Whitepaper: Unlocking Hydrogen Transportation

Ruthenium, a rare transition metal belonging to the platinum-group metals (PGMs), plays an important role in facilitating the transportation of hydrogen through the process of ammonia cracking – a process crucial to the efficient production of hydrogen. This paper aims to outline the fundamentals of the ruthenium market from a supply and demand standpoint, including new emerging drivers in the ammonia economy. Understanding the supply-demand dynamics for ruthenium is crucial for industries that rely on it, as well as for investors and policymakers aiming to ensure its optimal and sustainable use, particularly as the world seeks to transition to clean energy sources such as hydrogen, where ruthenium plays a pivotal role in production technologies.

Ammonia (NH₃) is emerging as a promising energy vector, offering a viable solution for the storage and transport of renewable energy. It is a compound composed of one nitrogen atom and three hydrogen atoms, and its high energy density, ease of liquefaction, and capacity for carbon-free combustion make it particularly appealing in the context of a greener energy landscape. When used as a fuel, ammonia’s combustion produces only water vapour and nitrogen, with no direct carbon emissions. Furthermore, it has the potential to act as a hydrogen carrier, facilitating the transport and release of hydrogen where direct hydrogen infrastructure is not feasible. The global infrastructure for ammonia production, storage and distribution, primarily established for agricultural fertilisers, can be repurposed or expanded for energyrelated applications, enhancing its attractiveness as a sustainable energy vector. As the world pivots towards decarbonisation, ammonia’s role is gaining traction as a medium for clean energy trade, especially when renewable electricity is used for its synthesis through green ammonia processes.

Liquid ammonia is already emerging commercially as a competitive renewable fuel for the decarbonisation of certain transport sectors and power generation applications. Using proprietary ruthenium-catalysed cracking technology, hydrogen can be produced ondemand from ammonia. This hydrogen can then be used in a fuel cell or in a combustion engine; shipping, onroad trucks and non-road vehicles, and stationary power, all of which operate remote from a conventional fuelling infrastructure, are expected to benefit from this solution to zero emissions mobility.

Ammonia cracking, also known as ammonia decomposition, is a method to generate hydrogen gas by breaking down ammonia (NH₃) into its constituent elements, nitrogen (N₂) and hydrogen (H₂). This reaction requires a catalyst to proceed efficiently at industrial scales, and ruthenium is recognised as one of the most effective catalysts for this, offering the following advantages:

• High efficiency: Ruthenium catalysts yield a high conversion efficiency for ammonia cracking, enabling large-scale hydrogen production.
• Lower operating temperatures: Ruthenium can operate at relatively lower temperatures compared to other catalysts, reducing the energy requirement for heating.
• Longevity: Ruthenium catalysts are durable and resistant to poisoning by impurities, which can be a concern in many industrial processes.
• Selectivity: The catalytic action of ruthenium is highly selective towards the production of hydrogen, which results in a cleaner product stream.

Ruthenium has solidified its status as an indispensable catalyst in ammonia cracking. As an enabler of lower temperature reactions and at high conversion rates, ruthenium-based catalysts lead to significant energy savings and extended catalyst lifespans. This positions ruthenium at the forefront of the hydrogen economy, catering to the demand from fuel cell technology, chemical manufacturing, and metal processing industries.

The sustainability and profitability of employing ruthenium in ammonia cracking hinge on a delicate balance between supply availability, demand fulfilment, and diligent resource management. On the supply side, since ruthenium is primarily produced as a by-product of platinum and palladium mining, its supply is influenced by the production rates and market conditions for these more dominant metals. On the demand side, ruthenium has a niche but important set of uses in industries such as chemical catalysis, electronics, and alloy production. Any growth or reduction in these sectors could shift demand. Effective strategies must recognise the critical importance of ruthenium in a rapidly evolving energy landscape, while also addressing the inherent challenges of supply risk and environmental impact through sustainable practices and innovation in recycling technology. As global hydrogen demand surges, the catalyst market must adapt with responsible resource stewardship to sustain long-term viability, emphasising the significance of ruthenium in meeting future energy needs.

For 2023, total ruthenium demand of around 800 koz (24.9 MT) is estimated while supply of around 955 koz (29.6 MT) from primary sources brings the market into a positive balance (surplus). This leaves around 150 koz (4.6 MT) of ruthenium metal for the emerging hydrogen economy.

It is noteworthy, however, that with a declining ruthenium demand, e.g. as anticipated in the electrical sector, significant quantities of metal could be mobilised from the closed-loop into the open-loop market, which essentially frees up metal for use in the hydrogen economy. Overall, this paper illustrates the feasibility to use Ruthenium as the preferred metal for the ammonia cracking process.

This Whitepaper Also Includes the Following Content

• Introduction to Ruthenium Metal Market Fundamentals
• The Availability of Ruthenium to Build Out the Ammonia-Based Hydrogen Economy
• Ruthenium Market Summary – Historical Prices and Market Balance
• Ammonia – An Efficient Hydrogen Carrier Based on a Commodity Chemical
• Ammonia Cracking Basics – Introduction to Hydrogen Transport via Ammonia
• Conclusion: Assured Ruthenium Availability for Thriving Ammonia-Based Hydrogen Economy