Refining India March 2026 Issue

water footprint seen in steam methane reforming (4.5 kg H₂O per kg H₂) and electrolysis (9-10 kg H₂O per kg H₂). These features are particularly relevant in water- stressed regions, making the technology more adaptable to a wider range of geographic and industrial requirements. Economically, the technology leverages low-cost feedstocks such as natural gas, compressed biogas, or refinery fuel gas, each of which can be

H enriched CNG (HCNG) 18% H + Methane

Catalyst synthesis

HCNG catalyst

Fluidised bed reactor

Natural gas

Carbon Nanotubes

Natural gas

Nano Graphite

Nano bres

Drilling

Production

Processing

Carbon Nano- materials

Bio Gas

Compressed Bio Gas

Carbon black Nanoparticles

Organic waste

CBG Digestor

CBG Processing

Figure 3 Sustainability concept of HCNG technology

Technology demonstration The transition of any laboratory innovation to field-ready technology requires detailed experimentation and rigorous stage gate processes. These include catalyst synthesis, lab- scale screening tests, bench-scale performance testing, scale-up, performance validation at the pilot stage, and, finally, designing the demonstration unit following standard engineering guidelines. HPCL’s HCNG technology has successfully progressed through this pathway and has attained a Technology Readiness Level (TRL) of 7, with both laboratory and pilot-scale demonstrations completed successfully. Sustainability and economic viability One of the most promising aspects of HPCL’s HCNG technology is its alignment with key pillars of sustainability which are carbon neutrality, water conservation, and the circular economy, while offering a financially viable business model for commercial deployment of low-carbon fuel (see Figure 3 ). From an environmental standpoint, the process is completely free of direct CO₂ emissions, as the hydrogen is generated via catalytic methane pyrolysis rather than oxidative or reforming routes. This eliminates the need for carbon capture or flue gas treatment systems, which are typically associated with grey or blue hydrogen production. Furthermore, the process is designed to operate without water input, avoiding the high

sourced locally at competitive prices. The use of a proprietary catalyst developed from low-cost raw materials improves the process efficiency. Additionally, the low-temperature operation ~600°C) results in lower utility requirements and reduced equipment stress, contributing to lower Capex and Opex in comparison to conventional high-temperature systems. What further strengthens the business case is the coproduction of high-value carbon nanomaterials, including CNTs. These nanostructured carbons have applications across multiple sectors, including polymers, paints, electronics, batteries, construction, and functional coatings. Typically, market prices for these carbon nanomaterials range from $50 to $200 per kilogram, depending on purity and application requirements. The dual-revenue stream model, in which HCNG serves industrial and transport energy needs and carbon nanomaterials tap into the advanced materials market, provides a built-in economic offset that improves return on investment and reduces the payback period. Competitive advantage and differentiation In a landscape where multiple stakeholders are pursuing hydrogen-enriched fuel solutions, HPCL’s HCNG technology stands out due to its integrated design, sustainability profile, and economic viability. The approach offers a set of differentiators that address the key limitations of both domestic and international HCNG initiatives:

Refining India

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