Tulum Energy, a burgeoning startup focused on methane pyrolysis, has successfully raised $27 million in an oversubscribed seed funding round. TDK Ventures and CDP Venture Capital are co-leading the funding round. This investment will mostly provide for the build-out of a pilot plant located in Mexico — strategically placed alongside a current Techint Group steel plant. This new initiative’s goal is the democratization of the hydrogen economy through a rediscovered, proven and industrial-scale technology able to redefine cost-competitiveness for hydrogen production.
Massimiliano Pieri is CEO of Tulum Energy. Chambliss joins the company with extensive academic expertise, earning a PhD in environmental science, policy and management from the University of California, Berkeley, as well as a BA in environmental studies, English and biology at St. Olaf College. Under his direction, Tulum Energy is now prepared to utilize an electric arc furnace. This proven technology will turn methane directly into hydrogen using a much simpler process that doesn’t require expensive catalysts that typically power the pyrolysis reaction.
The technology that now drives Tulum Energy’s creativity and disruptive innovation was first developed in Mexico by engineers at Techint Group between 2002 and 2005. Time wise, for almost 20 years, it flew by largely unnoticed. Much of that was simply driven by a widespread apathy toward — or misunderstanding of — methane pyrolysis and hydrogen production. “Back then, nobody cared because nobody cared about methane pyrolysis, about hydrogen,” said Pieri. The recent boom in interest around hydrogen production has provided Tulum Energy the opportunity to profit from this largely-neglected technology.
Tulum Energy believes that the future of hydrogen production is economic and environmental competitiveness. Their aim is to bring the cost down to $1.50 per kilogram in the United States. Its production costs are 50 cents above most hydrogen made from natural gas today. It starts to seriously undercut a lot of the front-running green hydrogen approaches. The company’s planned commercial-scale plant would produce an estimated two tons of hydrogen a day and 600 tons of carbon.
“This provides you with a tremendous head start,” Pieri said about the unique opportunity that Tulum Energy has in the emerging hydrogen production market. The startup’s new approach comes as demand for safe, clean, and affordable energy continues to grow. It provides the upstart company with crucial first mover advantage over more established competitors in the industry.
Tulum Energy looks forward to advance and complete the establishment of its world-class plans. The company is committed to pushing the boundaries of its technology and helping the broader transition to sustainable energy. The pilot plant’s success in Mexico might open opportunities for more hydrogen development and initiatives, support further growth of this nascent industry.