US biomining startup raises $13.5M in seed funding

[Ben Graham]

Endolith, a US biotech startup that aims to use AI to revolutionize the metals recovery process, announced this week it has raised $13.5 million in seed funding amid a growing national focus on critical minerals.

This initial Series A funding was backed by investors with a national-security focus, with Baltimore-based Squadra Ventures leading the way. Also participating in the funding round were Draper Associates, Collaborative Fund and Overture Climate Fund.

Endolith is currently developing an AI-guided process that uses microbes to extract copper and other critical minerals from low-grade and complex ores. This method, the Denver-based startup said, could offer a more environmentally friendly and potentially less cost-intensive alternative to conventional mining techniques.

“Every technology, from EVs to AI data centers, depends on metals the world is running out. Our microbes turn mineralized material into new supply, building resilience in an industry that has not fundamentally changed in two hundred years,” Liz Dennett, founder and CEO of Endolith, stated in a press release.

With geopolitics driving supply chain disruptions and a growing demand from the clean energy transition, investors are showing increased interest in companies that can boost the domestic supply of critical minerals.

USGS officially adds copper, silver to critical minerals list

Endolith’s backing reflects a broader shift: financial markets are starting to view critical mineral-related technologies not just as environmental ventures, but as components of national security infrastructure. With traditional mining practices facing rising costs and regulatory hurdles, innovative approaches like biomining are gaining attention.

“Endolith is defining a new class of industrial biotech. By merging technology, data and industrial systems, Endolith is creating a scalable path to critical mineral security,” Dan Madden, principal of Squadra Ventures, said.

At present, the Endolith technology is still at an early stage and will require further scaling. The initial funding, the company said, will go toward pilot-engineering, process validation and expansion of its microbial extraction systems.