Chart Industries has completd an investment in Transform Materials in the amount of $25 million for 5% of its equity.
Transform Materials is a sustainable chemical technology company that uses microwave plasma to convert natural gas into acetylene and hydrogen. Its highly selective, cost-effective, net-carbon-negative process converts the methane in natural gas into high-value products suitable for direct use or downstream reactions.
“We transform methane into acetylene and hydrogen, critical precursors for the synthesis of high-value chemical end products, without using traditional techniques that form carbon dioxide. That means we can meet important future needs of the petrochemical industry without creating harmful greenhouse gases. An important benefit of our technology is that it repurposes the carbon that methane—a potent greenhouse gas—contains, so that it doesn’t enter the atmosphere. We saw immediately how Chart’s process chemicals and hydrogen technologies can help us deliver clean, high-purity hydrogen and acetylene to our customers at scale.”David Soane Ph.D., Chairman of Transform Materials.
In conjunction with this strategic investment, Chart and Transform also executed a binding commercial Memorandum of Understanding (MOU). The MOU establishes the commercial collaboration and equipment supply arrangements for Chart to supply Transform projects. Transform Materials’ process has already been adopted via a global licensing agreement with DSM Nutritional Products, who plans to utilize the patented Transform technology to produce certain vitamins, carotenoids, and nutritional ingredients.
This investment achieves all of Chart’s criteria for its strategic inorganic investments in clean energy, specialty markets, and repair and service.