PORTFOLIO MANAGER: WAL VAN LIEROP
H2Gen is a leading manufacturer of small scale hydrogen generation machines based on steam methane reforming. H2Gen has unique efficient small scale machines with low operating cost and a pay back time of about 3-4 years.
Chrysalix invested in 2001 when it was anticipated that fuel cell cars would hit the roads later in the decade. H2Gen would be an interesting infrastructure play helping to roll out the hydrogen economy. Unfortunately that hasn’t happened, but H2Gen’s excellent management team subsequently developed an attractive revenue stream in the traditional industrial gas market. Today the company also sells hydrogen clean up and purification equipment (PSA and MARS systems) and they are developing small scale machines for gas-to-liquids applications which will likely be very interesting for operators of small to medium size oil and gas wells.
The company has scaled down large industrial processes into a small footprint allowing distributed hydrogen production and purification wherever the client needs it.
Its products help save costs for industries and companies all over the world in a reliable way. Its gas-to-liquids program could help capture the massive volumes of gas flared all over the world in medium and small size oil fields. No solution exist for that today, while on a global basis we flare annually more than the total energy consumption of France and Germany combined. That is an enormous opportunity with a hugely positive environmental impact.