SK Inc., Monolith to work together on clean hydrogen production

SK Inc. will establish a joint venture with U.S.-based hydrogen firm Monolith to contribute to Korea's push toward a hydrogen economy.

SK Inc. CEO Jang Dong-hyun, left and Monolith CEO Rob Hanson pose for a photo after signing a memorandum of understanding on establishing a joint venture. [SK INC.]

SK Inc. will establish a joint venture with U.S.-based hydrogen firm Monolith to contribute to Korea’s push toward a hydrogen economy.

Monolith is Nebraska-based firm that holds proprietary technology in producing hydrogen through methane pyrolysis. The process produces hydrogen and carbon black — a form of carbon used to make car tyres — without emitting carbon dioxide.

The two companies signed a memorandum of understanding (MOU) on the collaboration, SK Inc. said Wednesday.

“Through close partnership with Monolith, SK will have Monolith’s clean hydrogen as one of the main pillars of SK’s hydrogen manufacturing portfolio,” said Jang Dong-hyun, CEO of SK Inc., in a press release.

“The carbon black business will be pushed forward together.”

Monolith’s clean hydrogen doesn’t require additional carbon capture utilization and storage (CCUS) technology because it doesn’t emit carbon during the manufacturing process.

It requires less energy compared to manufacturing green energy, according to SK Inc.

“It holds strategic value because it can act as an intermediate stage when transitioning from blue to green hydrogen,” the company said.

Carbon black generated during the process of making hydrogen at Monolith is one of the main materials for tires, rubber goods and plastics. SK Inc. expects carbon black to act as a source of profit in the future.

“Through the latest MOU, SK plans to target the domestic market, which is seeing rising demand for clean hydrogen, carbon black and other eco-friendly materials,” the company said.

“The two companies will sign a contract for the joint venture as early as the first half of next year.”

BY JIN EUN-SOO [jin.eunsoo@joongang.co.kr]