Hyliion Secures $6M Federal Grant to Cut Methane Emissions in Oil & Gas
Hyliion Holdings Corp. (NYSE American: HYLN), a company focused on advancing sustainable electricity-generating technologies, has announced a significant step in its efforts to revolutionize energy production. The company has been awarded a $6 million grant from the U.S. Department of Energy’s (DOE) Methane Emissions Reduction Program. This grant, which is part of a broader $8.4 million initiative combining federal and non-federal funding, will enable Hyliion to deploy up to 2 megawatts of its cutting-edge KARNO™ generators in collaboration with key partners in the oil and gas sector.
The primary objective of this project is to showcase the unique capabilities of the KARNO generator, which is designed to operate using well-head gas to produce electricity with near-zero emissions. Hyliion’s breakthrough technology promises to offer an effective solution for reducing methane emissions by transforming waste gas—typically flared into the atmosphere—into valuable, sustainable power. This capability is further demonstrated by successful tests in 2023, where the KARNO generator was powered using raw gas from the Permian Basin, underscoring its fuel-agnostic design and its ability to efficiently use unprocessed gas. By providing an alternative to flaring, this technology presents a significant opportunity to mitigate methane emissions while delivering scalable, efficient energy solutions.
Thomas Healy, Founder and CEO of Hyliion, emphasized the transformative potential of the KARNO generator in the renewable energy landscape. “The KARNO generator is redefining what’s possible in sustainable energy production by turning waste gas that would normally be flared into valuable power,” Healy said. “This funding opportunity allows us to demonstrate the potential of our innovative technology in providing meaningful solutions to combat methane emissions in the oil and gas industry.”
The KARNO generator is a standout innovation in sustainable energy generation. It is based on a linear generation system powered by heat, with an advanced 3D metal printing design that enables high efficiency and durability. The generator features a hermetically sealed design with only one moving part per shaft, allowing it to operate for extended periods without requiring maintenance. This makes it particularly well-suited for remote and harsh environments, such as oil fields, where access to maintenance services can be limited. Additionally, the KARNO generator is capable of running on over 20 different types of fuel, including raw field gas, making it versatile and adaptable to various energy needs while minimizing environmental impact.
The grant is part of the broader $850 million Methane Emissions Reduction Program, which is a joint initiative by the U.S. Department of Energy and the U.S. Environmental Protection Agency. The program aims to accelerate the development of projects that monitor, measure, and mitigate methane emissions across the oil and gas industry. With this funding, Hyliion is positioned to not only demonstrate the capabilities of its technology but also contribute to the broader national efforts to reduce harmful emissions and transition towards more sustainable energy practices. Furthermore, the project is expected to stimulate local economies, create jobs, and promote economic growth through the deployment of these innovative systems.
Hyliion’s KARNO generators have the potential to address one of the most pressing environmental issues in the energy industry today: methane emissions. Methane, a potent greenhouse gas, is often released through flaring in oil and gas operations. By using the KARNO generator to convert this waste gas into electricity, Hyliion is taking an active role in reducing the environmental impact of the energy sector. This project, therefore, represents a crucial step toward developing more sustainable and responsible energy systems.
The grant awarded to Hyliion is subject to the completion of final negotiations and the signing of a definitive agreement with the U.S. Department of Energy. Once finalized, this partnership will further propel Hyliion’s mission to drive meaningful change in the energy sector by providing innovative solutions that align with global sustainability goals.
