Houston-area selected among 7 regions for $7B federal hydrogen hub investment

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The HyVelocity Hub, representing the Gulf Coast region, will receive $1.2 billion to strengthen and further build out the region's hydrogen production. Photo via Getty Images

A Houston-area project got the green light as one of the seven regions to receive a part of the $7 billion in Bipartisan Infrastructure Law funding to advance domestic hydrogen production.

President Joe Biden and Energy Secretary Jennifer Granholm named the seven regions to receive funding in a White House statement today. The Gulf Coast's project, HyVelocity Hydrogen Hub, will receive up to $1.2 billion — the most any hub will receive, per the release.

“As I’ve stated repeatedly over the past years, we are uniquely positioned to lead a transformational clean hydrogen hub that will deliver economic growth and good jobs, including in historically underserved communities," Houston Mayor Sylvester Turner says in a news release. "HyVelocity will also help scale up national and world clean hydrogen economies, resulting in significant decarbonization gains. I’d also like to thank all the partners who came together to create HyVelocity Hub in a true spirit of public-private collaboration.”

Backed by industry partners AES Corporation, Air Liquide, Chevron, ExxonMobil, Mitsubishi Power Americas, Ørsted, and Sempra Infrastructure, the HyVelocity Hydrogen Hub will connect more than 1,000 miles of hydrogen pipelines, 48 hydrogen production facilities, and dozens of hydrogen end-use applications across Texas and Southwest Louisiana. The hub is planning for large-scale hydrogen production through both natural gas with carbon capture and renewables-powered electrolysis.

The project is spearheaded by GTI Energy and other organizing participants, including the University of Texas at Austin, The Center for Houston’s Future, Houston Advanced Research Center, and around 90 other supporting partners from academia, industry, government, and beyond.

“Prioritizing strong community engagement and demonstrating an innovation ecosystem, the HyVelocity Hub will improve local air quality and create equitable access to clean, reliable, affordable energy for communities across the Gulf Coast region,” says Paula A. Gant, president and CEO of GTI Energy, in a news release.

According to the White House's announcement, the hub will create 45,000 direct jobs — 35,000 in construction jobs and 10,000 permanent jobs. The other selected hubs — and the impact they are expected to have, include:

  • Tied with HyVelocity in terms of funding amount, the California Hydrogen Hub — Alliance for Renewable Clean Hydrogen Energy Systems (ARCHES) — will also receive up to $1.2 billion to create 220,000 direct jobs—130,000 in construction jobs and 90,000 permanent jobs. The project is expected to target decarbonizing public transportation, heavy duty trucking, and port operations.
  • The Midwest Alliance for Clean Hydrogen (MachH2), spanning Illinois, Indiana, and Michigan, will receive up to $1 billion. This region's efforts will be directed at optimizing hydrogen use in steel and glass production, power generation, refining, heavy-duty transportation, and sustainable aviation fuel. It's expected to create 13,600 direct jobs—12,100 in construction jobs and 1,500 permanent jobs.
  • Receiving up to $1 billion and targeting Washington, Oregon, and Montana, the Pacific Northwest Hydrogen Hub — named PNW H2— will produce clean hydrogen from renewable sources and will create over 10,000 direct jobs—8,050 in construction jobs and 350 permanent jobs.
  • The Appalachian Regional Clean Hydrogen Hub (ARCH2), which will be located in West Virginia, Ohio, and Pennsylvania, will tap into existing infrastructure to use low-cost natural gas to produce low-cost clean hydrogen and permanently and safely store the associated carbon emissions. The project, which will receive up to $925 million, will create 21,000 direct jobs—including more than 18,000 in construction and more than 3,000 permanent jobs.
  • Spanning Minnesota, North Dakota, and South Dakota, the Heartland Hydrogen Hub will receive up to $925 million and create around 3,880 direct jobs–3,067 in construction jobs and 703 permanent jobs — to decarbonize the agricultural sector’s production of fertilizer, decrease the regional cost of clean hydrogen, and advance hydrogen use in electric generation and for cold climate space heating.
  • Lastly, the Mid-Atlantic Clean Hydrogen Hub (MACH2), which will include Pennsylvania, Delaware, and New Jersey, hopes to repurposing historic oil infrastructure to develop renewable hydrogen production facilities from renewable and nuclear electricity. The hub, which will receive up to $750 million, anticipates creating 20,800 direct jobs—14,400 in construction jobs and 6,400 permanent jobs.

These seven clean hydrogen hubs are expected to catalyze more than $40 billion in private investment, per the White house, and bring the total public and private investment in hydrogen hubs to nearly $50 billion. Collectively, they aim to produce more than three million metric tons of clean hydrogen annually — which reaches nearly one third of the 2030 U.S. clean hydrogen production goal. Additionally, the hubs will eliminate 25 million metric tons of carbon dioxide emissions from end uses each year. That's roughly equivalent to annual emissions of over 5.5 million gasoline-powered cars.

“Unlocking the full potential of hydrogen—a versatile fuel that can be made from almost any energy resource in virtually every part of the country—is crucial to achieving President Biden’s goal of American industry powered by American clean energy, ensuring less volatility and more affordable clean energy options for American families and businesses,” U.S. Secretary of Energy Jennifer M. Granholm says in the release. “With this historic investment, the Biden-Harris Administration is laying the foundation for a new, American-led industry that will propel the global clean energy transition while creating high quality jobs and delivering healthier communities in every pocket of the nation.”

HyVelocity has been a vision amongst Houston energy leaders for over a year, announcing its bid for regional hydrogen hub funding last November. Another Houston-based clean energy project was recently named a semi-finalist for National Science Foundation funding.

“We are excited to get to work making HyVelocity come to life,” Brett Perlman, president and CEO of Center for Houston’s Future, says in the release. “We look forward to spurring economic growth and development, creating jobs, and reducing emissions in ways that will benefit local communities and the Gulf Coast region as a whole. HyVelocity will be a model for creating a clean hydrogen ecosystem in an inclusive and equitable manner.”

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This article originally ran on EnergyCapital.

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Intuitive Machines has officially moved into its new HQ. Photo courtesy of Intuitive Machines

Space tech startup opens new $40M HQ at Houston Spaceport

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Houston aerospace company Intuitive Machines has moved into its new $40 million headquarters at the Houston Spaceport.

Intuitive Machines’ new home supports NASA’s $93 billion Artemis program, which aims to return astronauts to the moon by 2024 and eventually send humans to Mars. Eighteen astronauts are assigned to the program. Houston’s Johnson Space Center is playing a key role in Artemis.

The company’s 105,572-square-foot Lunar Production and Operations Center serves as the hub for its lunar program, including the manufacturing of lunar landers and spacecraft. The facility features manufacturing and production spaces, 3D printing areas, machine shops, R&D labs, cleanrooms, and spacecraft assembly areas, along with offices, meeting rooms, and conference rooms.

“Unique to the facility are mission control rooms to track and manage lunar missions, and a propulsion test facility to assess lunar lander engine capabilities,” Intuitive Machines says in a news release.

The propulsion test facility consists of a 3,800-square-foot reinforced concrete chamber surrounded by a 25-foot-high perimeter wall that encloses an additional 6,500-square-foot yard.

Intuitive Machines says its first mission lunar lander, Nova-C, will soon be shipped from its new facility ahead of the lander’s upcoming launch. The mission to deliver NASA and commercial payloads to the moon’s south pole marks the first U.S. attempt of a soft lunar landing since Apollo 17 in 1972.

The moon “is no longer a distant dream; it’s a destination within our grasp, and this facility is our lunar gateway — a national asset,” says Steve Altemus, co-founder, president, and CEO of Intuitive Machines.

Construction on the site began in June 2021, with the now-completed facility ready to support each of Intuitive Machines’ three NASA-awarded missions.

Intuitive Machines joins Axiom Space and Collins Aerospace as the third anchor tenant at the Houston Spaceport.

“Houston has always been a city that reaches for the stars, and with Intuitive Machines operating at the Houston Spaceport, our city is poised to shine even brighter in the cosmos,” says Houston Mayor Sylvester Turner.

In August, the publicly traded company announced it received a $20 million equity investment from an unidentified institutional investor.

UH's business school has a new program focused on artificial intelligence thanks to a partnership with Intel. Photo via uh.edu

University of Houston, Intel team up to prepare workforce for AI revolution

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The University of Houston’s C.T. Bauer College of Business has teamed up with semiconductor chip manufacturer Intel Corp. to provide training in artificial intelligence.

The new artificial intelligence program features a standalone business certificate with two specialized courses; the first course launched in January. Bauer also plans to offer non-degree certificate programs in AI, such as the AI Certificate for Entrepreneurship and AI Certificate for Executive Education.

In a news release, Elizabeth McGee, chief strategy and innovation adviser at Santa Clara, California-based Intel, says the UH initiative will help bridge the AI knowledge gap. An online search indicates hundreds of AI-related jobs are open in the Houston area.

“Digital upskilling, or digital readiness, needs to be a catapult for economic prosperity for everyone and not a dividing point,” McGee says. “I commend the University of Houston for being the first higher education institution to take our award-winning curriculum and lend your expertise in entrepreneurship, your access to the broader Houston community, and supporting this digital upskilling for everyone.”

AI education has taken on a greater sense of urgency as the healthcare and energy sectors, among others, incorporate AI into their operations.

Paul Pavlou, dean of the Bauer College and Cullen Distinguished Chair Professor, says the collaboration between UH and Intel will help propel growth and innovation in Houston’s tech sector. Intel, whose only Texas location is in Austin, is a key player in the expanding AI market.

“Intel has been very generous with their resources, and with our expertise in analytics and faculty research and students’ initiative in bringing new products to life, the opportunities for this collaboration to be transformative are endless,” Pavlou says.

AI is growing at an incredibly rapid pace. According to Precedence Research, the size of the global AI market was estimated at $119.78 billion in 2022 and is expected to reach nearly $1.6 trillion by 2030.

“While some markets, sectors and individual businesses are more advanced than others, AI is still at a very early stage of development overall,” says professional services firm PwC. “From a macroeconomic point of view, there are … opportunities for emerging markets to leapfrog more developed counterparts.”

AI is viewed as both positive and negative in terms of today’s workforce.

“AI is a fast-evolving technology with great potential to make workers more productive, to make firms more efficient, and to spur innovations in new products and services. At the same time, AI can also be used to automate existing jobs and exacerbate inequality, and it can lead to discrimination against workers,” says a report published by the White House in 2022.

Houston Mayor Sylvester Turner and Houston City Council celebrated “AI Innovation and Entrepreneurship Day” at City Hall on Feb. 7. Photo via Facebook

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2 Houston organizations team up to drive SaaS innovation within energy sector

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Two entities looking to support software-as-a-service innovation have teamed up on a new resource to meet the energy sector corporate clients' growing technology demands.

MOIC Partners, an energy enterprise software sales support solution provider founded earlier this year, and Venture Builder VC, a consulting firm, investor, and accelerator program operator led by a group of Houston innovators, have announced a new partnership. The two entities will combine resources and efforts to "drive innovation, accelerate growth and empower young companies," per a news release from the organizations.

“Throughout our careers, we’ve encountered various approaches to achieving the broader innovation objectives of Venture Builder VC and, in our judgment, this program truly stands out as a model that has the potential to introduce significant innovation to the energy sector in an abbreviated timeframe,” Dave Levitt of MOIC Partners says in the release.

MOIC Partners provides go-to-market products and services, including MOIC Sales Engine, MOIC Pipeline Grader, MOIC Pricing Engine, Virtual Dave, and MOIC Exit Engine.

Venture Builder VC recently partnered with NOV on a custom accelerator for the energy leader.

“We deliver disruptive solutions to enterprise R&D and innovation leaders by targeting growth-stage startups solving their specific problems," Billy Grandy, founder and general partner of Venture Builder VC, says in the release. "While founder-led models excel in driving change, they often struggle with scalability and change management with corporate customers. Our partnership with MOIC Partners provides essential tools to help small and mid-sized SaaS companies overcome these challenges and achieve sustainable growth.”

Houston expert shares how to implement thought leadership into your B2B marketing

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Did you know that 52 percent of decision-makers and 54 percent of C-level executives spend an hour or more per week reading thought leadership content? This is according to a recent Edelman and LinkedIn survey on thought leadership.

I often counsel my clients about the role of thought leadership in B2B marketing. Thought leadership remains a strategic approach that can set a company apart, establish credibility and a strong brand voice and position it as a trusted expert in its industry. But what exactly is thought leadership, and how can it support a B2B marketing strategy?

Why a thought leadership strategy matters

Thought leadership marks a commitment to provide value through insights beyond mere selling. It involves producing content and ideas that address the company's target audience's most pressing challenges and questions. This content helps position the company as a service partner, go-to resource and industry advisor.

Builds credibility and trust: Trust remains vital in a B2B context where longer sales cycles and purchasing decisions undergo scrutiny. Thought leadership lets a company demonstrate its expertise, solution-based thinking and value meaningfully to decision-makers. According to industry data, an estimated 75 percent of decision-makers say an organization's thought leadership content is more trustworthy for assessing its capabilities and competencies than its marketing and product sheets.

Differentiates from competitors: By sharing insights, a company can differentiate itself in a crowded market. Thought leadership helps companies stand out by proving their deep understanding of the customer's challenges and needs and the solutions available for more efficient and cost-effective operations.

Enhances brand awareness: Regular publication of insightful content, whether through blogs, webinars or white papers, can increase brand visibility and keep the company top of mind for customers and potential customers.

Supports sales efforts: Well-crafted thought leadership content can powerfully warm up leads. It provides sales teams with material that resonates with prospective customers' pain points and aspirations. According to the Edelman report, nine in 10 decision-makers and C-suite executives said that they are moderately or very likely to be receptive to sales or marketing outreach from a company that consistently produces high-quality thought leadership.

How to implement a thought leadership strategy

Identify key insights and topics: Start by understanding the questions and challenges the target audience faces. Use this insight to create content that addresses these issues, offers solutions or provides novel perspectives. Include strong research and data, and offer case studies or practical steps. Depending on where the audience spends its time, consider publishing on LinkedIn, industry blogs, podcasts or webinars.

Remember that consistency is key: Thought leadership isn't a one-and-done approach. Build an ongoing and consistent content program. Keeping to a schedule helps maintain audience engagement and reinforces the organization's position as an industry leader.

Measure and adapt: Like any marketing strategy, measuring the effectiveness of your thought leadership efforts remains critical. Setting clear objectives provides the foundation for defining success and measuring outcomes effectively. Metrics could include media coverage, website traffic, social media engagement and business development leads. Additionally, sales impact can be measured by actions such as first-time discovery calls and sales-qualified leads.

Thought leadership proves an invaluable strategy for B2B marketing. It aims to assert the expertise of a company and build meaningful connections with its audience. A business can establish a strong, credible brand that attracts and retains customers by providing valuable insights and solving real-world customer challenges through high-quality content.

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Melanie Taplett provides communications and public relations services to the energy, manufacturing, technology, engineering and construction industries. Contact her at mtaplett@taplycom.com.

Hardtech-focused fellowship opens applications for 2025 Houston cohort

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Applications are officially open for a Activate's second Houston cohort.

Activate's application is live from now through October 23, and all founders of early-stage, research-backed hardtech companies in Houston are encouraged to apply. The Berkley, California-based program launched in Houston last year and recently named its inaugural Houston cohort.

“The Activate Fellowship provides an opportunity for approximately 50 scientists and engineers annually to transform into entrepreneurial leaders, derisk their technologies, define first markets, build teams, and secure follow-on funding,” says Activate’s executive managing director, Aimee Rose, in a news release. “With an average 30 percent annual growth in applications since 2015, we know there is high demand for what we do, and we’re excited to see the talent and impactful ideas that come through the pipeline this year.

The program, led locally by Houston Managing Director Jeremy Pitts, has 249 current Activate fellows and alumni that have collectively raised over $2.4 billion in public and private funding since the organization was founded in 2015.

“The success of Activate Fellows is ample evidence that scientists and engineers have the talent and drive to face global challenges head-on,” adds Activate chief fellowship officer, Brenna Teigler. “Our diverse fellows are transforming technical breakthroughs into businesses across the United States in 26 states across a range of sectors spanning carbon management, semiconductors, manufacturing, energy, chemicals, ocean tech, and more.”

The application is available online, and fellows will be selected in April of next year. The 2025 program will begin in June.

Activate is looking for local and regional early-stage founders — who have raised less than $2 million in funding — who are working on high-impact technology. Each cohort consists of 10 fellows that join the program for two years. The fellows receive a living stipend, connections from Activate's robust network of mentors, and access to a curriculum specific to the program.

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This article originally ran on EnergyCapital.

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