ABN AMRO Sustainable Impact Fund invests in circular concrete producer Urban Mine

Prized for its strength and durability, concrete has long been a staple in construction. However, this mixture of water, gravel and cement has a huge environmental footprint. The production of cement, a key component of concrete, is energy-intensive and a major source of carbon emissions. As the world seeks sustainable alternatives, Urban Mine, based in the Dutch city of Zaandam, has developed a way to transform demolition rubble into high-quality circular concrete.

“Our product has the same quality, composition and properties as concrete made from virgin raw materials,” says René Rutte, co-founder and technical director of Urban Mine. “We break down old concrete where the chemical bonds are weakest, preserving the original raw materials, and then put it all back together again.” It’s a deceptively simple explanation for an ingenious, now patented, process backed by years of experience. Urban Mine recently spun off from the Rutte Groep, a company that has been in the construction business for over 70 years. Innovation and sustainability are deeply embedded in the DNA of this family-owned business. René says, “At Urban Mine, our aim is to make the construction sector more sustainable, one step at a time. Our production facility is powered by solar panels on the roof, and we use rainwater instead of drinking water in our manufacturing process.”

Growing demand for circular concrete

As sustainability becomes a key consideration in construction, demand for Urban Mine’s circular concrete is surging, “especially now that it’s priced competitively with conventional concrete,” René says. “Leading the charge are major clients in the Netherlands like Rijkswaterstaat [the national public works and water management agency] and large pension funds committed to sustainable building practices. They’ve set the tone, and we’re now seeing increased demand from other customers as well.” The push for sustainability is only gaining momentum as clients and end-users recognise the need to reduce carbon emissions. René adds, “You could say that we’re taking on the cement production industry, which is deeply traditional and often resistant to change.”

Now, thanks to the ABN AMRO Sustainable Impact Fund’s recent investment, Urban Mine is poised for further growth. “And growth will certainly bolster their social impact,” says Maarten Blomme, Head of Corporate Investments at ABN AMRO. The ABN AMRO Sustainable Impact Fund is investing EUR 500 million of the bank’s capital to support growing companies that are driving the transition to a sustainable, low-carbon society. Maarten explains, “We’re on the lookout for companies like Urban Mine that leverage proven technologies to make established models significantly more sustainable. When you consider that the cement industry generates roughly 8% of the world’s carbon emissions, it’s obvious that making concrete more circular will have a rapid and substantial impact.”

Advancing the circular economy

Urban Mine’s technology not only reduces carbon emissions by up to 80%, says Maarten, but it also supports the circular economy. “Recycling concrete waste gives it a new, high-value purpose,” he says. “Currently, most concrete rubble is dumped or used in road foundations. Rijkswaterstaat, one of the country’s biggest civil and hydraulic engineering stakeholders, plans to ban this practice by 2030, making recycling even more crucial.” René: “The Netherlands alone generates 15 million tons of concrete rubble each year. Globally, the volume is exponentially higher. Everywhere you look, the construction industry relies on concrete.”

Scaling up capacity

Thanks to ABN AMRO’s investment, Urban Mine will be optimising its existing facility in Zaandam and laying the groundwork for a second one in the Netherlands, René says: “This will help us scale up our production capacity.” The company is also exploring opportunities to export its technology through licensing. A spin-off in the UK is already in progress. “Concrete production methods are remarkably similar all over the world, which makes our process universally applicable,” René says.

No downside

“It’s rare for a company in the sector to develop a more sustainable material that can compete with traditional options in both quality and price,” says Maarten. “That’s why Urban Mine’s technology is gaining real traction in the market.” Smiling, René adds, “More sustainable without being more expensive? That appeals to absolutely everyone in the sector.” Circular concrete is expected to become even more appealing in the coming years as governments implement carbon pricing policies. René concludes, “This shift will support our growth and further reduce the construction industry’s impact on the environment.”