Hydrogen from Natural Gas with Carbon Capture

Published December 2021

Hydrogen (H₂) is considered to be a potentially disruptive technology for energy transition. Because of this, considerable attention has been directed to carbon capture and sequestration (CCS) as applied to large-scale H₂ production via steam methane reforming (SMR) of natural gas. This is sometimes known as “blue” H₂.

In this report, we examine the technology and economics of SMR-based H₂ production of 90 million standard cubic feet per day (MMscf/d), equivalent to 100,500 Nm³/hr of the product, without and with CCS. Our CCS case assumes 90% capture of carbon dioxide (CO₂) emissions from the SMR process as well as the heat and power inputs required for carbon capture and compression, namely, Scope 1 plus Scope 2. This is achieved via an on-site noncondensing steam turbine and generation system.

We have conducted our analysis assuming new stand-alone plant construction for H₂ production. We found that by adding CCS and compression to an SMR unit, with 90% of CO₂ captured, adds $0.68/kg to the net production cost of H₂ from natural gas.