Hydrogen Revenue Path — Deferred to Phase 2+
Hydrogen Revenue Path — Deferred to Phase 2+
Status: Not Active in Phase 1
Phase 1 uses all syngas to power the ship. No hydrogen is produced for sale. Revenue comes from plastic credits and carbon credits only.
Revenue Potential (When Revisited)
At 10 TPD processing with hydrogen extraction:
| Metric | Value |
|---|---|
| H₂ yield (est.) | ~300–600 kg/day |
| Market price | $5–15/kg (green hydrogen premium) |
| Daily revenue | $1,500–9,000 |
| Annual revenue (250 days) | $375K–$2.25M |
| IRA Section 45V tax credit | Up to $3/kg (if US-flagged) |
| With tax credit | $750K–$4.5M/year |
Why Deferred
1. Revenue is modest relative to the infrastructure required 2. Hydrogen storage on a processing vessel is a safety concern 3. Ship-to-ship transfer is dangerous 4. Conversion to ammonia/methanol adds complexity 5. Self-power is the simpler, safer Phase 1 model 6. Plastic credits may generate comparable or higher revenue without the risk
Trigger for Revisiting
- Phase 1 validates energy surplus (more syngas than needed for ship power)
- Hydrogen market price exceeds $15/kg sustainably
- Port-based hydrogen extraction becomes feasible (ship delivers syngas-rich output, shore facility extracts H₂)
- Partnership with hydrogen buyer provides guaranteed offtake