Techno-economic and life cycle analysis of synthetic natural gas production from low-carbon H₂ and point-source or atmospheric CO₂ in the United States

Journal Article · 29 April 2024 · Journal of CO2 Utilization

DOI: https://doi.org/10.1016/j.jcou.2024.102791 · OSTI ID:2475287

Lee, Kyuha ^[1]; Sun, Pingping ^[1]; Elgowainy, Amgad ^[1]; Baek, Kwang Hoon ^[1]; Bobba, Pallavi ^[1]

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1. Argonne National Laboratory (ANL), Argonne, IL (United States)

Synthetic natural gas (SNG) is of great interest in reducing fossil energy consumption while maintaining compatibility with existing NG infrastructure and end-use applications equipment. SNG can be produced using clean H₂ generated from renewable or nuclear energy and CO₂ captured from stationary sources or the atmosphere. In this study, we develop an engineering process model of SNG production using Aspen Plus® and production scales reported by the industry. We examine the levelized cost and life cycle greenhouse gas (GHG) emissions of SNG production under various CO₂ supply scenarios. Considering the higher cost of H₂ transportation compared with CO₂ transportation, we assume that CO₂ feedstock is transported via pipeline to the H₂ production location, which is collocated with the SNG plant. We also evaluate the cost of CO₂ captured from the atmosphere, assuming the direct air capture process can occur near the SNG facility. Depending on the CO₂ supply chain, the levelized cost of SNG is estimated to be in the range of $$\$$45–76$ per million British thermal units (MMBtu) on a higher heating value (HHV) basis. The SNG production cost may be reduced to $$\$$27–57$/MMBtu-HHV by applying a tax credit available in the United States for low-carbon H₂ production (45V). With a lower electricity price of 3¢/kWh for water electrolysis and accounting for a 45V tax credit, the SNG cost reaches parity with the cost of fossil NG. Depending on the CO₂ supply chain, SNG can reduce life cycle GHG emissions by 52–88% compared with fossil NG.

• Research Organization: Argonne National Laboratory (ANL), Argonne, IL (United States)
• Sponsoring Organization: USDOE Office of Energy Efficiency and Renewable Energy (EERE), Office of Sustainable Transportation. Hydrogen Fuel Cell Technologies Office (HFTO)
• Grant/Contract Number: AC02-06CH11357
• OSTI ID: 2475287
• Alternate ID(s): OSTI ID: 2345848
• Journal Information: Journal of CO2 Utilization, Journal Name: Journal of CO2 Utilization Vol. 83; ISSN 2212-9820
• Publisher: ElsevierCopyright Statement
• Country of Publication: United States
• Language: English