The Appalachian Regional Clean Hydrogen Hub (ARCH2) will receive up to $925 million over its project lifetime from the US Department of Energy (DOE). Phase 1, which started in July 2024 and will last up to 36 months, has unlocked $30 million, with the remaining funds to be released in three future phases as the hub meets DOE milestones. The phased development will span more than a decade.
ARCH2 became one of the seven hydrogen hubs in the US to enter award negotiations for the DOE’s Regional Clean Hydrogen Hub Programme (H2Hubs). In October 2023, the DOE announced successful hubs would receive between $400 million and $1.25 billion in federal funds, contributing to about a third of the 2030 US production target.
The Appalachian hydrogen hub aims to support the manufacturing and transportation sectors with clean fuels and create new energy-related jobs in the region. It is scheduled to become operational in Q3 2025.
Following the DOE’s announcement, EQT Corporation announced plans to produce clean hydrogen and low-carbon aviation fuel from low-emissions Appalachian natural gas, advancing into Phase 1 planning. They plan to construct a clean hydrogen production facility to convert natural gas into hydrogen syngas via autothermal reforming, and then into other liquid fuels. The project location is under consideration.
Additionally, a food waste-to-hydrogen and carbon project is planned at the Port of West Virginia as part of ARCH2. Empire Diversified Energy, its subsidiary Empire Green Generation, and Heartland Water Technology will co-develop the facility. KeyState Natural Gas Synthesis also secured funding from the DOE ARCH2 grant to support its hydrogen and carbon storage complex in Pennsylvania.
The Pacific Northwest Hydrogen Association (PNWH2) became the second US hydrogen hub to secure DOE funding, following California’s Alliance for Renewable Hydrogen Energy Systems (ARCHES), which received its first $30 million instalment last week. PNWH2 was granted an initial $27.5 million from an earmarked $1 billion for planning, permitting, and analysis to ensure the hub’s technological and financial feasibility.