Exxon Mobil (XOM) and BASF (OTCQX:BASFY) (OTCQX:BFFAF) said Monday they have formed a strategic collaboration to co-develop methane pyrolysis technology, including plans to construct a demonstration plant, serving as a critical step toward delivering commercial ready hydrogen solutions for industrial use.
The companies said they plan to build and operate a demonstration plant at Exxon’s (XOM) Baytown complex in Texas use existing natural gas infrastructure, which would be capable of producing up to 2,000 tons/year of low-emission hydrogen and 6,000/year tons of solid carbon product annually.
BASF (OTCQX:BASFY) (OTCQX:BFFAF) has been developing methane pyrolysis technology over the past several years in a project funded by the German Federal Ministry of Research, Technology and Space, validated at its test plant in Ludwigshafen, Germany.
Methane pyrolysis uses electricity to convert natural gas or biomethane into hydrogen and solid carbon without generating process-related carbon emissions, uses ~5x less electricity than water electrolysis, requires no water, and leverages existing natural gas infrastructure, making it easy to deploy in different locations.