London-based startup Bio-bean has just started collecting used coffee grounds from 100 coffee shops in the city.

The company hopes to turn the grounds into biomass pellets that can be burned in boilers. Bio-bean expects to create enough pellets to heat about 1,000 homes by the end of the year. At peak production, though, the company plans to produce enough fuel to heat more than 15,000 homes.

More details here.