Australian technology company, Hazer, and UK-based EnergyPathways (EPP), signed a non-binding memorandum of understanding (MoU) to jointly develop a clean hydrogen and synthetic graphite facility in Northwest England.

Under the agreement, EPP secured exclusive rights for one year to use Hazer’s proprietary methane pyrolysis technology, which splits methane into hydrogen gas and synthetic graphite. The proposed facility will use methane feedstock from the EPP’s Marram Energy Storage Hub (MESH) project located in the Irish Sea, UK, where Hazer’s pyrolysis process will be used to generate 60ktpy of synthetic graphite as a by-product. 

While the agreement terms (fees, ownership structure, and offtake agreements) remain undisclosed, both companies have agreed to conduct early-stage engineering studies. The credibility of this development is supported by Hazer's pilot plant near Perth, which was commissioned in 2023 and has a nameplate capacity of 380tpy of synthetic graphite.

The end use of the synthetic graphite is not yet confirmed; however, Hazers' pilot material is currently being tested by battery manufacturers, including Mitsui, POSCO in South Korea, and Chubu Electric in Japan, for use in battery active anode materials and other industrial applications. 

Although methane pyrolysis is significantly less carbon-intensive than conventional hydrogen production, it is a highly energy-intensive process, which could be a potential concern considering the UK’s high energy costs.

Once operational, the proposed facility will become the UK's first domestic supply of synthetic graphite. This could assist in diversifying regional critical material supply chains, particularly as in 2024, the UK and the European Union imported 9kt and 240kt of synthetic graphite, respectively, with over half (~134kt) sourced from China.