Hydrogen Central

Could e-Methanol Provide the Answer to the Hydrogen Infrastructure Problem?

e-methanol hydrogen problem

Could e-Methanol Provide the Answer to the Hydrogen Infrastructure Problem?

Q: In light of the UK’s latest Autumn Statement, how is CRI adapting its hydrogen and e-methanol strategies to align with global priorities for renewable tech? 

A: The UK’s Renewable Transport Fuel Obligation (RTFO) has supported the demand for renewable fuels for over a decade, positioning the UK as an attractive market for renewable fuel producers. With the recent government confirmation of production support for the HAR1 cohort projects, the UK strengthens its role as a potential production hub. This support will help mitigate early hydrogen project investment risks, making these ventures more affordable and competitive in the long term. By building out the hydrogen industry, the UK can enhance its e-methanol and e-fuel production competitiveness, reducing reliance on future energy imports and securing domestic energy supply.

Q: What practical benefits does e-methanol offer over other e-Fuels, particularly as a liquid at room temperature, when it comes to infrastructure and affordability? 

A: e-Methanol is produced by reacting together two gases, hydrogen and carbon dioxide to form an intermediary mixture of methanol and water that are then purified through distillation. This process [ja1] offers several practical advantages to store and use renewable energy and use e-methanol as an energy carrier. Infrastructure, engines, and global methanol availability are already in place, with older oil infrastructure adaptable with minor modifications. Its liquid form means vessel designs require minimal changes. For road transportation, e-methanol can serve as a drop-in fuel precursor to e-gasoline, unlike e-LNG and e-H2, which would require substantial new infrastructure. In maritime, e-ammonia is the main alternative, but its energy technology is less mature and presents challenges for transport and handling. In aviation, e-SAF can be produced via synthetic crude oil or methanol intermediaries, with the methanol-to-jet pathway offering greater flexibility and efficiency.[ja2] [GB3] 

Q: With e-methanol as CRI’s main focus, how do you see it helping the UK hit its low-carbon targets, especially as budgets tighten? 

A: CRI offers end-to-end solutions, having developed, built, owned, and operated CO2-to-methanol projects, including the world’s largest such plant, capable of producing over 110,000 tonnes per year, with an e-methanol plant with a further 170,000-tonnes of capacity currently in design. E-methanol production is feasible without reliance on fossil sources, enabling operation even where oil reserves are unavailable. Replacing oil with local production provides energy security, while e-methanol, directly or as drop-in derivatives, requires less infrastructure investment than other e-fuel alternatives, easing the burden on public resources for new energy infrastructure.

Q: CRI’s leadership includes strong international and gender representation. How does your female leadership and global talent shape your approach to e-methanol innovation and the chemical engineering sector in general? 

A: Diversity adds value through broader perspectives and experience, driving growth. The global, cross-sector nature of e-fuels connects power producers, manufacturers, and transport sectors in new ways. Our team’s diversity in geography, industry backgrounds, and gender has been a significant asset, allowing us to better navigate and understand the needs of varied stakeholders and markets. With a workforce representing more than 20 nationalities, CRI leverages an international outlook that fosters an inclusive culture.

Q: What are CRI’s main goals for expanding e-methanol production, and how might recent developments like the UK’s budget affect this growth? 

A: CRI is currently designing plants to repurpose 565,000 tonnes of CO2 per year for up to 380,000 tonnes of methanol production. Our ambition is to capture a substantial share of the global e-methanol market and maintain our leadership position. We are also keen to explore partnerships with UK customers and renewable energy developers to support the UK’s carbon reduction targets.

Q: Is there anything that CRI would like to see governments and regulators do to improve the viability of hydrogen as a widely available energy source? 

A: Government support is vital, including streamlined planning and permitting and infrastructure development for renewable energy and green hydrogen production. Reducing investment barriers through measures like loan guarantees, capex/opex support to bridge the cost gap with fossil sources, and market-making initiatives like mandates and quotas are crucial. Early adopters face risks, particularly from regulatory changes, which could be mitigated through grandfathering policies to protect these investments.

Q: How do CRI’s collaborations with sectors like renewable energy and plastics contribute to cost-effective, sustainable carbon reduction? 

A: Renewable energy sources are often far from major markets, limiting development. Transforming energy into a storable, transportable form that uses existing infrastructure can unlock potential and accelerate fossil fuel replacement in sectors which produce the most emissions such as maritime and aviation.  E-methanol production works with variable renewables such as wind and solar, and it is easier to transport than hydrogen or electricity. Additionally, finding scalable, sustainable carbon sources for base chemicals and plastics is essential as they currently rely on oil and gas. CRI’s ETL technology integrates with existing chemical manufacturing, enabling operators to use waste gas streams as raw material, reducing resource consumption and emissions.

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Could e-Methanol Provide the Answer to the Hydrogen Infrastructure Problem?

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