the chemical supply chain.

Last Updated on March 10, 2026 by Nick Ross