Commercialization of Methane Pyrolysis Takes Meaningful Steps Forward

Methane pyrolysis holds incredible promise as a technology for producing clean hydrogen at a cost in line with grey or blue hydrogen while using as little as 15% of the energy of electrolysis. The process entails using heat in the absence of oxygen to break methane molecules into hydrogen and a solid form of carbon. Depending on the process employed, that solid carbon may also have commercial utility that can help offset the cost of hydrogen production. Moreover, methane pyrolysis reactors are of a size that can be accommodated onsite for many end-use hydrogen customers thereby eliminating the cost and complexity of transportation.

The commercialization of methane pyrolysis remains in its infancy, however, after years of work by 30+ companies around the world.  One key challenge has been achieving continuous operation without interruption from the buildup of carbon or catalyst material residues in the reactors. Another challenge has been optimizing the solid carbon byproduct from pyrolysis which can take several forms including carbon black and graphite. Significant R&D has been invested to fine tune the composition of this carbon output to meet the precise requirements of industries such as tire manufacturing, cement binding and lithium batteries. Now some of these long, intensive R&D efforts are starting to bear fruit as companies put reactors into operation and, in some cases, find markets for the carbon byproduct. Some examples include:

MONOLITH

Nebraska-based Monolith Corp completed a new funding round in September and is the most commercially well-established methane pyrolysis company. Investors in the capital raise were existing shareholders including Azimuth, Cornell Capital, Decarbonization Partners, TPG Rise Climate, and Warburg Pincus. Monolith produces clean hydrogen as a feedstock for fertilizer used in the Corn Belt.  In May of 2023, the Company also announced an agreement to sell "carbon black" to Goodyear for use in making tires. More recent announcements indicate further expansion of its tire customer base.

HAZER GROUP

Australian methane pyrolysis specialist Hazer Group announced a number of key milestones in September. These included 360 hours of continuous operation at the Company’s “Commercial Demonstration Plant” in Perth, improved methane to hydrogen conversion and substantial production of graphite for customer testing. In early 2025, FortisBC is expected to approve a deal that will entail licensing technology from Hazer to build a methane pyrolysis plant in Canada and is already paying Hazer for input on the planning phase.

HYCAMITE TCD TECHNOLOGIES

In September, Hycamite’s demonstration methane pyrolysis facility in Finland reached mechanical completion and began the process of ramping up to 2,000 tons of hydrogen and 6,000 tons of carbon production per year. The character of the carbon byproduct can be adjusted based on the catalyst used in the reactor but includes battery quality graphite.

MODERN HYDROGEN

In June, Northwest Natural, a utility serving Oregon and Washington, began blending hydrogen from Modern Hydrogen’s reactors into natural gas pipelines at a very conservative 0.2% rate for distribution to residential customers. The carbon byproduct from Modern Hydrogen’s process has been used as a binding agent in cement.

RAVEN SR

While Raven SR does not employ methane pyrolysis in its hydrogen production process, the Richmond, CA-based company uses an alternative non-combustion, thermal process to convert organic waste and landfill gas into syngas. That syngas can be further reformed to produce renewable hydrogen and is also suitable for production of low carbon intensity synthetic fuels including SAF. Raven SR’s facility has received environmental permits and, as of mid-October, is engaged in a public hearing process prior to launching operations. Raven SR also recently received a grant award to develop a similar facility in Spain.