Tulum Energy, a Milan-based startup specializing in methane pyrolysis, has successfully closed a US$27 million venture financing round, marking a significant milestone in the advancement of clean hydrogen production. The substantial investment, led by CDP Venture Capital's Green Transition Fund and TDK Ventures, with key contributions from TechEnergy Ventures, MITO Technology, and Doral Energy Tech Ventures, is earmarked to accelerate the commercialization of its innovative "turquoise hydrogen" technology, crucial for industrial decarbonization efforts.

Tulum Energy's proprietary process leverages methane pyrolysis to produce high-purity hydrogen and solid carbon from natural gas or biogas, critically achieving this without any CO2 emissions. This method stands in stark contrast to traditional steam methane reforming (SMR), which remains a major source of industrial carbon emissions globally. Massimiliano Pieri, CEO of Tulum Energy, highlighted the technology's inherent scalability and exceptional energy efficiency, noting its unique ability to repurpose existing machinery commonly found in the steelmaking industry. This innovative approach not only significantly reduces capital expenditure but also accelerates deployment by integrating seamlessly with established industrial infrastructure, offering a rapid pathway to cleaner operations.

The newly secured capital will fuel two pivotal strategic initiatives designed to bring the technology to market readiness. A significant portion will fund the construction and operation of a pilot plant in Pesquería, Mexico, strategically hosted by the global steel producer Ternium. This collaboration with a major industrial player like Ternium underscores the technology's direct applicability and immense potential for immediate impact within heavy industry, demonstrating its efficacy at an operational scale. Concurrently, the investment will facilitate the establishment of an Italian subsidiary in Milan, dedicated to advanced research, development, and engineering activities. This dual approach aims to refine the technology further, optimize its performance, and develop new applications while simultaneously proving its industrial viability on a commercial scale.

The global push for industrial decarbonization has amplified the demand for sustainable hydrogen solutions, with projections indicating a multi-trillion-dollar market by mid-century. Tulum Energy's cost-effective and emissions-free approach positions it as a compelling alternative to conventional grey hydrogen production methods, particularly for energy-intensive sectors such as steel, chemicals, and cement, which are challenging to abate. By producing solid carbon as a valuable byproduct, the technology also opens avenues for new revenue streams and circular economy applications, including its use in construction materials, advanced composites, or even soil amendments. This investment not only validates Tulum Energy's technological promise but also signals growing investor confidence in methane pyrolysis as a key pathway to achieving net-zero industrial operations, potentially reshaping the landscape of clean hydrogen supply chains and accelerating the transition to a greener economy.