Australia explores natural hydrogen as sustainable energy source

As the world increasingly looks for sustainable energy solutions, natural hydrogen is emerging as a potential game-changer.

If you remember blowing up a balloon or sipping a milkshake as a kid, you might recall how your cheeks would get sore from the effort. That’s because there’s an energy cost associated with forming bubbles, says Paul Barrett, the Dublin-born CEO of the Australian green energy firm Hysata, Caliber.Az reports citing the foreign media.

Barrett is describing his company's innovative approach to creating the world’s cheapest hydrogen by addressing the inefficiencies associated with bubble formation. Based in Port Kembla, an industrial hub south of Sydney, Hysata employs a process called electrolysis, which involves passing electricity through water to separate it into hydrogen and oxygen.

What sets Hysata apart is its development of a specialized material that enhances the efficiency of its electrolyser. According to the company, their technology uses 20% less electricity to produce a kilogram of hydrogen compared to traditional methods.

Hydrogen, the most abundant element on Earth, offers a significant advantage: when used as a fuel or in industrial processes, it produces no carbon dioxide (CO₂). This makes it a promising solution for reducing carbon emissions, especially in heavy industries such as steelmaking and chemical production.

Hydrogen production falls into four categories: green, grey, blue, and black. Green hydrogen is generated using renewable energy, grey hydrogen is produced by splitting methane into CO₂ and hydrogen, blue hydrogen is made in the same way but with the CO₂ captured and stored, and black hydrogen is derived from partially burning coal.

A transition to green hydrogen requires a substantial increase in its supply. “The main challenge is ensuring that green hydrogen production is located close to demand points and can be regulated effectively,” explains Dr. Liam Wagner, an associate professor at Curtin University in Adelaide. “The efficiency of production and the energy required for these processes are key frontiers.”

Australia, rich in natural resources and traditionally known for its coal and iron ore exports, is looking to hydrogen as a potential export commodity. “The future of hydrogen lies in exporting energy to countries that cannot produce enough of their own, either as hydrogen in liquid form or as ammonia, which seems the most likely route,” Dr. Wagner adds.

Hysata, an Australian green energy firm, aims to contribute to this future. Its technology, initially developed by researchers at the University of Wollongong in New South Wales, uses a specialized sponge-like material between the electrodes in its electrolyser. This material helps to eliminate bubbles that can cling to electrodes, causing process inefficiencies and energy loss.

“It works much like a kitchen sponge, but is much thinner,” says Paul Barrett, Hysata’s CEO. “It’s also very cost-effective to manufacture.”

Addressing cost and efficiency challenges has been crucial for the hydrogen sector. Recently, Hysata secured $111 million in investment to expand its production capabilities, positioning itself as a key player in the green hydrogen market.

“What we are discussing is natural hydrogen, which is emerging directly from the Earth,” explains Dr. Ema Frery, a research team leader at CSIRO, Australia’s national science agency. “Many rocks in Australia, particularly ancient granites near the subsurface, can generate hydrogen through radiogenic processes.”

This naturally occurring hydrogen, also known as white or gold hydrogen, is the focus of Dr. Frery’s research. She is exploring methods for its extraction, storage, and utilization in an economically viable manner. “A conventional hydrogen system involves a rock that generates hydrogen at a certain rate, migration pathways, and a reservoir where the hydrogen can be stored. Surface seeps can indicate the presence of a hydrogen system at depth,” she says. “In Mali, for instance, natural hydrogen has been extracted for over a decade to produce electricity for a local village.”

Despite ongoing research, some experts remain skeptical about hydrogen becoming a major export for Australia. Amandine Denis-Ryan, CEO of the Institute for Energy Economics and Financial Analysis (IEEFA) in Australia, argues that exporting hydrogen may not be financially viable. “Hydrogen shipping is prohibitively expensive due to the need for extremely low temperatures and large volumes, which result in significant losses. Utilizing hydrogen locally is far more practical,” she asserts, hoping that government funding will not be “wasted” on unfeasible projects.

New technologies and processes often face challenges and skepticism, but advocates for hydrogen believe it will play a crucial role in the energy transition. Bahman Shabani, a professor at RMIT University’s School of Engineering in Melbourne, is working on a system to store surplus renewable energy using an electrolyser, a storage tank, and a fuel cell—essentially functioning like a battery. “Hydrogen is gaining global traction. Countries like China, Japan, Germany, and the United States are all recognizing its importance and investing in this area,” Shabani notes.