ARPA-E Methane Pyrolysis Annual Program Review Virtual Meeting Jan 12&14, 2021 Methane Pyrolysis – a potential new process for hydrogen production without CO2 emission

Dr. Andreas Bode BASF SE, Carbon Management R&D Dieter Flick BASF SE, Methane pyrolysis

1 BASF – We create chemistry

 Our chemistry is used in almost all industries.

 We combine economic success, social responsibility and environmental protection.

 Sales 2019: €59.3 billion

 EBIT before special items 2019: €4.5 billion

 Employees (as of December 31, 2019): 117,628

 6 Verbund sites and 361 other production sites

 Around 100,000 customers from various sectors in almost every country in the world

2 1 Our target: CO2-neutral growth until 2030

Absolute GHG emissions Indexed (1990 = 100)

160 Global GHG emissions 140 Assumed policy shift World 120 36.4 billion t 100 BASF business 80 as usual BASF 40.1 million t 60 Carbon Management BASF GHG emissions 40 2030 target: No increase 20 of emissions

0 1990 1995 2000 2005 2010 2015 2020 2025 2030

1 BASF operations excluding the discontinued oil and gas business. The goal includes other greenhouse gases according to the Greenhouse Gas Protocol, which are converted into CO2 equivalents. 3 14.01.2021 | Bode, Flick Methane Pyrolysis BASF’s Carbon Management Measures at a glance to avoid CO2

Process optimization, CO2 emitters: Measures: Others energy management,

N2O decomposition N2O Ammonia/hydrogen Clean hydrogen research, E-Furnace research, Steam cracker clean olefins research

Power Purchase of renewable energy plants

BASF’s Carbon Management includes process optimization, technology research and the supply of renewable energy. 4 14.01.2021 | Bode, Flick Methane Pyrolysis H2 from methane pyrolysis allows for green or blue certificate application depending on power source and feedstock

Benchmark emissions intensity threshold  Certification scheme by CertifHy is active (=91 g CO2eq/MJ H2)*  New definitions for green and decarbonized gases are under -60%** discussion  Methane pyrolysis using Low-carbon threshold  grey electricity and natural gas (=36,4 g CO2eq/MJ H2 would apply for blue certification  Green electricity and biogas for Source: F. Barth “CertifHy – Developing a European guarantee green certification of origin scheme for green hydrogen. CertifHy.eu, 05.11.2019

5 14.01.2021 | Bode, Flick Methane Pyrolysis BASF leads a consortium evaluating methane pyrolysis since 2013

2013 – 2017 Basic, ambitious R&D Theoretical and experimental assessment of various reactor concepts Carbon sample production on 100 kg scale

Results  Successful operation on lab scale  Identification of promising reactor concepts  Successful carbon sample production and application testing  But: reactor was ruined during sample production

6 14.01.2021 | Bode, Flick Methane Pyrolysis First moving carbon beds for methane pyrolysis: Combined reaction and heat integration

H2

Energy Methane pyrolysis CH4  2 H2 + C

partial carbon recycle

Natural gas Solid carbon

7 14.01.2021 | Bode, Flick Methane Pyrolysis First video observation of methane pyrolysis on a moving carbon bed in glass lab reactor

H2 outlet

Carbon flow H2 cooling and carbon pre-heating

Reaction zone heated by induction

Carbon cooling and CH4 pre-heating

Gas 1,75 m³ /h, 10% CH , N 4 CH4 inlet C 1,33 kg/h Reactor is operated at BFI in Düsseldorf

8 14.01.2021 | Bode, Flick Methane Pyrolysis From lab to pilot scale: Process challenges

 Need for basic R&D and new reactor design

 Heating concept needed to overcome the low radial heat transfer from the wall into the reactor core

 Manage inhomogeneous flow and pulsations

 High-temperature materials required

Gas 1,75 m³N/h, 10% CH4, C 1,33 kg/h

BASF strives for first stable operation on large lab scale 9 14.01.2021 | Bode, Flick Methane Pyrolysis Is the solid carbon the showstopper?

H2 Options for carbon utilization and storage 1. Utilization in major carbon markets  Aluminum – positive tests  Energy Steel – positive tests  Others (tires, concrete admixtures, …)

2. Storage/sequestration  Soil improver / Terra preta  Filling material Natural gas Solid carbon

Outlet needed for 3 kg carbon per kg hydrogen 10 14.01.2021 | Bode, Flick Methane Pyrolysis Methane pyrolysis: the path to a large-scale plant

How could it work? Does it work Is it cost Off to outside the effective? production! lab? Test Pilot Large-scale Idea Lab Plant Plant Plant

2010 2020 ~2030

2010 2015 2020 2025 2030

11 14.01.2021 | Bode, Flick Methane Pyrolysis Project outlook – methane pyrolysis for clean hydrogen

1st commercial unit

Pilot unit* Test of reactor design and carbon outlet Second R&D project “Me2H2” Proof of concept R&D project “FfPaG” for reactor design Lab scale proof of concept and and carbon outlet sample production Duration ~3 years (04/2019-05/2022)

2019 2025 Second R&D project with

FKZ 03SF0571A * Government funding will be necessary due to high technological and commercial risk

12 14.01.2021 | Bode, Flick Methane Pyrolysis