Serving the High Plains
Serving the High Plains
If you think New Mexico’s commitment to alternative energy sources is evident only by the wind turbines and solar farms going up, think again. Hydrogen gas is on the way.
Earlier this month, officials with BayoTech Inc., alongside Gov. Michelle Lujan Grisham, unveiled the Albuquerque-based company’s first “hydrogen-generating hub” — the first of many the company plans to help build in the U.S. and Great Britain over the next three years. BayoTech’s CEO said the company’s goal is to be the largest hydrogen distribution company in the world — a lofty goal indeed, but achievable if BayoTech gets out in front of this burgeoning industry fast enough.
If successful, it’ll create a clean-energy alternative to gasoline-powered vehicles and put New Mexico on the map as a leader of an emerging energy source.
Now I’m no scientist, so if you want to understand the intricacies of generating hydrogen gas you’ll need to look elsewhere. There are good, technical details on the internet but I’m hesitant to cull it all down to a few words because I’d probably get it wrong.
But I can easily tell you this: The process itself is controversial because, while a hydrogen-powered vehicles only release heat and water vapor as exhaust, there’s a challenge in “refining” the hydrogen. It’s mainly extracted from natural gas (though hydrogen is one of the most common elements on earth, so it could be extracted from other sources, even water). And of course, natural gas contains carbon — the one thing we need to get away from if we’re going to quit heating up the atmosphere in our energy consumption.
Environmentally, that raises a ton of concerns, but BayoTech is saying it’ll use carbon-capture technology to prevent any kind of carbon release into the atmosphere.
Meanwhile, as that debate continues, plans to increase production through big investments are speeding up. More than $8 billion has been set aside for hydrogen “hubs” (formerly known as “filling stations”) in the recently passed infrastructure bill, while the New Mexico Legislature is expected to pass its own Hydrogen Hub Act in its coming session to provide tax incentives for investors.
In other words, people are getting serious about this as a viable alternative source of fuel, for our vehicles and other energy consuming products.
Launched in 2015, BayoTech grew out of technology developed at Sandia National Laboratories. According to an Albuquerque Journal report, it has built the world’s first compact onsite hydrogen generator and has nearly $200 million in private equity so far. The company has entered into a partnership with Farmington-based Process Equipment & Service Co. to build the hydrogen production units in New Mexico — with the first hub being built in midtown Albuquerque, on property owned by New Mexico Gas Company.
BayoTech has also signed an agreement with GreenCore, a developer of electric vehicle (EV) charging stations that currently operates hundreds of EV charging stations across the U.S., with plans to use hydrogen fuel cells as part of its plans for 1,500 more charging stations by 2026. Plus, a deal was signed with Element Two for the units at some 800 EV operations in the United Kingdom.
That sounds like a pretty good start for a homegrown, New Mexico-based energy company.
If it does catch on, even as a bridge to even cleaner fuels, it’ll be good for New Mexico’s economy as we transition away from our oil-and-gas producing heritage.
Tom McDonald is editor of the New Mexico Community News Exchange. Contact him at:
