Commodity Arbitrage…the key to a Commercial Hydrogen Economy

Our Philosophy

Millennium Environmental, like all the Millennium Group companies, has the objective of providing services that reduce carbon and greenhouse gas emissions, but we look to achieve this by changing how we process our natural resources to support the continual global population growth.

With regards to electricity, the company believes that a balanced generation portfolio is the correct response to tackling the challenges of climate change. Biasing generation towards any single technology or resource is not the optimal way of ensuring security of supply at a competitive low cost for the consumer. The ability to commodity arbitrage through a hydrogen production is.

By deploying the Endex reactor, we have the potential to provide a central, multi-fuel hydrogen production facility that could feed a network of generation facilities based on state of the art CCGT technology. Through industrial collaboration to eliminate the problem of GHG’s, we could strengthen the low cost competiveness of the UK’s power generation industry, and in so doing accelerate achievement of our carbon reduction targets.

So how does this work?  Well the below diagram seeks to show the potential from the Endex Reactor and Vortex Pyrolyser working in unison.  Generation from gas and natural gas are currently separate facilities, equipment designed based on a single raw fuel.  Under Millennium’s approach, that single fuel would be hydrogen.  What Millennium want to do is take coal and natural gas and process both to strip out the CO2 and provide a clean fuel source from a central location.   What this allows is the retention of fossil fuels in the energy mix without locking in emissions or costs.  As the commodity prices shift between natural gas, coal, carbon dioxide and power, so to can Millennium’s facility.  The company also believes that this approach can accelerate and aid the de-carbonisation of the industrial sector.

Cost of CO2 vs Price of Gas